I know very little about these, but is it possible/viable for us eBayers to take advantage of a tax haven to avoid VAT/Income tax etc.

Also I noticed a few businesses on eBay registered in Luxemburg, is this to do with eBay's VAT?

TIA

I tried registering in the CI's but unless you have a very large budget it is virtually impossible.

Canada use to be a haven, last year they made it law that ebay has to turn over all information on sellers that make over $20,000 / year because of all the people making 6 figures and paying no taxes. I'm sure theres a alot of countries you could get away with it, but I doubt any of them has a good marketplace to sell from.

Death and Taxes, only two sure things in life.

Hmm.......Guess your right. Wasnt quite sure how it went. Hoped it was a case of registering the business and a bank account in the Virgin Islands or somewhere, and that would be that. Source products and sell them to the UK, but only pay the Tax Havens tax (which would be little due to selling outside that country!!)

Wondering whether its worth asking one of these 'Setting up a business in a Tax Haven' sort of companies.

It was just an idea really though.

Had a little look around, and see you can buy offshore companies on eBay itself!!!

http://cgi.ebay.co.uk/Establish-Your...item2304fac9e4

Dont come cheap though!!

Originally Posted by Kibble

I tried registering in the CI's but unless you have a very large budget it is virtually impossible.

Yeah you are correct with your post. With the right amount of cash flow you can do anything. Here in Germany, most of the rich register the bumpiness in Switzerland just across the broader.

I was trying to work out if I registered in Dominica for instance, and brought my stock from China, would I have to pay VAT/Customs when it entered the UK? Guess I would, but can a Dominica company be charged VAT?

So confused!!

You have to pay VAT and customs everytime but at some stage you may not want to pay income tax in UK :] then you will need to register company somewhere else and pay tax up there or dont pay it at all like for companies in panama deals made on the sea (outside the border) are free of taxes + in panama you dont need to keep records of your transactions

The Isle of Man is an interesting place.

What you have to do is register a company offshore and in the UK. The offshore company purchases all the stock at say £10 a unit. The offshore company then sells it to the UK company for £19 a unit and the UK company finally sells it to the end user for £20. £9 off your profit stays offshore.

However you pay tax on the money when you being it back in to the uk.

So one option is to have an offshore credit card and use that in the UK but only on disposable items hence they are not traceable or tangible.

Finally it is not recommended as tax evasion is a criminal offence and you will end up with big billy hanging out the back of you in the showers.

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