However, it is recommended that you check with your own country’s tax rules on the options for tax deferred investing with offshore structures. The U.S. tax code specifically makes it virtually impossible to legally use offshore structures with U.S. persons or entities as shareholders for tax-deferred investing, unless the structures primary use is for the operation of an internationally based business. As always we recommend that you consult with an expert in your country for their opinion of what loopholes can be taken advantage of. Every Western country’s tax code leaves open certain loopholes so that the elites of that country can use them to their own advantage.
U.S. Investors have a special hard
time because of the aggressive nature of U.S. regulators,
who are apt to impose their authority on foreign
based
investment providers. Many offshore funds and
other investment options are not even open to U.S.
persons
and entities. Most of these have a track record
way
in excess of what investors (in particular U.S.
investors) are accustomed to. U.S. securities regulations
are so
onerous, that even offshore investment companies
can be forced to comply with U.S. regulations,
if they accept
funds from U.S. based investors. Moreover, U.S.
authorities
have been known to harass these offshore investment
companies, making it very unpleasant to try
do business
under those circumstances. Many of these companies
have therefore decided that they would prefer
not to deal
with U.S. regulators and consequently routinely
exclude U.S. investors.
An offshore IBC provides the alternative,
since that IBC is in a jurisdiction other than the U.S.,
regardless of where it's managers or officers are domiciled.
Consequently, the offshore fund managers will not be
subject to pressure from U.S. based regulators. However,
be warned that many compliance officers in foreign brokerage
and fund companies now will not even accept a U.S. passport
holder as a signatory on the account, even if they can
show they are neither an officer or shareholder of the
company. Sometimes the only way round this problem is
to avail oneself of professional third party account
signatory services.
For those who are currently holding
stocks that have a large built in capital gains, an
independently managed non-controlled Foreign Corporation
used in conjunction with a private annuity can help
defer and/or lower those taxes significantly. This
strategy, however, must be implemented before the
securities are
actually sold. This strategy is discussed more fully
if you click here.
To set up an IBC owned by a Foundation
for the purpose of tax-deferred investing order
online now. | 
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