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Offshore bank account
Saraboell
Posted: Saturday, April 14, 2012 9:12 PM
Joined: 08/02/2012
Posts: 4


Hi. I am new in the yachting industry and I've been told to get an offshore bank account for my salary. Does anybody have some kind of experience with this and how does it work? Who should I contact and who should I stay away from? Sara
Pete
Posted: Monday, April 16, 2012 2:09 PM
Joined: 01/12/2008
Posts: 62


I am happy to help you set up an offshore account if that is what you would prefer to do.

International tax planning can be a very complex area. If you are resident in any particular country (i.e. spend more than 183 days per year there, more time there than anywhere else or have the centre of your family affairs or economic interests there) then it may be better to declare residency and use the domestic banking and investment services, as well as maybe benefiting from the social services structure. This may involve paying taxes locally.

If you are genuinely not resident in any one country due to your work situation then an offshore account may be appropriate. Tax avoidance is a serious offence and it is very difficult to truly be a so called ‘tax nomad’, so if you have any doubts as to your residency I would recommend taking some advice.

The main benefits of offshore banking, compared to onshore, are that interest can roll up gross (*unless you are affected by the EU Savings Tax Directive) and that you can have multiple currencies with the same bank and have bank cards on each currency accounts.

I work with a couple of offshore banks and a couple of UK and French based banks; i try and chose the best levels of customer service as yacht crew have limited time to make contact so need a bank with flexible communication lines and good online systems. I prefer Standard Bank offshore and HSBC in France (especially their Premier Banking product)

Let me know if you need more info by contacting me by email;




Coop
Posted: Monday, April 16, 2012 7:36 PM
Joined: 26/07/2010
Posts: 13


Peter, what is you email?
Pete
Posted: Tuesday, April 17, 2012 8:31 AM
Joined: 01/12/2008
Posts: 62


peter.brooke@spectrum-ifa.com
ratpack
Posted: Tuesday, April 17, 2012 12:26 PM
Joined: 03/03/2011
Posts: 100


Sara like most things in life, the best way to deal with things is to get on and do it yourself. After much wrangling about doing things remotely, via post, through intermediaries etc, I walked into HSBC in Jersey and opened the account there and then - no mess, no abuse, no middle men with their agendas
Anonymous
Posted: Tuesday, April 17, 2012 10:03 PM
Hey Pete, best comments I've seen in this sight. Spot on. Totally agree with your opening lines.
Pete
Posted: Friday, June 1, 2012 9:40 AM
Joined: 01/12/2008
Posts: 62


Thanks Anon for your feedback... tax residency is a very important issue and one that has been ignored for too long by many members of the yachting community; with MLC there will be an impact on social security liabilities for owners and crew... then next logical step is how the rules can be applied for income tax. The better prepared everyone is, the eaiser any transition will be. and - to Ratpack - that is a great solution if you happen to be in Jersey or the Isle of Man. Most of the crew I help never go anywhere near the offshore financial services centres. Peter
Pete
Posted: Wednesday, August 8, 2012 2:09 PM
Joined: 01/12/2008
Posts: 62


Hi Ratpack.... why not use a middle man when it costs nothing? I don't charge to open an account, all I ask is you have a quick chat to see if I can help with anything... that's my agenda and I think it is a good deal - sometimes I really help people, sometimes I can't, but they all appreciate going through the process.

Pete