Quote:
Originally Posted by Kristian
Still a UK resident, Webby (for now, anyway).
It's for a mainstream film production company. Aside from banking, the main purpose is just to have the movies associated with a particular brand (ie Lucas Film LTD).
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Ah.. also... It is fairly common in that field to have a corp based in a low or zero taxation area and have... eg.. LucasFilm S.A. blah (tho avoid that one!
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The reasons are sound in that projects like movies are examples where five years can be spent on planning/scripting etc - then in one year the final product is released and earns money, and the earnings within that tax year are going to be estimated and grabbed at a higher rate. In a way this is unfair, since you spent five years not earning, then the profits are "confiscated".
Sooo.. again, better to give some thought to establishing your production company in a zero taxation area. Panama is a typical example for this type of business.