Things to Consider about going Offshore

Some common myths and scaremonger



"Going Offshore" is illegal - the government will not approve of it.


There is nothing illegal in in using the laws of other countries. Please check here to get it verified.

But it is correct that your government will not approve of it. It can't. It is outside its jurisdiction! And that, of course, is bad news - for the taxman....

"Going Offshore" is expensive - only for the rich.


If you mean to say that your freedom isn't worth a $1,500 investment and about $300 in yearly maintenance, then you are right. So, how does this compare to your value as a slave? If you are a US citizen, for instance, then your government (as of 2009) has used your name as collateral for over 25,000 in interest-carrying loans from private banks! So, you government and the private lenders certainly think you are worth a bit more, as you can see...

"Going Offshore" is complicated - not for ordinary people with no special education in financial matters.


This is true. But that is exactly what you are about to do something about... The necessary education is indeed available! You are on the right page. In our experience, the education is not rocket science. The complexity is at a level about where you will also find the education required for a driver's license.

"Going Offshore" is dangerous - you risk losing everything.


Again, this is true - for those who do it without first getting the necessary education. But this also goes for driving a car without having learned how to do it....

"I need to discuss this with my lawyer"


And what makes you think the he knows anything about law in foreign countries? Besides, how do you dare to trust him when you consider that his business' future depends on his ability to maintain a business license, granted to him by a government that will not like to see him help you escape from its control? Do you want to hire foxes to guard your chickens?

"All I need is an offshore account with a foreign bank, to which I can receive money in secrecy, without telling my government."


This is a ticket to jail... If you want to run that risk, then please do not tell us about it - we want nothing to do with it. Hiding information you are obliged by law to provide is criminal. "Going offshore" involves far more than "just setting up an account", if you want to clear clear of crime and still enjoy some serious tax benefits.

"I do not need to pay for this education - I can find what I need on-line, from public sources - there are lots of free information available on the Internet"


Wow, if you think that, then you are really fooling yourself. Big time! Any serious service provider in this industry will display on publically available web pages only information that will support the government's scaremonger!

Why?

Because, if they told you the full truth in full publicity, they would not be in business next year. The government would make their solution illegal and have them shut down...


In addition to this, you need to understand that the vast majority of service providers in this industry are more than happy about selling you something that you might think is "an offshore structure", whereas the legal reality is that it is a tax trap... The reason is that, if your name in any way whatsoever is associated with the set-up or creation with such a structure, or you are given any formal authority over it, then you will be deemed "the owner" of it, as far as personal income taxes goes, whether or not you actually legally are the owner! (Mind you, the taxman does not care that a Trust or Foundation does not have any owners - you will be taxed as if you were an owner, regardless, if you use such a structure as if you owned it!)

Yes, there are ways around this! Very effective ways. Also for US citizens. But they are not so simple or obvious that they can be prohibited! As you understand, if you want the full advantages, then the process involves far more than "setting up an account" or "ordering a structure". We will be happy to teach you the details...

You have to understand that the value you can have on an offshore structure has very little to do with the specific legal nature of that structure. It can be a Trust, a Foundation, or an IBC - or any combination of those - and, if you go ahead and order such a structure set up for you, then you will still be liable for including their income on your personal tax return!

Nevertheless, the facts are that all rich bankers and "heavy hitters" in the financial world are already doing this in a much smarter way and have been doing it for decades, if not centuries.

Wasn't it about time that you too took advantage of what they consider their privileges? Or are you OK being a second-grade human?

*

Your check list - before you spend any money...

Finally, if you came this far, you also need to understand that the way to approach this goal is actually more important than any standard questions like
o What kind of entity?
o What domicile?
o Which service provider?
o What price to pay?
o How to pay for it?

Let it be crystal clear that you can achieve your asset protection objectives with a Foreign Grantor Trust, with a Private Interest Foundation, or with an IBC (= International Business Corporation). They are all suitable - and none of them will work if you get the set-up done wrong!

For conduct of business (other than passive investments), you will need an IBC which is owned by one of the other two.

Also, what domicile you choose is of extremely minor importance, if it has any at all. Except for the fact that you know that people who urge you to focus on that topic as being important simply know nothing about "offshore" from personal experience... The only relevant limitation is that you cannot engage the offshore entity to conduct business in its own country! So, if you want to invest in, say, Panama, then you cannot use any entities that have Panama as their domicile. Other than this, domicile simply does not matter.

Your service provider matters, though.... The people you contact in order to get an offshore presence into operation for you and the way they do it is paramount to your success and to your ability of staying out of legal trouble with your own government.

