AEOI enforcement & Belize Bank behaviour / Share with you

[Starlights]

Only if they have an agreement with a country they will report. However, as I read it all countries will soon be on the OECD list! Just watch..

Not UAE

 

[DeMajor]

Not UAE

Let's hope so.. it would be nice to have a option at least. But I think sooner or later they will because of pressure from the rest of the world.

 

[Starlights]

Let's hope so.. it would be nice to have a option at least. But I think sooner or later they will because of pressure from the rest of the world.

i hope this muslims will still run the own race and not care so much about rest of the world pressure , they have not done it in 300 years so i think they will bee strong but who knows nobody knows only the rich arabs knows

 

[pesto]

Indeed you has been very kind and supporting.
I'm taking some days to decide the way to go although I know it already.

you already decided which way to go with your bank account opening? I would really like to know what bank you pick for your business?

 

[Mickeyboy]

So what you say is that if we can get a belize bank account from before oct. 2015 we would stay under the radar? correct ?

Hey Max any further update on the dormant account?

 

[jryan54]

Hey Max any further update on the dormant account?

Yeah I asked an agent just recently if the dormant account thing would work and he replied that there was almost no chance that it would. He was under the belief that the banks would rather disclose everything then risk the fines/license issues.

Anyway, take that for what it's worth. I suspect we may have to look at better ways of doing things in 2018 and not relying upon non disclosure etc.

 

[Mickeyboy]

Thanks for your reply. My understanding is Belize will comply to info sharing by 2018. But why would they or any other tax haven.....puts the agents out of biz....everyone pulls money out of those havens... banks get hit...haven economy suffers. Or are they just going along with it but will "kind of comply". I don't see the economics.

 

[Brokenby2703]

Hi folks.
Back on track. Sorry for long silence I was busy... working ! ahaha

Okay just an update.
I finally made it to incorporate a RAK FZE (Free Zone Enterprise).
I used their own European agent very professional and superb service.
Much cheaper compared to many brokers adv in google etc.
I transit often in Dubai for my business trips so it wasn't that much hassle to stop there for the VISA process (*)

Now I have my own RAK FZE with my own "investor" VISA.
I rented a virtual address which is providing a mailing service (for urgent matters, otherwise I collect the correspondence once every 2/3 months when I'm there for business).
I applied for personal bank account (no need to say that for company account it was smooth like baby oil because RAK government provide an introduction letter to a local bank. Got account opened in 3 days and security token in other 3 days).
I changed my residence address to all other banks account I have in EU and outside providing both, contract of virtual residence address (of course contract is not mentioning virtual), and bank account statement together with my EMIRATES ID cards.
Now although I'm not resident fully in UAE, all my banks "believe" i'm resident there.
It did cost me quite a good amount of $$ but if you wanna be safe..... and of course your business has enough income to justify this operation, I would recommend it to everyone .
I'm not sure how long it will last.... but for the moment it's same.

Just last thing.
While I was opening the personal bank account, after get a good relation with the manager, I was dare enough to ask about AEOI and CRS.
He answered me like this: "UAE money is 70% foreigner. Do you believe that we are going to risk to see a country to bankrupt simply because we have to report to somebody about somebody ? Until this person is not doing anything wrong in UAE, for us he deserve to be respected and have his privacy protected. Of course UAE may become a hell if we found out that he is doing something unacceptable for our country. We don't go to check our people what they do outside of UAE, so we don't accept outsiders government to come and check here in our homes.
We did sign the AEOI but there will be oceans before we will reply to any request, unless it's something serious.
First the government which is checking on somebody having residence and account here, but explain what he did, and then we will evaluate what to say and IF reply. Unfortunately we don't want to accept US born / US citizens / US resident"

This was by person at a nearby Starbucks where I invited him for a drink.

(*) VISA process is real a pain in the a*s.
Actually they are very strict: interview, blood test, medical checkup, fingerprints taken, photos, etc.
And you have to stay in UAE for at least one week from the moment of your arrival (with special entry permit) till the day you get the VISA STAMP on your passport. EMIRATES ID you can collect another time in RAK (2 hours by car from Dubai = EUR 200 both way just to go to post office to collect).
So I arrived on Saturday night, on Sunday I was at the RAK office at 8am, registered, paid for the EXPRESS ROYAL VISA application (which is a speed up processing fees to reduce waiting time from 2weeks to 1 week), carried on the test in local hospital, and at 3pm back to my hotel in Dubai. I spent 4 days waiting (and relaxing).
My passport was with them so I can't leave the country.
On thursday afternoon back to RAK to collect the passport and Friday morning I left UAE .
I have to visit UAE once every 179 days or as "investor" I can extend up to once every 2 years.

If anybody need any info I'm here.

