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Personal Tax Overview

There is always some smallprint, this can be used as a basis for further enquiry. An alternative list with territorial tax countries can be found here

Short list

According to wealthy expat:

  • Swiss (only if paying annual tax above 150k - 400k chf otherwise obtrusive annual wealth tax declaration)
  • Dubai (5k to setup company, high annual maintenance rules)
  • Singapore: hard to get in since cap introduced in 2010
  • Portugal: leftist government introduced CGT at 43%
  • Chile: lefties in power since 2019 following riots
  • Monaco (not for french)
  • Cayman: 1m+ for perm residence
  • Malaysia: mm2h visa woes
  • Thailand (weird papers on all remittance being deemed income published within 1yr of thailand vip visa)
  • Georgia

Special Mention for Countries Deemed to Deserve a Visit

  • Turkey (RE market is chaotic due to ccy instability)
  • Serbia (RE market is overvalued)
  • Uruguay (small country trying to play switzerland to Argentina and Brazil. Plan A residence, not backpocket)

Income and CGT Tax Rates by Jurisdiction

  • Bahrain: 0, 135k investment for PR
  • Oman: 0, residency possible
  • Sarck: 0% - same residence rules as UK
  • Cayman: 0% 1.7mln total investment: 500k in account + 1.2 mln investment among which 600k in cayman, easy nomad residence
  • Bahamas: 0% house for more than 750,000 for permanent
  • Bermuda: 0%, digital nomad visa 12 month, high cost of living
  • Anguilla: 0%, 0%, digital nomad visa 12 month
  • Antigua and Barbuda: 0% - can get in as EU citizen, 1yr digital nomad visa
  • UAE: 0, easy nomad visa, income may be reclassified as company profit taxable at 9% if Dubai corp makes money.
  • Montenegro: 9%, 9%
  • Romania: 10%, 5%, nomad visa, lowest tax Shengen country
  • Paraguay: 10%, 8% - Territorial, TR and PR after 2 years, lowest tax in mercosur, travel and spend few month with cedula in Argentina, Brasil, Uruguay.
  • Bulgaria: 10%, 10%, CGT exempt for EU stocks
  • Belarus: 13%,0%, country no longer covered by Deloitte
  • Russia: 13%,0%, 250k GV by real estate (500k in Moscow, StPete), country no longer covered by Deloitte
  • Hong Kong: 15%, 0% - Territorial (200hkd china 5Y travel pass) if resident), PR after 7 years
  • Mauritius: 15%, 0%
  • Hungary: 15%, 15%
  • Ukraine: 18%, 5%, additional military taxes
  • Georgia: 20%, 20% - Territorial, PR 300k
  • Singapore: 22%, CGT 0% - Territorial, PR became near impossible to get after 2012 for westerners.
  • Swiss: 13% + 11%, CGT 0, Div 30% - can get in as EU citizen. residence needed if more than 1yr, wealth tax 0.5%. Lifetime flat tax deal over 150k CHF per year.
  • Guernsey: 20%, 0%, real estate control
  • Jersey: 20%, 0%, real estate control, contribute GBP145k tax and invest GBP1.7m in real estate
  • Serbia: 20%, 15%, geostrategic pivot: Russia,EU
  • Armenia: 20%, 20%, tax rates not stable from 2004 to 2020
  • Estonia: 20%, 20% easy nomad visa 1yr
  • Czech: 23%, CGT: 23%
  • Spain: 24.5%, CGT: 26% easy nomad visa
  • Panama: 25%, CGT 10% - Territorial
  • Costa Rica: 25%, CGT 15% - Territorial
  • Spain: 24%, 28% - "temporary" wealth tax up to 3.5%, leading to fiscal inquisition
  • Dominican Republic: 25%, CGT 25% - Territorial
  • Canada: 29%, 14.5%
  • El Salvador: 30%, 10%
  • Nicaragua: 30% 15%, Territorial, plan A residence, liked by many US retirees, geostrategic pivot: China, US
  • Croatia: 30%, 20% nomad
  • Puerto Rico: 33%, 15%
  • Latvia: 31%, 20%
  • Lithuania: 32%, 20%
  • Kenya: 35%, 0%, 7.5% on rental income
  • Mexico: 35%, 10% easy PR, easy nomad
  • Malaysia: 35%, CGT 10% (Real Estate only), Territorial, although this is being reviewed
  • Cyprus: 35%, 20%, Cyprus can give tax residence if staying only 60 days, provided the person did not stay 183 days in another country, maintains a residence there, and has some activity there.
  • Malta: 35% with lots of loopholes at 15% for remittances, easy nomad visa
  • Indonesia: 33%, 35%
  • Thailand: 35%, 35% -> elite Thai visa and LTR, no tax, 17% tax on remittance?
  • Philippines: 35%, 35%
  • Uruguay: 36%, CGT 12%
  • US: 37%, 20%
  • New Zealand: 39%, 0%
  • Colombia: 39%, 10%
  • Taiwan: 40%, 20% -- Territorial ?
  • Turkiye: 40%, CGT 40%, Turkiye State has low fiscal receipts. The State finances its spending with inflation.
  • Ireland: 40%, CGT 40%
  • Luxembourg: 42%, CGT 42%
  • Italy: 43%, CGT 26%, Italy flat tax deal: 100k per year for 10y, was just doubled to 200k
  • Greece: 44%, 15%, flat tax deal 100k per year for 20y?
  • UK: 46%, CGT 10%/20%
  • Slovenia 45%, CGT 25%
  • Germany 45%, CGT varies
  • Australia 45%, 45%
  • Portugal: 48% , CGT 24%, nomad visa, 3Yr impatriation deal: territorial + 20% tax on income, 0% dividends except from its long list of blacklisted tax haven
  • Netherland: 49.5%, CGT 0%
  • Austria: 50%, CGT 30%
  • Japan: 45% + 10% , inheritance and gift tax up to 55%
  • Aruba: 52%, CGT 25% nomad
  • Denmark: 56%, 42%
  • France: 45%+17%, CGT 30%+17%, 1.5% wealth tax, impatriation deal 8y territorial

