Question offshore company for investing in crypto/stock market

[Revoltec]

Any new ideas around this? Any solution on how to trade stocks/crypto through offshore companies?

 

[W Fish]

hmg78800 said:
But declaration process in case of trading is awful, every single operation should be declared and PL calculated into EUR(which is kind of tricky for crypto).
Click to expand...

This is not correct.
What you are quoting is the instruction for private persons. They need to declare and pay tax on every sale or swap if profitable. Losses are not deductible.

For companies you can just mark your positions (crypto or other traded and liquid papers) to market at the end of your accounting period and show the difference as profit or loss in income statement and balance sheet. No taxes are paid on that.
As you mentioned - profit of a company gets taxed only when taking it out (usually as dividends). No detailed reporting necessary.

H.

Toggle signature
Expense invoices with cashback (in crypto). Crypto on/offramp with invoices. Crypto SOF solutions.

 

[W Fish]

Revoltec said:
Any new ideas around this? Any solution on how to trade stocks/crypto through offshore companies?
Click to expand...

Why make it so complicated?
You have another thread where you discuss a combination of an estonian company + US LLC. What advantage does it give compared to just trading from the Esionian company?

Toggle signature
Expense invoices with cashback (in crypto). Crypto on/offramp with invoices. Crypto SOF solutions.

 

[Revoltec]

hannesur said:
Why make it so complicated?
You have another thread where you discuss a combination of an estonian company + US LLC. What advantage does it give compared to just trading from the Esionian company?
Click to expand...

Im completely new to all of this and learning. Found out about tax advantages in Estonia after making this post.

However, I found some information that that a PE is not taxed on any foreign sourced income in Estonia while an Estonian company is only taxed on undistributed profits. Im not sure if US LLC is a way to trade completely tax free, regardless of whether the profits are distributed or not. This is what I'm trying to find out.

There might be some advantages in terms of geographical / counter party diversification as well.

Also, is it really possible to hold crypto through a US LLC? Been reading about Bermuda lately.

 

[Don]

Revoltec said:
Im completely new to all of this and learning. Found out about tax advantages in Estonia after making this post.

However, I found some information that that a PE is not taxed on any foreign sourced income in Estonia while an Estonian company is only taxed on undistributed profits. Im not sure if US LLC is a way to trade completely tax free, regardless of whether the profits are distributed or not. This is what I'm trying to find out.
Click to expand...

It could be tax-free in some instances.
You need to consider your personal tax residence, the company's tax residency, the company's PEs (e.g., where the trading is happening), and potential tax exemptions (whether the income is exempt from tax on a personal/corporate level).

Revoltec said:
There might be some advantages in terms of geographical / counter party diversification as well.

Also, is it really possible to hold crypto through a US LLC? Been reading about Bermuda lately.
Click to expand...

Why would it not be? Basically any natural person or legal entity can hold crypto.