You must make sure that your service provider accomplishes all of the following for you:
*

It must be provable that the entity was created without your involvement, directly or indirectly! If there are any public records available of you ordering it or being its founder, then you are personally liable for it, in your relationship with your own government. If you pay for it, then you will be considered "having ordered it" - and you pay your taxes for it...
*

The entity cannot be established with your name being associated with it in any way whatsoever! You cannot assume any office for it, you cannot be a beneficiary for it, you cannot be a decision-maker for it, you cannot have any legal authority over it whatsoever. If you do, you will have to lie next time you sign your tax return... Even a secret Power-of-Attorney will make you a criminal if the taxman comes after you!

Here is what will kill the deal for you:

1.

If you think that "going offshore" is as simple as "opening an account" or "setting up an X" (whatever X might be), then you are in deep trouble... (Note: if this was "simple and easy", then you could bet your bottom dollar that it would be made illegal tomorrow)
2.

If you are named in the legal papers for the entity as Founder, Grantor, Settlor, Initiator, Subscriber, Shareholder, Beneficiary, Trustee, Counselor, Director, Protector, Overseer, Controller, or anything else that covers the meaning of any of those, even on a limited or shared basis, then you are in trouble....
3.

If you make a payment for the entity that goes through a bank or in any other way is registered by someone who is under government control and subject to liability for reporting it, then you are in trouble....
4.

If you use a service provider in the USA or the UK or in some other totalitarian country where professionals are obliged by law to report "suspicious action" to their government or even entitled to a bounty if they do, then you are in trouble....
5.

If you use a service provider that openly advertises how they are going to solve all these problems for you, then you are in trouble.... because they will not be in business next year, and you will be left on your own.
6.

If you think you cannot find a service provider that can avoid all those pitfalls for you, then you are simply not intelligent enough to deserve an offshore presence... (Those service providers certainly exist, whether you happen to think you have found one yet or not)

If you know of a service provider that can and will ensure your compliance with all these demands, and who will put you in firm, realistic control of an offshore legal entity, without giving you any liabilities for it whatsoever, but including the education you need to be able to do this, then you have done your due diligence well.

If you have still not found that service provider, then your search is not over yet.

Why Get a New Mexico LLC

The New Mexico LLC offers all the benefits of Nevada and Delaware entities at a fraction of the cost.  In fact, no other state offers the degree of privacy and low cost of New Mexico. A few of these benefits are anonymity, legal protection, and flexibility.  Additionally, LLCs are much easier and cheaper to maintain than corporations while offering every bit of the liability protection. Both Nevada and Delaware require Annual Fees and Reports whereas New Mexico does not. Nevada LLC's require personal information and Nevada Corporations involve hiring nominee officers and directors. New Mexico does not have these restrictions. New Mexico also has the upper hand over Wyoming because Wyoming charges an annual fee of $50 and New Mexico does not.
 no public record of who owns the LLC  Not even the state knows who owns the LLC unless you choose to disclose that to them.  With Bearer Membership Certificates you can achieve an even higher level of privacy and asset protection.

The New Mexico LLC can be operated so that it has no tax liability. Members of the LLC are responsible for reporting their share of profits on their personal tax return and paying the taxes that they are liable for. A limited liability company is a powerful tool that can help you minimize taxes.  Simply having your own business can be one of the most powerful tax shelters available since it allows you to take numerous tax deductions that are otherwise not available at the personal level.

The New Mexico LLC is a low-profile, extremely affordable (some asset protection entities are priced in the tens of thousands which is totally unnecessary), and is a "top shelf" asset protection tool.  It is the entity of choice for those seeking ultimate asset protection and privacy. 

the NM LLC better than a Land Trust, Living Trust or Irrevocable Trust

 Combining an Invisible New Mexico LLC with an Irrevocable Trust makes it even more powerful.   A trust requires a Trustee, a Settlor, and Beneficiaries. This takes a little extra effort to set up and the problem is that someone else knows your business (the Trustee) and you have to pay them even if payment is only in the form of increased "love and affection" toward a family member or friend who does it as a "favor". You also have to "trust" this person because they have power to convey the assets of the trust. Trusts must also be set up with a limited duration of existence. New Mexico LLC's can be set up to have perpetual existence.

Most trusts, including land trusts and living trusts, are "revocable" trusts. This means that a creditor can force you to revoke the assets that you transferred and bring them back within their reach. An Irrevocable Trust means that you relinquish ownership of the asset to the Trustee which means a creditor can't force you to turn over the asset.

An Irrevocable Trust can give you added protection by having it be a co-owner of the LLC. For example, you could own a percentage of the LLC in your own name and the Irrevocable Trust can own the rest. You will have access to sample Irrevocable Trust documents in our Member's Area when you purchase your Invisible New Mexico LLC package.