If you consider one of these countries for lifestyle reasons, besides the current tax rate, you need to asses the public debt/GDP and fiscal deficit/surplus situation to see whether the tax rate can be sustained.

Note: here is the portugal list of tax heavens

It should be noted that purchasing CBI and RBI may trigger additional CRS due diligence by banks if listing that jurisdiction as residence. The comprehensive list by OECD as of Jan 2023 is:

  • Antigua and Barbuda Antigua and Barbuda Citizenship by Investment
  • Antigua and Barbuda Permanent Residence Certificate
  • Bahamas Bahamas Economic Permanent Residency
  • Bahrain Bahrain Residence by Investment
  • Barbados Special Entry and Residence Permit
  • Cyprus Citizenship by Investment: Scheme for Naturalisation of Investors in Cyprus by Exception
  • Cyprus Residence by Investment
  • Dominica Citizenship by Investment
  • Grenada Grenada Citizenship by Investment
  • Malta Malta Individual Investor Programme
  • Malta Malta Residence and Visa Programme
  • Saint Kitts and Nevis Citizenship by Investment
  • Saint Lucia Citizenship by Investment Saint Luciasalary
  • Seychelles Type 1 Investor Visa
  • Turks and Caicos Islands Permanent Residence Certificate via Undertaking and Investment in a Home
  • Turks and Caicos Islands Permanent Residence Certificate via Investment in a Designated Public Sector Project
  • Turks and Caicos Islands Permanent Residence Certificate via Investment in a Home or Business
  • United Arab Emirates UAE Residence by Investment
  • Vanuatu Development Support Programme
  • Vanuatu Self-Funded Visa
  • Vanuatu Land-Owner Visa
  • Vanuatu Investor Visa

Residence Blocs

According to IMI daily, the multinational residence blocs are:

Alternative to Property Rights: Charitable Foundations

Maybe it would be appropriate to have a small civilizational parenthesis of capital:

  • According to Acemoglu in Why Nations Fail, much of sub-Saharan Africa did not develop because property rights were diffused in the community. If a European colonist bought land from an indigenous farmer, any distant cousin of the farmer could show up, claim shared ownership and demand for the same payment.
  • According to Fukuyama, State formation competes for resources with tribal agnatic lines. We see a competition between patrimonial accumulation and confiscation by the State. China had no formal property rights, but the government lets families accumulate patrimony during stable peaceful periods typically lasting 3 centuries, and confiscates over more difficult transitional periods that last typically less than 80 years. China was so patrimonial that a woman without male heir was not entitled to property rights, and her property would be owned by the nearest male.
  • In the case of sudden conquest, we see nomad conquerors from agnatic societies resort to slave armies and civil service to avoid patrimonial capture. The Mamluks in Egypt and Janissaries in the Ottoman Empire are examples of slave civil servants who eventually manage to obtain the right to have children and, eventually, to repatrimonialize their charge. Prior to that, according to Fukuyama, the Mamluks create religious charity that hold significant wealth.
  • England shows remarkable individualism from the middle-age onwards, with wills created to defend property rights against claims from children or parents. Trusts are created to strip property rights and protect the owner from seizure.
  • We see these two legal mechanisms to allay confiscation: trust and foundations.

Trusts and Private foundations

In general, US Trust and Foundations can be used by US persons for estate planning.

  • revocable trusts are transparent for tax whereas irrevocable trusts create some tax opacity.
  • irrevocable trusts file their own tax, and distributions to beneficiaries are declared and taxable. Using a trust is therefore a way to delay taxation
  • grantor retained annuity trusts: irrevocable trust that pays an annuity to the grantor. The trust beneficiary is taxable on the initial capital but not on capital gains.
  • see section 501(c)3 organizations, contributions to these foundations are deductible. The foundation pays a 2% excise on investment net return, and pays controlling officers, which are usually family members, a taxable remuneration.

Foreign Trusts and Foundations

The following offshore trust and foundations are mentioned in Hidden Wealth of Nations

  • Cook island trusts
  • Liechtenstein and Panamean foundations

Sovereign Individuals

The following billionaires avoid money and dtcc cleared assets:

  • Eric Larcheveqque: french venture capitalist cofounder of ledger, 95% invested in Bitcoin
  • Pavel Durov: founder of VK and then Telegram, invested in Bitcoin and his own companies.