Let's talk about the West
- Thread starter NoKYC
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This guy in article below writes an interesting article on EU Citizenship Based Taxation (CBT) 😕. In my personal opinion this is 100% coming and I expect talk of this to start happening in near future. For the west and especially EU it is simple unacceptable to have people with any kind of money move their tax base outside the EU....lol. The current EU Exit Taxation will be enhanced, to include wealthy people like in Poland, but CBT is the end game.
https://www.imidaily.com/reasonable...igns-europe-might-follow-in-the-us-footsteps/
https://www.imidaily.com/reasonable...igns-europe-might-follow-in-the-us-footsteps/
I also think that it’ll come, but my assumption is that in the first iteration it will only apply if someone
- lives outside of the EU
- is resident in︀ a low or zero tax country.
So if you are a German living in UAE,︁ they will try to screw you. If you are from Spain but live in the︂ US or Australia, you’ll likely be left alone.
With this approach it is an easier︃ sell and DTAs don’t need to be renegotiated.
- lives outside of the EU
- is resident in︀ a low or zero tax country.
So if you are a German living in UAE,︁ they will try to screw you. If you are from Spain but live in the︂ US or Australia, you’ll likely be left alone.
With this approach it is an easier︃ sell and DTAs don’t need to be renegotiated.
Yup your thinking exactly like an EU bureaucrat on how to sell it to public 😉. Your predicting exactly what will happen initially.
Well, as always they will want to boil the frog slowly, so there will be multiple steps:
1. Gather information about foreign assets. E.g. the EU will force other countries to report assets within their jurisdictions from EU citizens. This is already (partially) implemented through agreements like CRS.
2. The EU countries will introduce new rules (under the “global tax avoidance” theme) that you will have to declare your assets in low tax / zero tax jurisdictions, but they are not taxed yet.
3. EU countries will get the right to tax income︀ and capital gains of their citizens that has a source in non DTA countries.
My prediction is that the days of paying zero income tax are counted for most people.︁ In the future you will only be able to avoid income tax if you live︂ on a small, isolated island like Bahamas, Cayman Islands or Vanuatu and live off your︃ savings.
As soon as you’ll invest in the main economies (US / EU / China)︄ the capital gains and all work related income anyway will have a withholding tax applied.︅
So even if your island technically has no income tax you’ll still pay because the︆ US / EU stocks, ETFs, bonds etc. that you buy will all apply a withholding︇ tax at source.
1. Gather information about foreign assets. E.g. the EU will force other countries to report assets within their jurisdictions from EU citizens. This is already (partially) implemented through agreements like CRS.
2. The EU countries will introduce new rules (under the “global tax avoidance” theme) that you will have to declare your assets in low tax / zero tax jurisdictions, but they are not taxed yet.
3. EU countries will get the right to tax income︀ and capital gains of their citizens that has a source in non DTA countries.
My prediction is that the days of paying zero income tax are counted for most people.︁ In the future you will only be able to avoid income tax if you live︂ on a small, isolated island like Bahamas, Cayman Islands or Vanuatu and live off your︃ savings.
As soon as you’ll invest in the main economies (US / EU / China)︄ the capital gains and all work related income anyway will have a withholding tax applied.︅
So even if your island technically has no income tax you’ll still pay because the︆ US / EU stocks, ETFs, bonds etc. that you buy will all apply a withholding︇ tax at source.
In terms of “what will they do?” - well the same that is happening now if you do tax evasion. You won’t be extradited from the UAE but as soon as you enter your home country (or in the future even the EU) will you get arrested, fined and potentially face jail time depending on the seriousness of your actions.
Ask yourself - what is the advantage of a citizenship if you can’t enter the country without getting︀ arrested? Your choice will either be comply, denounce or never come back.
Ask yourself - what is the advantage of a citizenship if you can’t enter the country without getting︀ arrested? Your choice will either be comply, denounce or never come back.
Also: they won't renew your passport, which forces your hand one way or another. Some EU countries now only have passports with maximum validity of 5 years. The main motivation for shortening the validity may be to gain more fees, but it also keeps citizens on a tighter leash. Governments can also cancel passports if they think the crime is serious enough.
It will be crucial to have another citizenship as a fallback option.
It will be crucial to have another citizenship as a fallback option.
Very good point. I didn’t consider this but of course you won’t be able to get a new passport if the state thinks you owe taxes.︀
Having a 2nd citizenship is on my to do list. But I get what @FixieHartmann is saying. Not everyone will have the luxury of a CBI︀ and not everyone has the opportunity to cut all ties and leave everything behind.
Personally, once I leave, I'll leave for good. No intention of going back. And, as I've︁ mentioned before, I'm willing to pay some taxes (5-15% top) but never like I did.︂
Personally, once I leave, I'll leave for good. No intention of going back. And, as I've︁ mentioned before, I'm willing to pay some taxes (5-15% top) but never like I did.︂
this is already happening in Australia. How long before it'll happen in EU too? 🙄
https://twitter.com/x/status/1447169440949309442
https://twitter.com/x/status/1447169440949309442
Holy s**t.. this is getting worse quicker than expected. What the hell is happening in Australia?
It could be, I don't know... nothing surprises me anymore these days... everything is going to s**t! 😵
Spoiler
Spoiler
seems like they took “playboy” ad-literam
better start believing in clown world, because you’re in one. up is down, left is right
better start believing in clown world, because you’re in one. up is down, left is right
What do you guys think about Turkey in the context of this thread (increased regulation, green/cov pass etc)? Looks like their are joining the west in many tendencies, but I wonder if they'll keep some degree of freedom and autonomy.
Don’t look at green pass as a European exclusivity, unfortunely this fakedemic gave governments all over the world the perfect excuse to control people even more, anyway all other countries outside EUSSR (and Australia and the dem ruled states in the US) have way less restrictions.
Turkey is on its own path to become a regional power, they have a︀ different mindset and a less disfunctional society. They still have a big financial problem with︁ their own national currency, but the economy is doing good and they have a visa︂ program based on real estate.
Turkey is on its own path to become a regional power, they have a︀ different mindset and a less disfunctional society. They still have a big financial problem with︁ their own national currency, but the economy is doing good and they have a visa︂ program based on real estate.
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