Offshore trading

[Tim_W]

I am considering setting up an IBC in the British Virgin Islands. Can anyone offer info/advice on trading from an offshore registered company and it's structure.

Many thanks.

Tim

 

[peugots]

Tim I have thought of this myself, except that I am no match for the long arm of the inland revenue so instead have decided that when I am ready I will just move offshore and then no can say anything. Nevertheless I would be interested to hear how you would proprose to trade once you have set up your IBC, and how you would repatriate your money to the UK. Please feel free to answer here or by private message because this is a topic I have been looking at for a while now

 

[Rognvald]

Long Holidays :cheesy: :cheesy: :cheesy:

 

[Skimbleshanks]

peugots - trading no problem, it's all on the Internet. You can trade just as easily from the UK with a US broker, so there's no difference. If you went on holiday to Singapore, you could still access and trade your account - where you are makes no difference at all.

Why repatriate your money to the UK? No need to at all. Your business account just happens to buy plane tickets, cars, books holidays, buys holiday villas etc, which are in that company's name. Where they are physically in the world, and being used by whom, is of no interest to anyone.

Just like company cars - you are the registered keeper, but that doesn't necessarily mean that you are the registered owner.

And if you have to go on holiday, BVI is a very nice place indeed. I can particularly recommend Long Bay on Tortola, Peter Island, and Anegada. :cheesy:

 

[kevin546]

You could look for some advice on www.taxationweb.co.uk but I suspect the best thing to do would be to get an appointment with the appropriate professional regarding tax and other issues

 

[eminem]

I would guess that an open forum is not the place to discuss these kind of tactics - you never know who is watching!

A couple of pointers though - you used to be able to set up BVI companies with bearer shares (don't know if this is still possible), this would be worth looking into.

You can repatriate your funds back to the UK in a number of ways, the obvious one is via bank transfer but this will obviously create an auditable paper trail so don't think you can get away with anything doing that. You can always set up a bank account in another jurisdiction and repatriate the money there - that account would have a credit/debit card connected to it and you can spend the cash from that account "wherever" you like (like skim was suggesting) - just be careful where the statements are sent and the destruction of credit card vouchers from the purchases made.

Can't offer any info on the trading aspect via an IBC, you will prob need to discuss that with the trading company you intend to use but I am sure they can "accommodate" (hint).

 

[a320]

This seems to be what frugi's looking for :?:

http://www.trade2win.co.uk/boards/showthread.php?s=&threadid=7635

a320

 

[Tim_W]

Thanks guys for your kind replies.

 

[GETrading]

Tim_W

I have set up and traded abroad on an offshore basis. It is quite simple really. Please go to www.globalexchangetrading.com for contact details and ask to speak to Richard.

R

 

[wheezergeezer]

Can anyone help with the following question (1) If you leave the uk and live some where in euroland, do you still have to pay stamp duty @0.5% on uk share purchase's ?(2) does CGT apply if you don't live here, appologies if this subject has been covered before but I haven't been able to get an answer,
finally if anyone can recommend a good tax advisor,
Thank you in advance...........................

 

[theknifemac]

Chyna

Stamp is payable on UK shares unless you are a member of the LSE or certain types of registered clients. Moving to Euroland will not save you the 50 bps !

Stew

 

[wysinawyg]

On the other hand trading CFDs will. CGT is a local tax for residents so if you're gone for long enough it doesn't bite (I understand Belgium is quite a good place to go too for avoiding existing potential CGT liabilities, if they're ones you're planning to incur I think you are fine in any low tax regime).

wysi

(not a tax expert)

 

[wheezergeezer]

thanks guys.........I have to look at either CDF or SB, if I didn't have to pay the stamp duty, I'd be much closer to trading fulltime

Regards............

 

[10206897]

Fortunately (very), I will be moving to BVI for 3 years from December 2004 and will be trading (I hope) for a living. Perhaps this is an early post to this board, but I may be able to offer full guidance on the subject once in-situ.

New to T2W - excellent forum - caters for a great many levels (mine being relatively low with respect to trading).

Rick

 

[Skimbleshanks]

Welcome to T2W Rick.

I'm sure you'll love BVI if you like ocean life, and I'm thoroughly jealous! LOL

 

[Level2]

Look out chaps.

Listen to some of the advice on here and you're likely to get your collar felt.

Dartmoor is nowhere near as nice as Anegada, Foxy's Bar or the Soggy Dollar.

Be cool.

L2

 

[pierre969]

Tim and if you need to transfer from onshore bank to onshore bank and then go offshore, contact investorseurope. This has its advantages...

 

[stochastic]

-" you used to be able to set up BVI companies with bearer shares"
You still can do the same in Panama. Bearer shares corporation and open the account under the corporate name.

Panama Brokerage

 

[Adamus]

Look out chaps.

Listen to some of the advice on here and you're likely to get your collar felt.

And from ethical point of view you can't argue. If you stay in the UK but operate offshore and live off the company credit card, you are effectively sponging all the services that the UK state offers its citizens in return for the tax they pay, and most people don't want to be thought of as a sponger.

But the interesting question is, how long do you have to remain abroad to qualify as an ex-patriate? In that case, living in the BVI and coming back to Blighty for as long as you are allowed is totally legitimate.

I got this after a quick search of the net:

The rules relating to residence in the UK are - you are still deemed UK resident if you spend more than 183 days of a tax year in the UK OR if you habitually spend more than 90 days in the UK per tax year - habitually means for a period of four or more years in this instance.

It might be wrong or out-of-date, but that's almost 6 months! Like Rognvald said, long holidays look like the best (and totally legitimate) solution.

Looking forward to hearing more from Rick...