a simple way to not pay taxes if you don't live in the US
 

I don't know if y'all realize this but you are aware that ANY us citizen that earns his income while not in the united states doesn't have to pay tax on the first 70K of income he makes. If you're a US webmaster and are doing your sites from mexico, you don't have to pay tax on the first 70k. Of course you still have to file the tax forms.

So if a US citizen doesn't have to pay tax on the first 70k, I am sure that this applies to foreigners with US companies.


Another option to not pay Federal tax is to do your business in Puerto Rico. After you have established your residency for a year there. you don't have to pay ANY federal tax on any of the shit you make.

Well put!!

On the other side of the dime, ya gotta ask, why bother with any US corps/Tax Codes? There are plenty processors with solid banking relationships around that are not US based and ready to do the job.

If you don't pay your taxes how is George Bush going to pay for all this warmongering?

Yeah, I read something which said a war with Iraq will cost ya around 9 billion a month. :1orglaugh

*Lol*

Sadly .. and I'm sure George will miss it *g* - we ain't got any intention of incorporating in the US and providing VISA with all our company data... so he may have to forgo his donations from us on his "war"...

Actually I think it is the first 80k.

it used to be 80...then they lowered it to 70....bastards....

This can't be true when i use to live overseas all my taxes were still taken out even the state tax.



But then again if you made money then wouldn't you have to pay taxes to the country where you reside in?

*g*.. Yea.. you'd have to do accounting and pay taxes in the country in which you reside... that is, unless you choose to live offshore and pay nuthing!!

Anyways.. tis not the money.. I can't stand filling in forms to officialdom - so, we just reside offshore!

But unfortunately for US Citizens this ain't so easy under their laws - so need advice on that one!

Na.. not taking *any* advice from

"Originally posted by LAJeff
www.paynoincometax.com "

he's kinda fucked anyway cos he is a US citizen and conrolled by exisiting laws there.

Other countries, (other than US, and about 5 more) do not require tax declarations (or any tax payable!) from their citizens while living elsewhere.

This is funny, Steven Swan, the guy that put this website together is going to Jail cause he was telling everyone that the "income tax was only a tax on the Wealthy". That statement is so wrong its crazy. He is now trying to save his ass.

yso the money I made helping the guy in Nigeria get the suitcase with the $35,000,000,000 I dont have to pay taxes?

you fucking people here are unbelievable.

you are W R O N G

to qualify for "Foreign Earned Income Tax Exclusion" you must be out of the US for 330 days out of that tax year. You then qualify for an exemption on the first 70,000.00 of income.

i cant imagine any other place on the net with more fucked up and backwards people passing out retarded business and legal advice.

and that is just for an exemption on US taxes which you are liable for as a citizen of the United States... which makes you liable to pay taxes on ANY income earned worldwide.

you may also be in a country which does not have an agreement with the US... particularly a Double Taxation Treaty... which would most likely mean you are liable for taxes in that country.

Pay your taxes or we'll never find Osama

B40

Shit.. you can't find him either?? I've been looking pretty hard - the bastard is never around when you need him!

Got a job for him... I need the global regional VISA processing centers "sorted" - tell him if ya bump into him someplace!

its the laser guided bombs i wanna pay for... the
ones with the cameras in the nose cones.
those things kick ass... at least you see what
you get for your money and what your tax
dollars blew up.
:thumbsup

he'll sell the secret clinton whitehouse sex tapes through adult platinum of course.

You seem to know a bit of the US tax code. Here's a scenario:


You have an LLC or Corp here in the US. It contracts with a foreign corp based overseas for "web services" These services eat up 70% of your revenues leaving you with a net profit margin of 30%. You file in the US all your income but, per the tax laws, deduct the business expense to the Overseas corp. So you only pay taxes on the 30% you keep in the US.

The Overseas corp, which incidentally is owned by a "representatives board" which you pay, deposits the money they receive from your contracts, minus processing fee, into a local bank with US branches. You have an ATM card and can access the funds from a US branch of that international bank.

