Off Shore Tax Haven in Labuan, Malaysia.
Off Shore Tax Haven in Labuan, Malaysia.
Not long ago a headline read, “Off Shore Tax Haven in Labuan Island”. Labuan? That little resort island off the Malaysian coast?
Is Malaysia A Tropical Paradise Tax Haven?
It can be. Provided you’re an overseas investor – meaning you are not resident in Labuan Island. Enacted by the Government of Malaysia, it has become one of the best offshore tax havens in Asia, and surprisingly little known too.
Read this Herald Tribune Report on Labuan Island - the Malaysian developed Tax Haven.
So, this little tropical resort with all it’s tropical spendour is a well disguised financial hot house. The unwitting visitor might not realize it at first. But the predominance of well heeled and often famous “visitors” make this little place appear unusually well appointed too. Taking a stroll into the banking or financial district, you’ll find the services for offshore banking, offshore trusts, offshore investing. All of these activities can be quite difficult to navigate for the newcomer, but never fear, there’re always the trusty offshore company formation experts (under strict Government Laws) and services to guide you.
So what has such a tropical paradise got to do with getting international tax moneys? Let’s call it friendly international competition that the world over is competing on.
Tax Havens As Money Launderers?
Even the so called wealthy and developed countries of the world are in on this battle. Sometimes called a money launderer’s paradise by the big industralized nations, they actually serve a great purpose in leveling the financial playing field where income and reducing tax rates are concerned for those people trapped within the jurisdictions of overly high income taxes.
The greedy over taxing governments that continuously fund their own coffers with tax payers cash suddenly have to reduce their income taxes to compete for those same dollars to stay at home.
Oh, another thing, ALL INVESTIGATIONS OF MONEY LAUNDERING in those jurisdictions have found very tiny percentages (less than 1%) of fight capital is really not so. In fact, the biggest money laundering problems are really within the borders of those big industrialized nations themselves – the very same ones that claim tax haven drive criminal activity! Come now, shame on them for telling the world such fibs. CLICK HERE and read about it.
In fact, most people using tax havens are legitimately doing so within the rules of their local laws and international law too.
The way I see it, there’s nothing wrong in retiring early and enjoying living life the way you want it to be.
Shameful Double Standards
Oh, shhh….once in a while, if you travel to these parts of the world, you’ll get to meet and see on international and industrial celebrities and the occassional government or former government official who make use of these shall we call them…ahhh…Facilites?
But no pictures please! You’ll not like what those jurisdictions will dictate to you if even attempt to do so. Don’t just take my word for it and go see for your self and see for yourself the tax savings wonders of an offshore company formation.
If you enjoyed this post, make sure you subscribe to my RSS feed!
[...] Tax Havens are rarely used to launder money or used by criminals according to the research by the CIA and the IRS. [...]
[...] Despite websites with some apparent experts claiming to tell everyone who reads it that it is illegal and run for the hills or an American bank in this case, there are many more websites around the world saying otherwise, and they proudly display the effectivenes of such a strategy as an asset protection strategy. That offshore banking is illegal is really a made in America and some wealthier nations’ claim, but which are really surrounded with controversial bullying of very small nations. Money laundering has actually been used as the reason for offshore banking and found to be largely misleading. [...]
great read, I honestly did not know that before! by the way does anyone know if this site that says i can
great post, I really didn’t know that before! btw does anyone know if this site that says i can
Labuan is truly gorgeous I have got to say I have been there twice and loved it every time what a wonderfull place to get away from the hustle and bustle of every day life
Ironic that the G20 nations has made it appear to be a black listed spot on the planet when it is much sought after paradise “lost”.
I wonder how many of those nay sayers actually enjoy that midddle of nowhere hospitality themselves? Sort of reminds me of “the plane…the plane” but they come for their secret fantasy.
Respected Sir / Madam,
We are a professional firm providing a gamut of legal services domestically and also offering offshore structuring and incorporation services to our local clients. We even advice overseas client to set up business in India.
To provide you with a brief background, our client is engaged in “Online Advertising Business”, whereby they publish their customer’s advertises (ads) on the internet sites and site visitors can see these ads and also visit the same by clicking on it. Our clients earn revenue on this ads publishing and also in turn have to pay the publishers on whose website the ads are displayed. These online advertisers and publishers are spread worldwide and payments are also received and paid all over the world including sometimes OFAC countries.
We want to create and Offshore Vehicle (to be jointly owned by Indian and US nationals) for our clients which will enter into advertising contracts, issue invoices, make international payments, receive international payments, create a payment gateway or such other arrangement whereby the operations and processing of international receipt and payments (whether wire transfer or net banking or credit cards) runs smoothly and which is also cost effective. Currently our clients are paying high fees and commissions for getting their international payments processed from US.
We require your feedback on the following points -
1. The current tax, investment and legal regime vi-a-vis India/US, in your country. We are aware of most of the provisions but any special point recently introduced fo which we should be aware.
2. The types of offshore companies or other vehicles available with procedures, Forms and costs.
3. The suitable Offshore Structure which is efficient based on our clients requirements specially with a view to providing an effcient payment gateway, tax savings, parking of funds, invoicing facility etc.
4. Can a separate and dedicated Offshore Company or IBC be incorporated specially for only processing international payments through wire transfers, net banking, money transfer agencies, credit card swiping etc.? Is your country’s banking system offering cost effective payment gateways?
5. Any other Tax Efficient jurisdiction which you can suggest. The proposal can be a network of companies with one holding company (with payment gateway) and 2-3 other companies at various offshore locations for invoicing purpose. Alternatively the Structure could be a Single or network of Offshore entities and a US or other bank account with payment collection and making facilities worldwide.
We would like your prompt feedback on the issues discussed above. Thank you.
Manoj Mehta
THis site is very helpful, I hope you guys dont mind but I forwarded your details over to a few freinds that I felt would benefit from these details