There's been a lot of talk recently in the "alternative" press about the benefits of "Offshore" companies and trusts for the small business owner and investor. Some of this information is correct, and some of it is incorrect. One of the major myths that I hear is that is expensive and not viable for the average person and in my opinion is simply not true. The cost of establishment can be as little as a two thousand dollars. Another myth is, setting up a company or trust in a so-called "tax haven" is illegal, again this is not true. There are over 50 so-called 'tax havens" in the world today and the number is actually growing as the competition for "globalised" financial services hots up.
TAXATION - If you structure the offshore company correctly (and this is vitally important) you can gain substantial tax benefits, and I mean very substantial! In some cases, taxes can be reduced to zero, legally. There is also the problem of inheritance taxes in some countries and the looming possibility of inheritance taxes being introduced elsewhere. A properly structured offshore company can eliminate this threat to your heirs' finances.
