Easiest countries to get and keep tax residency

[humus]

He lives in a country where foreign income that doesn't enter the country is exempt.

Which country is this?

I can get paid easily to US or Canada bank accounts without paying corporate tax on the income.

You sure these banks don't do CRS reporting to your home country?

 

[Cloudbanck]

Yes, I think I need to add a bit more context here.

1. A lot of suggested places have 183 rule. I'm really looking for a place I don't need to live in to become a tax resident. Spending 1 day, 1-2-3 months is ok. Anything more kind of eliminates the usefulness. Cause at that point Singapore or Thailand look like the best choices. But we are talking in the context of being a nomad.

Why do you want to become a tax resident? Is Canada asking for proof that you are a tax resident in some other country to let you stop being a tax resident in Canada? If not, it is probably enough to just be a resident somewhere else, not a tax resident. And to become a resident spending little time is possible in several countries, Paraguay and UAE come to mind.

 

[Ancova]

Hello, I am a Canadian citizen.

I wish to become a nomad. Travel around for a few years and not stay anywhere for longer then a few months.
During this time I want to drop my Canadian tax residency, but to my knowledge I need to be tax resident somewhere else.

Which other countries are easiest to obtain and keep tax residency?
I prefer not to invest or go through a lot of hoops to obtain this residency.
Country preferences: Asia>Eastern EU>Middle East>Others
Goes without saying but the country should not tax foreign sourced income that doesn't touch the country.

(sorry if another topic answers this question, kindly leave a link if you know a topic I've missed, thanks )

Open a company in UAE and get a Tax Residency even without living here. You just need to visit once or twice a year.

 

[backpacker]

I wouldn't go for Georgia since they dont have a double tax treaty with Canada.

Georgia wouldn't be suitable for the OP anyway: He has to live in GE for at least 183 days in any 12 months rolling period to be considered "ordinary tax resident".
The so-called HNWI which is hyped by so many dubious expat-consultancies is completely worthless for international tax purposes.

Which other countries are easiest to obtain and keep tax residency?
I prefer not to invest or go through a lot of hoops to obtain this residency.

You can look into the Philippines. Or Egypt. I wrote a lot about both countries in this forum. Just use the search function.

 

[clemens]

Uae has like 90 days only to get a tax residency and many visa options.

Would be a place to consider for myself.

 

[carlosbl]

UAE and Cyprus

 

[CryptoIsFreedom]

Why do you want to become a tax resident? Is Canada asking for proof that you are a tax resident in some other country to let you stop being a tax resident in Canada? If not, it is probably enough to just be a resident somewhere else, not a tax resident. And to become a resident spending little time is possible in several countries, Paraguay and UAE come to mind.

Why? Because I want to cut my tax ties with Canada completely and I want to have it as a proof if it is asked. They're not asking for proof right away.

Just spending time is enough? I don't have to apply for a program or anything? In Paraguay/UAE?

Which country is this?

You sure these banks don't do CRS reporting to your home country?

SG.
No. How can I be sure?

 

[Cloudbanck]

Why? Because I want to cut my tax ties with Canada completely and I want to have it as a proof if it is asked. They're not asking for proof right away.

Im no expert on Canada, but in most western countries you dont need proof that you live elsewhere. The way it works is that you need to fulfil the criteria for being out of the tax net, typically by not having ties to the country you are moving from and not spending too much time there, after you move out.
With some exceptions, where you have moved to doesn't matter, what they check (or make you show) is whether you have properly moved out or not. You do usually have to give them an address abroad though, and it is anyway useful to have an official address abroad for all kind of reasons (for banks, EMIs, brokers, insurance etc). Id recommend having an official residency permit in the country of this address. But to also get a Tax Residence Certificate from this country, while it cant hurt, is I think usually unnecessary (unless Canada has some unusually strict requirements).

Just spending time is enough? I don't have to apply for a program or anything? In Paraguay/UAE?

You have to apply for a residence permit, in Paraguay you get a temporary 2 year one at first, in the UAE there are many different types of residence permits. Not too difficult to obtain in either country. And in the UAE you just have to spend at least 1 day every 6 months to maintain it (but even if you miss the 6 months deadline it's no big deal). Paraguay also has very low requirements to keep a residence permit, but like the UAE you have to apply for it in person.

About Paraguay:
"There is no express or specific requirement for physical presence in the jurisdiction, however, it is advisable to visit the country minimally twice during the initial two-year period." Source: PARAGUAY PERMANENT RESIDENCE PROGRAMME — NTL Trust

If you want a tax residency certificate from Paraguay or the UAE you probably have to stay longer. For the UAE it's 90 days, but apparently it's possible to get it even if one is below the 90 days.

