From July 2005 EU will tax investment gains15%.....

[bbilly]

It seems that from July 2005 gains on capital investments in any country of the EU will be reported back to the EU country of residency of the investor or have 15% deducted at source. What about investing offshore EU? Any workarounds for EU nationals/residents liveing aboard outside the EU? Change of fiscal residency to say Khartoum for example? /forums/images/graemlins/cool.gif

 

[pragmatist]

It's not just the EU - former "offshore" investment havens in the vicinity of the EU (Channel Islands, Luxembourg, IOM etc) have all agreed. And its only 15% for starters - goes up to about 35% over the next few years ! The incentive for these countries is that they get the first 6% so why should they refuse to "harmonise" ? Have no info about places further away (Caribbean ?) so far. Anyone else know ?

 

[Doffy]

Channel islands will only comply if switzerland agree as well ??

 

[ccscott49]

If you have an official resisdence outside the EU, you're OK. Dubai fr'instance.

 

[poter]

Not to sure of the implications are you saying ANY capital investment, including property???

poter

 

[CodStewart]

I'm about to open an account with HSBC and can count my lucky stars that I'm no longer resident in the EU.

 

[CodStewart]

Ooh, a question. Although not resident , as in I don't have a visa that allows me to stay in South Africa indefinately, I do however, own property there. Would this count?

 

[BrandonB]

So where is your country of residence? Surely everyone must have one?

 

[CodStewart]

Japan but in March we are moving to Mexico and then we'll be permanently on the move. So, where would my country of residence be then?

 

[ccscott49]

You do not have to have a country of residence, why should you? I'm British, but dont live there nor am I "registered" as living there (electoral roll).

 

[Paulka]

Switzerland HAS agreed already!

:-(

 

[ccscott49]

You mean Switzerland is going to give access to accounts of EU residents to the EU governments? Or rather deduct tax from the accounts of EU residents?? I doubt it somehow, mind you they will all be accounts held by offshore companies anyway!! That's what mine is going to be turned into!!

 

[poter]

Still not sure where this is suposed to come from I have scanned the EU sites etc & cannot find any reference to a global (EU) tax.
Anybody have a link?

I am also not sure what investments would be subject to tax, Is rental income included etc. etc.? If its a tax on investments held in the EU, how will an offshore company, or tax haven help? /forums/images/graemlins/confused.gif

poter.

 

[bbilly]

Look here http://www.nationwideinternational.com/eustd.htm

 

[Paulka]

No, the banking secret still is secret .... unless the account holder is under investigation for fiscal offence or crime in any one of the "european countries".
As the definition of fiscal offence varies from country to country, it is not clear yet how this will be interpreted, and how easy it shall be for the investigators to call for assistance from the swiss banks, or swiss justice authorities.
As the new law went into force on July 1st 2005, there is of course no jurisprudence avilable yet.
According to my swiss bank, there will be no change to my own situation, that is :
- no taxation of the capital gains,
- witholding tax amounting 35% on interests, dividends, etc.

Of course you are supposed to declare your capital gains, and interests to your own tax authorities, which will be delighted to handle you their bill.

 

[BrandonB]

Seems funny not to have a country of residence. Surely you have to have one for tax purposes or something like that? Don't you have a residence with a family you could call home?