international setup

[movin3wheeler]

hello offshore corp talk

i have a friend who is currently only accepting crypto as a form of payment
he has accumulated a lot of wealth and wants to put it into property worldwide
he has been suggested to met several clients to help him
hes a day time crypto trader with no source of funds
hes old and close to retirement and wants to relocate if the options are there
he would like to make anything he buys into a structure so its safe and untouchable
hes currently has a view options from friends and relatives
can anyone advise on the safest structure to start this

 

[daniels27]

Hi, you are at a good start here. If he is a day trader, he should have transaction history as proof of source. Where is he based, is such income taxable there?

In order to invest the funds in to real estate (or what property he wants to buy? gold?), he will have to off-ramp it first, depending on the country. Also, he needs to be aware of the fact, the real estate always follows local laws for taxation, no matter what taxes are concerned. If he invests in 200 countries, the administrative burden is huge. And on top of that, he may have to own it in various local companies or personally. All real estate is subject to local inheritance tax.

And then what do you mean by safe and untouchable? Crypto is untouchable. Real estate, you can just go there and put your hand on the wall of the house and touch it. Pretty much anybody passing by can touch it. And you should really consider this analogy, by far not all countries recognise trusts and real estate is subject to various taxes where it is located. And it is not safe either as it is immovable, if the attractiveness of a location goes down due to political changes, your investment will be null.

While I personally do not see much gain from moving from crypto to real estate, particularly late in life, we are happy to help.

 

[movin3wheeler]

he lives just of germany, he is open to moving
he wants a setup where he can get paid via dividends
he was thinking of putting a small amount into a trust so his kids can benefit from passive income
untouchable meaning out of all the corrupt laws and opening a some type of structure where he can invest as he pleases
he has also a some businesses in germany and is openly trading but age is catching up hes looking to retire
because he has been stacking sats for so long he has no source of funds

 

[daniels27]

It is a problem that all gains so far have not been reported and taxed in Germany. He may move to Andorra and keep doing his day trades there in an attempt to hide the real source over the next decade.

Business income in Germany, is most likely reported and taxes have been paid on. This is easier.

I guess the best way is to first get somehow clean with the money. Andorra etc. may help on that. While you probably could start with trusts, etc. I guess it may be easier to just move out of Germany with his kids and then legally inherit the wealth without inheritance taxes. Trusts can work, but I guess they will come under much scrunity over the next decades. CFC rules, etc. are waiting. In case he or the kids live in an unfavourable jurisdiction, the whole trust can easily fall to taxation in that jurisdiction.