Variable #2: Certain countries have TIGHT bank secrecy codes so they cannot disclose who owns a particular account.


Put these two variables together and we need to answer the following:

Let's hear it everyone...Legal or NOT Legal?

By the way, US corps use a version of this exploiting some holes in the "finished product" and "foreign income" sections of the US Tax Code.

Variable 2 is only true on a day to day basis...and a poor assumption to risk going to prison on.

IF it is true today... and you tell the IRS or anyone that you dont have that money, you dont have direct or indirect control over that account etc... it may be proven 9 years from today that you lied when they bust open that countries banking system as they have most others in the world... even Switzerland

here is the problem with banking secrecy... its great for protecting assets. its very bad if you want to use it to lie to the Internal Revenue Service. if you are liable for US Taxes, you can be imprisoned in the US. I know one Russian in Seattle who was not a citizen who was convicted of Tax Evasion a couple years ago.

otherwise, the short answer is yes. you can do anything you want and fuck the numbers around to your advantage. a German company can have a contract with a domestic "management" company for that management company to pay its bills in the US, receive payments etc. That foreign company can have an account at Citibank. so can the foreign company. there is no difference other than the person opening that account on behalf of the foreign company will have to be personally at the bank. The US bank and any bank is required to use "due dilligence" in verifying who they are dealing with. Otherwise you could be funding terrorists or laundering money from cocaine sales.

I have business accounts all over the world and this is usually the case. After 9/11, i have not seen an exception. it is true in the US as well. i have several accounts in one country, which had more than 100 debit cards for sub-accounts of that account which was how i paid people (instead of dealing with piles of cash in a dangerous country and shaky banking system)... all those cards were recently terminated by the bank and they require each person now to get them in person, providing ID's etc.(9/11 rules)

I think this is a shitty situation for people to be in... i understand how much it sucks. but the unfortuneate reality is that there is no shortcut or simple solution. whatever you do must be legal in the US and your own country of residence. Only an experienced attorney can work all this out.

hiding money in secret accounts is a good way to go to prison... each time you file your taxes, you will be forced to lie. The statute of limitations on that lie is 11 years (i think, maybe 13) in the UNited States. That means that 10 years from today, you can go to prison for lying about all this today.

I obviously didn't mean that you couldn't just leave the US and start claiming the exemption. That's why I said it for people that LIVE OUTSIDE OF THE US. That means mainly year round. The same thing for puerto rico and like I said in my ORIGINAL post that you FIRST must establish residence for AT LEAST A YEAR.

so how was it retarded and fucked up when you just repeated what the fuck I said in the first place?

i know what you said exactly.

you said :

"I don't know if y'all realize this but you are aware that ANY us citizen that earns his income while not in the united states doesn't have to pay tax on the first 70K of income he makes. If you're a US webmaster and are doing your sites from mexico, you don't have to pay tax on the first 70k. Of course you still have to file the tax forms."

what is the relation to being a US webmaster and doing your sites from Mexico? Earning money in any foreign country does not make you exempt from federal income taxes as a US citizen.

to qualify for foreign earned income exclusion, you need to reside outside the US for 33O days of that tax year and earn your money in a country which has a double taxation treaty with the US (i think there is only 18)

its a far stretch to say you were saying the same thing or to say that i repeated what you said.

what you said was wrong and you are misinformed.

What code section is that ? I have the IRC 26 here in front of me. Let me look it up.

Supposedly its under corporate nonresident income. The finished product loophole is based on a tax court ruling.

I am from Czech Republic and here you don´t need to pay taxes for the first 400$ not 70K :1orglaugh

Solution??:Graucho

Leave and come to some exotic offshore for a much higher lifestyle and never see a tax form or *any* accountant ever again!!:Graucho

And they sure make a decent Long Island Tea for next to nuthing!! *lol*