By the way.... I closed my BELIZE LLC and related Bank account because I'm scared.
One of my friend which has an excellent relationship with the bank manager (same bank) was confidentially informed to move his money somewhere (he has almost $1M) because Belize banks has agreed to automatically report those account which has at ANY TIME during 2017, passed US$ 150.000 overnight (you get a payment for US$ 151.000 this morning, you must transfer out on the same day to go below US$ 150.000 otherwise their system will track down and report).
I don't now how truth it is, but if a bank manager push away a client to be safe, something truth must be there.

 

[JohnK]

Only if they have an agreement with a country they will report. However, as I read it all countries will soon be on the OECD list! Just watch..

I have been informed by the Cyprus bank that they don't report as long as you keep your account active and you don't have more than 200K per annum in turnover on the account.

 

[JohnK]

Thanks for your reply. My understanding is Belize will comply to info sharing by 2018. But why would they or any other tax haven.....puts the agents out of biz....everyone pulls money out of those havens... banks get hit...haven economy suffers. Or are they just going along with it but will "kind of comply". I don't see the economics.

If doing things correct you don't need to worry about reporting!

 

[rowena]

@Brokenby2703

I am interested with UAE setup too but looking for reliable UAE agency. Can you share agency name ?

 

[Brokenby2703]

@Brokenby2703

I am interested with UAE setup too but looking for reliable UAE agency. Can you share agency name ?

Hi.
If you want to setup a RAK FREEZONE (FZE as single proprietor) I have done everything with their agent in Germany (*)
As I don't know where you live, you can visit their website here
Contact Ras Al Khaimah Economic Zone (RAKEZ) (right hand side)
Let me know if you are based in Europe BEFORE YOU CONTACT THEM.
I will give you the person in charge name (via PM). She is extremely helpful and clear.

As you are a software developer they may suggest you to open a "software consultancy company".
Different type of license, different price, different requirement for incorporation, different renewal fees and mostly.... subject / not subject to submit audited account.

(*) there are many agents available. Most of them are simply "reseller" of RAK service.
While I was in RAK for the medical checkup (blood test, etc), I was talking to another westerner just to have the time move a bit faster....
I came to know that he was opening a RAK FZE like me but he was complaining that the broker (an international well known name) did promise to assist him but in truth he disappeared after fetched him to RAKFZ building.
He end up to pay almost 30% more for nothing.
He couldn't speed up the processing fees because he coudln't pay directly to RAKFZ government (he broker was allowed as introducer, etc).
The introduction letter I got from RAKFZ government to open bank account was like a magic key.
I was at EMIRATES NBD @ The Dubai Mall trying to open the bank account.
They were reluctant till I show the the invitation letter.
The bank manager eyes start blinking, a smile of his face appeared and he just said "why you wasted so much time.... if you told me about this invitation letter earlier, we could have already signed the papers".

I was very happy to have done everything by my own, using their agents: I save money and I felt to have RAKFZE support behind me.

 

[rowena]

@Brokenby2703
Thank you very much for the information! These are very important for me. Yes I am in Europe now I just came back from UAE. If you share details with me it will be very nice(my e-mail [email protected]).

I am ENBD personal acc customer and it is important for me to open a bank account at ENBD.

 

[Brokenby2703]

@Brokenby2703
Thank you very much for the information! These are very important for me. Yes I am in Europe now I just came back from UAE. If you share details with me it will be very nice(my e-mail [email protected]).

I am ENBD personal acc customer and it is important for me to open a bank account at ENBD.

You have email.
The person I indicate is the RAK FZ official international office (Germany)

By the way...
(a) if you wanna a secured solution go for RAK FREE ZONE (sole proprietor): it will cost EUR 8.000 to setup all inclusive and around EUR 4.000/year for renewal (including VISA / EMIRATES ID etc)
For RAK FREEZONE local banks will welcome you with arms opened as they consider you as LOCAL (so no AEOI / no CRS etc)
(b) If you wanna go for something much cheaper you can go for RAK OFFSHORE (sole proprietor) : it can be done only with 3rd party registered agents/brokers (indicated in the RAKICC website) and setup can vary from EUR 2000 to EUR 2500 (based on the agent). Renewal fees are only EUR 1000/year but. It is considered an offshore company (= no local UAE bank / no VISA / no EMIRAES ID / no possibility to transfer your residency there / no virtual address to use with your current bank to escape AEOI/CRS).
For RAK OFFSHORE no one bank will accept you (don't believe what agents will tell you.... they promise to ASSIST YOU but they won't guarantee approval, which will never comes) so you have to find a bank in any other jurisdiction...

Any help I'm here.

 

[EricVN]

@JohnK are you sure about the 200k report?
for European or US citizen?