US LLC without taking out Dividends

I

inector

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May 6, 2021
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#1
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I plan to move to Estonia, and open US LLC, but I am aware of Permanent Establishment (PE) and management rules.

Estonia has 0% tax until distribution.

But what if I use the LLC only for card and business expenses, keep it 0$ profit to the end of the year, and never send funds to my personal account (aka distributions)?

Even if Estonia finds out, my receipts are in place, I never take out money to my personal account, etc. They technically would have nothing to fine?

Am I wrong and there is still a risk?
 
#2
inector said:
Estonia has 0% tax until distribution.
Click to expand...
I think they are soon to have a 2% defence tax.

inector said:
But what if I use the LLC only for card and business expenses, keep it 0$ profit to the end of the year, and never send funds to my personal account (aka distributions)?
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If you have $0 profit, you cannot take out anything. But that would mean your business is not profitable. Is that possible?

inector said:
Even if Estonia finds out, my receipts are in place, I never take out money to my personal account, etc. They technically would have nothing to fine?
Click to expand...
Only the 2% defense tax. But would they accept all your expenses? And would you pay the tax eventually? Also, you would have failed to register the foreign company in Estonia.

inector said:
Am I wrong and there is still a risk?
Click to expand...
Yes. See above. Honestly, I would not do it.
 
#5
very good detailed explanation in mentor group FYI - https://www.offshorecorptalk.com/threads/anonymity-with-passive-owner-how-to-accomplish-it.47023/
 
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