 

[blancmon229]

Open a company in UAE and get a Tax Residency even without living here. You just need to visit once or twice a year.

How? Isn't there a 90 day residence requirement in order to get it?

 

[Meta]

Georgia wouldn't be suitable for the OP anyway: He has to live in GE for at least 183 days in any 12 months rolling period to be considered "ordinary tax resident".
The so-called HNWI which is hyped by so many dubious expat-consultancies is completely worthless for international tax purposes.

Could you please describe why HNWI program is useless for international tax purposes? I guess it would not hold if some other country considers you a tax resident and we are talking about double-taxation-avoidance treaties, but other than that?..

Georgia is not as good as many people would think looking at its high positions at various "doing business" ratings though. They keep changing the laws fast and don't always follow them. The last addition is a requirement to transfer $500K to Georgia to be eligible for HNWI residency option which is laughably big amount for such a place.

 

[CryptoIsFreedom]

Im no expert on Canada, but in most western countries you dont need proof that you live elsewhere. The way it works is that you need to fulfil the criteria for being out of the tax net, typically by not having ties to the country you are moving from and not spending too much time there, after you move out.
With some exceptions, where you have moved to doesn't matter, what they check (or make you show) is whether you have properly moved out or not. You do usually have to give them an address abroad though, and it is anyway useful to have an official address abroad for all kind of reasons (for banks, EMIs, brokers, insurance etc). Id recommend having an official residency permit in the country of this address. But to also get a Tax Residence Certificate from this country, while it cant hurt, is I think usually unnecessary (unless Canada has some unusually strict requirements).

Hmm, good point. I'll do your recommendation in that case and no need to overthink or search about this.

 

[Ancova]

How? Isn't there a 90 day residence requirement in order to get it?

Feel free to email me, I will explain

 

[backpacker]

Could you please describe why HNWI program is useless for international tax purposes? I guess it would not hold if some other country considers you a tax resident and we are talking about double-taxation-avoidance treaties, but other than that?..

Georgia is not as good as many people would think looking at its high positions at various "doing business" ratings though. They keep changing the laws fast and don't always follow them. The last addition is a requirement to transfer $500K to Georgia to be eligible for HNWI residency option which is laughably big amount for such a place.

Already during the times of the old, handwritten HNWI tax certificate, that certificate could not be used for DTT purposes. It is not issued in accordance with DTT Art. 4, hence was useless. furthermore, no foreign tax authority accepted it since it was a visual deviation from the known ordinary tax residence certificate.
The new computerized HNWI certificate even clearly states that it has been granted based on income/capital investment in the country.
The rest you find here -> https://www.oecd.org/tax/automatic-exchange/crs-implementation-and-assistance/tax-residency/

 

[Meta]

Already during the times of the old, handwritten HNWI tax certificate, that certificate could not be used for DTT purposes. It is not issued in accordance with DTT Art. 4, hence was useless. furthermore, no foreign tax authority accepted it since it was a visual deviation from the known ordinary tax residence certificate.
The new computerized HNWI certificate even clearly states that it has been granted based on income/capital investment in the country.
The rest you find here -> https://www.oecd.org/tax/automatic-exchange/crs-implementation-and-assistance/tax-residency/

Why do you call it useless on the grounds it can not be used for double-taxation-avoidance treaties? It would be a bold move to buy an apartment in Georgia, apply for HNWI tax residency, live full year in France and pay no tax there claiming that according to DTT you are a tax resident in Georgia since your home is there. Don't think one should try such things even if they seem to be possible, it will result in problems.
On the other hand it looks to be perfectly fine if you don't have other countries claiming you to be a tax resident.

 

[backpacker]

It would be a bold move to buy an apartment in Georgia, apply for HNWI tax residency, live full year in France and pay no tax there claiming that according to DTT you are a tax resident in Georgia since your home is there. Don't think one should try such things even if they seem to be possible, it will result in problems.

Only an idiot would try that. Unfortunately, the world is full of idiots ....

On the other hand it looks to be perfectly fine if you don't have other countries claiming you to be a tax resident.

No, it is not. Because in that case you do not need the HNWI certificate for tax purposes (for what it cannot be used anyway).

Understand the history of this certificate: All this stems from the aftermath of the RU/GE conflict in 2008 (same tye territorial taxation) when GE needed to desperately attract foreign investment. So, they just invented useless and useful stuff. HNWI belongs to the useless stuff.

Many uninformed people fell for this dubious HNWI certificate for whatever purpose. Their problem.
Let's leave it here. It just confuses others.

 

[Alenka]

Georgia wouldn't be suitable for the OP anyway: He has to live in GE for at least 183 days in any 12 months rolling period to be considered "ordinary tax resident".
The so-called HNWI which is hyped by so many dubious expat-consultancies is completely worthless for international tax purposes.

