TAX FREE COUNTRIES
The Bahamas. The Bahamas imposes no income tax on its residents and receives most of its revenue from tourism and its robust offshore industry. Its residents pay zero tax, regardless of where they earn their income. The government application fee for Bahamas temporary residence is only $1,000, and it is renewable yearly. You can get a long-term or permanent residence if you invest $250,000 in real estate. The Bahamian passport is a surprisingly good travel document – just look at all that visa-free access!
The British Virgin Islands. Though typically recognized for its robust incorporation and fund management industries, the BVI is also home to a number of entrepreneurs from around the world who have planted a flag here to legally avoid high taxes and improve privacy and finance elsewhere. To get a residency permit, you will need to show bank statements that indicate your finance and personal wealth, and pay a $1,000 surety bond.
Brunei. You can obtain residence or permanent resident status in this small jurisdiction nestled on the island of Borneo. Brunei has great incorporation and banking options as well.
The Cayman Islands. This jurisdiction’s financial authorities have made incorporating into their state expensive, and generally, it is best used for fund management, not offshore companies that hold an active business. To live on Grand Cayman, you must have an annual income of nearly $150,000, and invest $500,000 in real estate or local companies (which could be your own company). These requirements are more relaxed if you choose to live in one of the smaller islands.
Monaco. I love this place. The principality has a special place in my heart and visiting there is always an adventure (just avoid the casinos!). The principality bordering France and Italy is part of the gorgeous French Riviera. It doesn’t have an airport, but you can easily get there by train or car, or if you are so inclined, boat or helicopter. We have the full breakdown of what it takes to get residency in Monaco here.
Oman. Oman does not tax personal revenues. Residency permits are limited, the two most common ways are through employment or through an Omani family member. Before applying for residency it is required to obtain a Non-Objection certificate, signed by both the sponsor and the government.
Turks and Caicos. Turks and Caicos have an economic residency program that offers quick residence permits to foreigners who either spend at least $300,000 building a new house or remodeling a distressed property, or who invest at least $750,000 in a company that is majority-owned by locals. Did we mention there is no tax here?
The United Arab Emirates. The United Arab Emirates does not levy personal income and corporate taxes (except some economic activities such as oil, gas and financial services). You can easily get a residency visa by setting up a 100% foreign-owned company in one of its more than 40 free trade areas. In addition, it is possible to set up an offshore company in the emirates of Dubai, Ajman and Ras Al Khaimah. With a Dubai’s offshore company you can even own real estate in certain Dubai’s development projects.
Vanuatu. Vanuatu is one of the few tax-free countries where one can obtain residency and citizenship through a donation. Economic Citizenship has been relaunched this 2017 and it also has a very straightforward residency program. Investing about $89,000, you will receive a one-year residence visa, which can be renewed annually. If you want a more permanent establishment, you will have to make a larger investment, which will grant you residency for three, five, 10, or even 15 years. Click here for further information about residency visas and second passport in Vanuatu. Vanuatu is also an offshore financial center, which stands out for its privacy policies. Is a trip to the South Pacific on your horizon? Bring your sunscreen.