Anyone operating through an offshore limited company?

[mudskipper]

Not a problem setting up an off shore company and sending all your money to it. Question though - how are you going to get the dough back into the UK without getting taxed on it?

ATM?

[DannyF1966]

Question though - how are you going to get the dough back into the UK without getting taxed on it?

Roll up wads of notes, stuff into a condom and insert into orifice. I don't think sniffer dogs are trained to recognise the smell of filthy lucre. Once back in the country, visit a bureau de change.

[TheFaQQer]

ATM?

I didn't think a nice girl like you did such things

[Pondlife]

I didn't think a nice girl like you did such things

This is the Business forum and everyone has their price so I am told.

[Safe Collections]

The cayman Islands is so 1990s. All the cool kids are incorporating their dodgy companies in Nevada or Delaware these days...

[TheFaQQer]

The cayman Islands is so 1990s. All the cool kids are incorporating their dodgy companies in Nevada or Delaware these days...

It makes you wonder why with all the talk of cracking down on tax evading companies in the Senate and the House of Reps, why are they focussing on overseas?

It's almost as if the VP comes from a tax avoiding state

[JRCT]

It makes you wonder why with all the talk of cracking down on tax evading companies in the Senate and the House of Reps, why are they focussing on overseas?

It's almost as if the VP comes from a tax avoiding state

Whenever anyone refers to 'The Senate', I immediately think of Star Wars and Chancellor Valorum

[tomtomagain]

If google, amazon and starbucks are getting away with it then surely i can too? I'm thinking to go outside of EU and US jurisdiction considering recent scandals in switzerland. Always fancied a trip to the cayman islands!!

Idea might be to set up a limited company abroad then to charge my UK company some kind of licence/consulting fees. Thoughts/experiences? I figure that I can save £15k/year in corporation tax!!

Save a whole 15k a year. That'll barely cover the flight and hotels.

[Iliketax]

So if you save £15k per year, that's a £75k invoice per year from the cayman company. Using a reasonable multiple, that suggests that the IP that you transfer to it is worth around £300,000. There must be quite a lot of tax on that £300,000 you are treated as receiving (even though you get it)?

And as it's your company, the cayman company will probably be managed and controlled in the UK and so it will pay UK tax. So it pays £15k. Oh, HMRC will also say that the £75k paid by your UK company is not for the purpose of its trade and so will disallow it.

So in summary: Tax on £300,000 that you never get. Cayman company paying an extra £15k per year. UK company, no difference in tax each year. Nice one?