I am often asked how does one move money to an Offshore Company?
In a 14 + year career specializing in International Corporate Structuring I have seen this done in a number of different ways:
1. You could set up a dual structure (eg a Tax Free Offshore Company the shares of which are held by an Offshore Private Foundation) and have the Foundation set up as a Charitable Foundation. Once the Foundation is registered you could then make regular donations to the Foundation (which would then transfer that money to the Tax Haven Company eg as share capital).
2. You could set up 2 International Business Companies Offshore (ie “IBCs”) ie an Investment Company and a Trading Company. The first IBC you would enter into a speculative (eg high risk/potentially high return) general (long term) investment with. This IBC would then invest money with your trading IBC. The investment with the first IBC could be structured in such a way as to ensure that you won’t be paid a return on that investment for quite a while eg it could be a capital focussed investment. Meanwhile if anyone asks where the money went and why you’ve received nothing back you could truthfully say I’m not yet entitled to a return. Moreover no one can see where the money went to once it landed offshore and no one (eg as can happen in an insolvency claim) should be able to claw back the money from the 2nd IBC.
3. You could convert your local money into bitcoins then transfer ownership of the bitcoins to your Offshore Tax Free Company (“IBC”). The IBC could then convert the bitcoins into hard currency which the IBC would then use to invest in whatever. The transfer of your local money into bitcoins would be beyond the view of local courts/authorities.
4. You could engage a lawyer to Due Diligence on the Offshore Company you intend to send money to. Whilst the Lawyer’s making inquiries to confirm that the company exists and has been properly incorporated etc, (as you might do prior to a real estate purchase) you could park the money you intend to invest in the IBC in the Lawyer’s Trust/Client/Escrow Account. Once the Lawyer has completed his/her inquiries you would instruct the Lawyer to send the funds from his/her Trust/Client/Escrow account to the Offshore Company’s Bank Account
5. You could “Gift” the money to a family member (or close friend) overseas and then have that family member transfer the money to your Offshore Company
6. If you are holding funds in your own name you could set up a personal account Offshore {eg in/at a Bank located in a country that (a) does not have a Tax Information Exchange Agreement with your home country and (b) which has not agreed to be part of the OECD Bank Account Information Sharing Treaty Network} and then transfer the money from your Onshore bank account to your Offshore Bank Account. Same could be done in the case of funds being held in a Company account onshore (ie you set up an Offshore Privacy Haven Account in the name of your local Company and have funds transferred from the Company’s Onshore account to your Company’s Offshore account. If you open the account in the right place onshore predators will really struggle to find out where the money went once it landed offshore.
Local laws can have an impact. Hence it would be wise to seek local tax/legal/financial advice before committing to embark on such an endeavour.
