Thanks for clarifying this CyprusLaw. I stand corrected.
Your comment about the three years waiting time is not valid.
Please pm me with real estate agent who allow crypto crypto as payment.
DM the agent please
You can do a hybrid. For ease of residency then Georgia or Montenegro. You would also set up a Swiss bank account and because you do not live there your not liable for tax.
One good option might be US LLC and banking, for anyone who's not US resident this is tax free (US tax free), and Bank of America specifically, allows crypto withdrawals with no questions, though my withdrawals "at a time" were not more than 30k at once. I do from BlockFi, and bank account was not closed or anything. Might be a useful setup for some, as long as your local country doesn't tax you worldwide. Using this setup it's possible to reside in a local tax country which only is taxing local gains, so might be a fully legal 0% crypto exit strategy for some. I didn't try crypto into other banks except BoA, but Chase is known to be crypto friendly too. When having funds in US LLC and choosing to tax it as "pass through entity", the tax liability becomes "personal level" and since person, owner, is not US tax resident, there's no tax, and access to reliable banking. I spoke with 2 tax advisers independently who specialize in foreigners and US LLCs, they both confirmed it's legit setup and told me many do it also without physically being present in US (my case slightly different, last 3 years physically in US, and am leaving this year, so only next year 2022 I'll be tax free on my crypto withdrawals, and that's a bright future
)One good option might be US LLC and banking, for anyone who's not US resident this is tax free (US tax free), and Bank of America specifically, allows crypto withdrawals with no questions, though my withdrawals "at a time" were not more than 30k at once. I do from BlockFi, and bank account was not closed or anything. Might be a useful setup for some, as long as your local country doesn't tax you worldwide. Using this setup it's possible to reside in a local tax country which only is taxing local gains, so might be a fully legal 0% crypto exit strategy for some. I didn't try crypto into other banks except BoA, but Chase is known to be crypto friendly too. When having funds in US LLC and choosing to tax it as "pass through entity", the tax liability becomes "personal level" and since person, owner, is not US tax resident, there's no tax, and access to reliable banking. I spoke with 2 tax advisers independently who specialize in foreigners and US LLCs, they both confirmed it's legit setup and told me many do it also without physically being present in US (my case slightly different, last 3 years physically in US, and am leaving this year, so only next year 2022 I'll be tax free on my crypto withdrawals, and that's a bright future
I think it's a good and legal option for anyone who resides in a country that does not tax his "abroad" finances and capital gains (territorial tax country). If UAE tax residency forces people to declare and pay tax on what they have "abroad" (worldwide) then this setup would not work (well in terms of US tax it will still remain 0% fully legal) because such country will ask a person to declare how much he earned in his US (or any other) worldwide activity, and then this setup becomes worthless. So check what's the policy in UAE regarding ownership of a passthrough US LLC and whether they will tax you capital gains when you withdraw crypto to US LLC. I have no idea about UAE because I never researched it, but if they do not care about your assets abroad - this might work and also be completely legal both from the bank view and taxman view
by the way, if in the 2nd part of your question you are asking whether invoicing your US LLC with your UAE company makes sense in order to cash out? of course not, since there's no need to invoice anything - the single member LLC bank account can be used as a personal bank (I confirmed this with the tax advisors, I could not believe this at first honestly, I thought there must be an invoice explaining where the money goes, for each an every bank account transaction, of the LLC) so you can simply wire into any other personal account no questions asked (also accounts abroad, as long as your name match on them). The funds in such LLC account are personal funds, when you elect to be taxed as 'passthrough' and not 'corporation' in the end of the tax year (but that's IMPORTANT to file Form 5472 with IRS, otherwise it's a 25k fine if not filing the form or making a mistake, use a CPA for this). There are no manipulations needed in order to use the LLC account for personal needs. I didn't believe it is possible, just do a 30 minute - 1 hour consultation with a US CPA to confirm, just in case
. Looks like US is the best offshore for all who are not Americans or green card holders (this setup only works for non Americans).
But how is it possible that you're thinking about a new crypto exit strategy when you're already UAE tax resident? isn't it a jackpot already, to be taxed by their rules and use their banking? is there an issue with converting crypto to fiat specifically, and cashing out? [and lol, are you serious, there is no local tax either? you mean no income tax? they might just use other taxation methods locally, like VAT etc'? it's impossible to be with no local tax]
So you will need to relocate I assume from what I have read through the thread?
wonder the same? UAE the experts say you are not taxed if you live there, why would you reconsider your options living in Dubai and with no plans to relocate.
Can we connect?Hello everyone.
Would like to ask some questions about relocation and opening a bank acc as a crypto trader and hodler.
What I have:
1) I live in a country where crypto and trading are not regulated. Which means it's not an easy task to withdraw some significant amount of money legally and pay your taxes. So you literally have to withdraw it in cash via p2p or use some other tactics like claiming an income as from a freelance job if you want to cash-out legally into the bank and pay the taxes.
2) I live in a third-world country which means owning significant amount of money in crypto could attract some unwanted attention. Eastern Europe country.
3) Me and my family are not EU residents.
4) I'm a hodler since early days of crypto.
5) I'm a profitable crypto trader and trading on KYC'd exchanges.
6) 99% of my wealth is in crypto. Let's say 7-8fig.
Questions:
1) Is there any easy way of relocation into European country with a reliable taxation (crypto hodling and trading) which will accept a person with 99% wealth in crypto. Of course, I'm ready to pay taxes.
2) As I researched for relocation you need to invest or put into the bank some amount of money. Will I be able to do it in the european country? As I mentioned before it's not an easy option to make it in my own country before relocation.
3) Are there any crypto-friendly bank that will accept such a person (non EU resident)? All I need is a simple bank account to be able to withdraw from crypto exchanges any time I want. Exchanges I'm using provide SWIFT(USD,EUR) and SEPA(EUR) withdrawal options.
4) What questions will bank ask before opening an account? Can a crypto trading (stacking, liquidity providing in DeFi) be considered as a source of income? I can provide my last year trading history with 7figs PnL. All crypto obtained legally but of course I don't have the receipts of my first purchases back in 2013-2015.
Switzerland is an interesting location but I'm not sure about trading taxes. Not sure about Malta and Portugal as for a living and opportunities for kids. Other locations in Europe as I understand have huge taxes.
Sorry for so many questions guysI think such questions will become more common in coming years due to crypto prices surging.
If I understand you, you sell crypto on blockfi and withdraw on account of your llc, and that account is in BoA? How did you pass the kyc on blockfi, as a legal entity (llc) or as a person, since you say you can use single member llc's account the same as personal account.One good option might be US LLC and banking, for anyone who's not US resident this is tax free (US tax free), and Bank of America specifically, allows crypto withdrawals with no questions, though my withdrawals "at a time" were not more than 30k at once. I do from BlockFi, and bank account was not closed or anything. Might be a useful setup for some, as long as your local country doesn't tax you worldwide. Using this setup it's possible to reside in a local tax country which only is taxing local gains, so might be a fully legal 0% crypto exit strategy for some. I didn't try crypto into other banks except BoA, but Chase is known to be crypto friendly too. When having funds in US LLC and choosing to tax it as "pass through entity", the tax liability becomes "personal level" and since person, owner, is not US tax resident, there's no tax, and access to reliable banking. I spoke with 2 tax advisers independently who specialize in foreigners and US LLCs, they both confirmed it's legit setup and told me many do it also without physically being present in US (my case slightly different, last 3 years physically in US, and am leaving this year, so only next year 2022 I'll be tax free on my crypto withdrawals, and that's a bright future
