LEGITIMATE TAX PLANNING
Lawful tax saving can be accomplished either by taking advantage of the opportunities existing under domestic tax legislation or by profiting from the inequality characterizing tax regulations of jurisdictions active in the tax competition.
Various plans are available to optimize your fiscal burden, either as an individual or as a company, such as
- spreading ownership on income producing assets amongst several entities in a single jurisdiction or multiple jurisdictions. When tax income is levied on a sliding scale, spreading the wealth results in lowering each entity’s tax bracket with a possible total saving
- usage of tax-friendly instruments, amongst the allowed alternatives, whereby to reach the desired effect with a lesser tax imposition. This is usually what takes place when a trust is used: tax consequences are better
- elimination of all income and corporation taxes can be achieved through entities located in totally tax free jurisdictions to own all of the income producing assets. This generally results in no taxes to pay, subject to anti-avoidance measures if applied by the taxpayer country of residence