QuettaKid
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Tue Jul-26-05 02:05 PM
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Question: Offshore accounts. |
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What is the deal when they talk about money in offshore accounts? Isin't it all a matter of 1's and 0's at that point and can't those imaginary electronic numbers just be floating in the ether anyplace? What is it about the Cayman Islands anyway?
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Tux
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Tue Jul-26-05 02:11 PM
Response to Original message |
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Offshore accounts are free from state and federal taxes. Hence, you can't have them (your an American citizen) but corporations can (they're multinational despite the incorporation is made in America).
If you want one, set up a dummy office like the rest of the wealthy.
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On the Road
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Tue Jul-26-05 02:12 PM
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2. They Usually Don't Get Taxed |
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Edited on Tue Jul-26-05 02:13 PM by ribofunk
Partly for tax reasons, money deposited outside the US will more than likely stay outside the country rather than be plowed back into the country.
Also, if the money is deposited in an American bank, the bank can use it as a basis for lending to other customers. If the money is offshore, the bank's ability to lend will be curtailed barring action by the Fed.
But you do have a point. Money flows across national barriers much more easily than it used to.
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Nye Bevan
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Tue Jul-26-05 02:20 PM
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3. Offshore accounts are legal |
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It is perfectly legal to have a bank account or any investments in another country. However, US citizens (and green card holders) must pay US tax on all of their worldwide income. Also, if you have a foreign financial account you must report it to the US Department of the Treasury (unless your total foreign assets are below $10,000).
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wakeme2008
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Tue Jul-26-05 02:23 PM
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4. that is the theory anyway BUT I would bet Kenny Boy has a off shore |
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account that IRS does not know about....
Anybody want to bet against me... :)
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KerryReallyWon
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Tue Jul-26-05 02:28 PM
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5. Election money for 2000 & 2004 was found in |
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the caymans islands too! Along with money for the swiftboat creeps the campaign said they were NOT coordinating with! :puke:
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Zynx
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Tue Jul-26-05 02:41 PM
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6. The money is actually in cyberspace, not in the Caymans |
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Edited on Tue Jul-26-05 02:42 PM by Zynx
It's a massive pain in the butt to try to track down exactly where offshore assets such as websites or accounts are. It's all about jurisdiction. The server could be anywhere in the world, and frequently is.
The Caymans - and the rest of the British Commonwealth - have notoriously lax money laundering and "what qualifies as a bank/company" laws. That's why these are preferred as the addresses to slap on assets.
The whole system was originally primarily set up by organized crime to launder drug money. The tax cheats are actually not the main bread and butter of these places.
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ironman202
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Tue Jul-26-05 02:43 PM
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7. more importantly, they have bank secrecy laws |
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as in the bank cannot disclose anything about your account to anyone, be it credit bureau, gov't agency or whathaveyou. Thus, you can hide assets there that can never be touched without having the keycode.
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DU
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Fri Apr 26th 2024, 05:29 PM
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