Residential Property Abroad
It is increasingly common for individuals to own more than one property and in many cases the first investment after the family residence is in a holiday home. Whether you are buying a place in the sun, a country retreat or a city centre apartment, if it is in a foreign country you will be exposed to an unfamiliar legal system and to taxes in the country concerned. It is therefore important, even before a contract is signed, to decide whether to make the purchase in your personal name or through a company. To change course later will always be expensive. It is however usually possible to reduce exposure to tax.Buying in a personal nameAssuming the property is for personal occupation, the form of tax, which is most easily avoided, is estate or inheritance tax.
The death of the person in whose name the property is registered will normally give rise to a liability which may exceed 40% of the value at the time and the tax will usually have to be paid before the property can be sold or transferred.Buying in a corporate nameIf, however, the property is purchased in the name of a company, the death of the owner does not create a need to transfer the property. The property will be owned by the company, and it is the shares in the company which will form part of the owner's estate and not the property itself. If the company is formed in an offshore territory, the British Virgin Islands for example, which does not impose taxation on non-residents, the objective of avoiding foreign death taxes will have been achieved. There is a bonus, in that the name of the owner of the company need not be a matter of public record, thereby maintaining confidentiality. Ownership through an offshore company will also ensure that, on death, the property will pass to the intended heirs.
It will overcome the forced inheritance provisions found in the civil law and in Sharia law.Purchasing through a company does increase the cost. The purchase may attract a higher rate of stamp duty, the company will need to be professionally managed and it may be required to file a tax return. These costs are however generally modest in relation to the potential tax saving.Some words of cautionSome countries, whether in an attempt to prevent tax evasion by their residents, as part of increased international co-operation against tax avoidance or merely to raise revenue from non-voting foreigners, impose taxes on a notional income of companies incorporated in tax- free centres, but not against companies formed in taxing locations. Examples are France, Spain, Portugal, Greece and Argentina.Others, such as the U.K. have hit on the wheeze of taxing their residents on a notional benefit, where the property is owned by a company rather than by the taxpayer personally, and no occupational rent is paid.
Foreign investors in U.K. property are not discriminated against however. The answer, as always, is to take advice before acting..
The Chesterfield Group provides a full range of trustee, and corporate advisory, formation and management services and invites enquiries. More particulars can be found on our web-site www.chesterfield-management.comState Favors Result in State Control of the Church
Persecution of Christians around the world is at an historic and all-time high. While there is great cause for concern for their plight, one thing we can be quite confident of is that the Christian religion will live on. Christianity has outlived every tyrannical regime, stretching from the Roman Empire, to the Soviet Union. It will also outlive the murderous Islamic regime of Sudan, and the totalitarian Communist tyranny of China.History has repeatedly shown that brutally attacking the Christian, whether through imprisonment, torture, or execution, has never served to undermine faith. Persecution only serves to strengthen the Christian faith.Every time in history, and in every culture, when Christianity has been assailed, the faith of its victims is bolstered, and the gospel then spreads like a wild fire.
A contemporary example of this is China, where perhaps the greatest expansion of the gospel in history is taking place, under the constant harassment of a brutal Communist regime.Modern...
State Favors Result in State Control of the Church
Tax help > State Favors Result in State Control of the Church
As a Bookseller Don't Risk Being Accused of Cheating on Your Taxes
Copyright (c) 2006 Michael Mould
Many online booksellers are of the opinion that their selling of books online falls under the heading of a hobby and they are not obligated to report the federal or state income from their bookselling endeavors, and while I am not a tax consultant or a tax lawyer, I believe many of them are grossly mistaken in their interpretation.
If you are selling books regularly through one of the online marketplaces and realizing a real profit from these sales, you are operating a business and you are required to pay an income tax on your profits.
If you are selling your own collection of books, you may still be obligated to pay an income tax on the sales if what you are selling them for exceeds what you paid for them or if you depreciated them previously.
I have read several places recently that the IRS has been looking into the online sellers of all kinds of products with a particularly keen interest in sellers having...
Tax help > As a Bookseller Don't Risk Being Accused of Cheating on Your Taxes
State Favors Result in State Control of the Church
Persecution of Christians around the world is at an historic and all-time high. While there is great cause for concern for their plight, one thing we can be quite confident of is that the Christian religion will live on. Christianity has outlived every tyrannical regime, stretching from the Roman Empire, to the Soviet Union. It will also outlive the murderous Islamic regime of Sudan, and the totalitarian Communist tyranny of China.History has repeatedly shown that brutally attacking the Christian, whether through imprisonment, torture, or execution, has never served to undermine faith. Persecution only serves to strengthen the Christian faith.Every time in history, and in every culture, when Christianity has been assailed, the faith of its victims is bolstered, and the gospel then spreads like a wild fire.
A contemporary example of this is China, where perhaps the greatest expansion of the gospel in history is taking place, under the constant harassment of a brutal Communist regime.Modern...
State Favors Result in State Control of the Church
Tax help > State Favors Result in State Control of the Church
Debt Settlement
Debt settlement implies offering to settle a debt for an amount less than the original debt. The creditor generally accepts this offer if he thinks that the consumer's only other option is to go for bankruptcy, in which case the creditor can lose all his money. People who are heavily in debt and do not have sufficient money to repay their loans generally go for debt settlement. It benefits the debtor in such circumstances, since there is quicker repayment of debt with a smaller amount of money to be paid, and it helps in fast recovery of credit. Debt settlement also puts an end to creditor harassment, since they stop calling you to ask for their money.
In countries where living on credit has become very common, debt settlement has turned into a thriving business.
There are special attorneys and agencies that can help you in settling your debts. They usually charge up to 15% of the debt, and some startup fees. There might be late fees and interest charges that need...
Debt Settlement
Tax help > Debt Settlement
Tax Guru Sandy Botkin Endorses Internet Based KeepMore.Net
Boulder, CO. (ContentDesk) April 6, 2006 -- Sandy Botkin, author of the best selling book, Lower your Taxes Big Time, is a strong proponent of capturing expenses as they occur so you do not miss tax deductions at year-end. During the past ten years, Mr. Botkin has taught millions of taxpayers how to save millions on their taxes with his various seminars.
"It makes no sense to overpay your taxes.
My goal is to help you stop overpaying, and start pocketing more! It's simple. By keeping better records of expenses, mileage, and income, you will make more money each year.
Give yourself the peace of mind of not having to worry about an IRS audit because your records will be in much better shape with the KeepMore.Net system. The celebrated Mr. Botkin is a tax advisor to SageFire, Inc. and more information about his Tax Reduction Institute can be found on the web at www.sagefire.com/tax.Take advantage of Internet...
Tax help > Tax Guru Sandy Botkin Endorses Internet Based KeepMore.Net