You can look into the Philippines. Or Egypt. I wrote a lot about both countries in this forum. Just use the search function.

Could you explain why HNWI Georgia Program is worthless?

 

[Don]

Could you explain why HNWI Georgia Program is worthless?

The tax residence certificate that you get from the HNWI program is not issued based on a bilateral treaty.
Is it completely useless? For some people yes, but not necessarily for others.
If you are moving to Georgia, you should request a tax residence certificate that is based on the double tax treaty of Georgia and the respective country of your former tax residence, if there is one.
This will help you not to be considered a tax resident in both countries.
In most cases, when you are leaving a country where you were a resident, you need to submit special applications to cut your legal residence and tax residence with that country.
When you fill such documents normally should also indicate where you are moving.

 

[Alenka]

The tax residence certificate that you get from the HNWI program is not issued based on a bilateral treaty.
Is it completely useless? For some people yes, but not necessarily for others.
If you are moving to Georgia, you should request a tax residence certificate that is based on the double tax treaty of Georgia and the respective country of your former tax residence, if there is one.
This will help you not to be considered a tax resident in both countries.
In most cases, when you are leaving a country where you were a resident, you need to submit special applications to cut your legal residence and tax residence with that country.
When you fill such documents normally should also indicate where you are moving.

I'm looking to travel in the next year without getting any tax residency, like perpetual traveler. But my citizenship country (Belarus) makes me pay tax in Belarus if I don't have any other country's tax residency. Even if I spend 0 days in the year in Belarus I must pay taxes in Belarus if I don't have any other country's tax residency.

From tax code: "if an individual is not a tax resident of any state, including the Republic of Belarus, then he is recognized as a tax resident of the Republic of Belarus, if in the calendar year for which tax residency is determined, he has citizenship of the Republic of Belarus or a permanent residence permit in the Republic of Belarus (type for residence)."

For that purpose I wanted to get HNWI tax residency in Georgia. I have US LLC and interested if it keeps to be pass-through and be eligible for 0% taxes. I think Georgia might consider my US LLC as Georgian entity in that case and tax it, despite the fact that I will live 0 or something like 0 days in Georgia. There is no office, workers are working remotely without contracts, so that the entity can not be tax residency of other countries.

How you think, will it work in my case in order to pay 0% tax legally?

 

[backpacker]

Could you explain why HNWI Georgia Program is worthless?

Why ask again what has been asked (and explained) just two hours ago in this very same thread ...

If you are moving to Georgia, you should request a tax residence certificate that is based on the double tax treaty of Georgia and the respective country of your former tax residence, if there is one.

If you are entitled to receive an ordinary tax residence certificate, this has to be applied for via RS online portal. GE does not maintain individual "application" centers anymore. There is only one remaining physical contact point (public office), mostly for businesses. Everything else is automated.
That said, GE only issues an ordinary tax residence certificate based on presence. You cannot apply for a certificate based on a specific country /DTT, mentioned in such certificate.

I'm looking to travel in the next year without getting any tax residency, like perpetual traveler. But my citizenship country (Belarus) makes me pay tax in Belarus if I don't have any other country's tax residency. Even if I spend 0 days in the year in Belarus I must pay taxes in Belarus if I don't have any other country's tax residency.

From tax code: "if an individual is not a tax resident of any state, including the Republic of Belarus, then he is recognized as a tax resident of the Republic of Belarus, if in the calendar year for which tax residency is determined, he has citizenship of the Republic of Belarus or a permanent residence permit in the Republic of Belarus (type for residence)."

For that purpose I wanted to get HNWI tax residency in Georgia. I have US LLC and interested if it keeps to be pass-through and be eligible for 0% taxes. I think Georgia might consider my US LLC as Georgian entity in that case and tax it, despite the fact that I will live 0 or something like 0 days in Georgia. There is no office, workers are working remotely without contracts, so that the entity can not be tax residency of other countries.

How you think, will it work in my case in order to pay 0% tax legally?

Belarus will not accept a HNWI tax certificate of GE. Just read what has been posted in this thread and you will understand.
Look for ordinary residency. Of course, you will have to pay taxes due to PE rules.

 

[OffshorePirate]

Which African countries have the highest quality of life with the least violence?

Cape Verde is a popular touristic destination, cheap and pretty safe so far. For quality of life, that depends on what you expect. If you expect fashion restaurants, nice cinemas and theaters or vibrant night life you should forget about it. It's underdeveloped.

If you like nature, beaches, etc. you may like it for a while (anyway, as far as I understad it's not to be one of your several stops in your new life).