I'm an American citizen and I've just started making loads of money. My fellow expatriate friend suggested that I open up an offshore bank account in Jersey, which I have done. I still don't fully understand the point of an offshore bank account-- is it so that the US goverment can't see how much money I'm making now? I needed a bank account anyway, that's why I opened it, but I'm still not fully aware of what the benifits are!
2007-04-26 01:00:56 · 4 answers · asked by etienne 2 in Business & Finance ➔ Personal Finance
The purpose is to hide income from the tax man. Off shore banks are not subject to US laws. They do not have to submit 1099 forms to the IRS. So, if you want to hide income and not pay taxes on it, you are breaking the law but may be able to get away with not paying taxes on that income.
2007-04-26 01:06:39 · answer #1 · answered by regerugged 7 · 0⤊ 0⤋
an off shore account in Jersey?.....LMAO
their is a bank in Panama...who has off shore accounts....the purpose of an off shore account is to shield income from over taxation...Panama Banks, do not report income to the prespective account holders.....now if you want to declare your interest as income please do.....but you will have to do it....they wont.....please find the link below to help more
their is a reason 270,000 businesses are registered in Panama.....
good luck.....
http://gwbopc.com/wherbie
2007-04-26 09:50:35 · answer #2 · answered by Anonymous · 0⤊ 0⤋
The government can't tax what it can't track...
2007-04-26 08:02:40 · answer #3 · answered by Matt S 2 · 0⤊ 0⤋
Matt said it all!!!
2007-04-26 08:16:03 · answer #4 · answered by Anonymous · 0⤊ 0⤋