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Author Topic: Is it time to Fly a European Business Flag?  (Read 5733 times)

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Offline cufflinks

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Is it time to Fly a European Business Flag?
« on: May 12, 2015, 05:32:40 PM »
http://nomadcapitalist.com/2015/05/08/average-salary-to-hire-affordable-european-workers/

Many of the average salaries in Europe won’t surprise you. It should as no surprise, for instance, that my visit to Moldova last week confirmed that 200 euros might even be a bit generous for workers there, even as $1,000-a-month IT jobs are flooding into the tiny country.

I’m cautiously bullish on a number of European countries. Groups such as American right-wing politicians have given Europe such a black eye that many free marketeers like you and I have all but written it off.

It’s true the EU has it’s problems, but I’m convinced that many entrepreneurs could have great success running their business from Europe rather than from a beach in Thailand.

So much so that I am working on a book that will outline how to start a business, get residency, and get citizenship in a number of European countries much easier than you probably ever thought possible. Details to come on that later this summer.

For now, I wanted to share some interesting data on the average salary in European countries so you can get an idea of where you might want to go and live. If you have a business that requires hiring people, you can save a lot of money hiring in some of these countries.
The lowest salary countries in Europe

While membership in the European Union, or lack thereof, does not significantly impact salaries in the Balkans, the lowest cost places to hire workers in Europe are outside of the EU.

Ukraine: €120 per month. Ukraine is known for high-tech talent for development, coding, and server work. I recently shared how many of these better paid workers are moving to jobs in the western Ukraine town of Lvov, or are becoming digital nomads themselves and moving to places like Thailand. Workers staying in Ukraine are very affordable to hire.

Moldova: €218 per month. Similar to Ukraine and Romania next door, Moldova has a high concentration of tech talent. Some Romanian companies are outsourcing work to Moldova at half the cost. $1,000 a month is considered an excellent salary here considering most workers will never earn that much.

Macedonia: €354 per month. Macedonia is a small country to the south of Serbia, and while English is not spoken by all, the country is on the way up. A minimal investment in property can get you residency if you want to live in Skopje or the resort town of Ohrid in order to manage your staff.

Serbia: €363 per month. Belgrade is one of my favorite cities in the Balkans, and its status as the capital of the former Yugoslavia means young people have been migrating here from smaller towns for years. Serbia has decent talent for journalism, customer service, and even some tech work, and the country itself is perhaps the most livable on this list of cheap countries. A Serbian passport is a reasonably good travel document, as well.

Albania: €385 per month. I personally find Belgrade to be a more interesting city than Tirana, but Albania does have the advantage of plenty of coastline on the Adriatic Sea, including beach resorts like Durres. Albania has had a hard time gaining traction in a post-Yugoslavia environment, and entrepreneurs can expect the red carpet treatment as well as low taxes in the country.

Georgia: €428 per month. While not exactly part of Europe, Georgia is a country on the rise. I’m a big fan of the place as they have been transitioning into one of the most free market economies on the planet. Talent here is a little harder to find, but the government is among the easiest to deal with, taxes on small business can be as low as 5%, and the banks are excellent.

Russia: €496 per month. With the ruble having dropped like a stone lately, doing business in Russia could be attractive if you are looking for cheap tech talent or if you have plans to target a Russian-speaking audience. Russians are big fans of internationalization so there are bound to be opportunities. In addition, only three years of running a business in Russia can qualify you for Russian citizenship. Considering a shocking survey indicated that entirely 100% of Russian women applying for jobs experienced sexual harassment at some point, I imagine a more westernized, equality-based approach would make your prospects for finding employees good.

It should be noted that there is one EU country with salaries under €400 per month, and that’s Bulgaria. If you are looking for a residence permit with the prospect of future EU citizenship, it might be the right option for you.

Bulgaria: €346. With flat tax rates of only 10%, Bulgaria has the lowest headline tax rate in all of Europe: lower than Ireland and, if you run a cash-flow business, possibly cheaper than Estonia’s “0% tax rate”.
Romania: €423. Salaries in Romania and several other countries in the region are quoted as net, so you should be careful before offering an employee a certain amount before figuring out what both employer and employee social taxes will cost you. However, Romania is one of the most US-friendly countries for customer service workers as well as development. Almost every young person in Bucharest speaks excellent English and is used to dealing with US companies for a fraction of the price of hiring American workers.
Middle-lower salary countries in Europe

While I wouldn’t rule out setting up a customer service or blog writing operation in Romania, or outsourcing development to Moldova or Georgia, I do believe that you get what you pay for. If you’re an entrepreneur looking to grow your business to the next level, paying a little more for work from an EU country might be the most hassle-free way to go.

Hungary: €514. Budapest is one of the most beautiful cities in Europe, and hiring as little as one employee can get you a residence permit here. Real estate is about as cheap as it gets and the city has a lot to offer. Not to mention that while Hungary’s government is run by a bunch of crazies, personal and corporate taxes there are rather low. English standards aren’t quite as good here, but Hungary is a great base to hire from as well as bring in workers from other eastern EU countries like Romania.

Lithuania: €554. While I find Vilnius a little drab and boring, Lithuania is doing quite well in getting European countries to move part of their operations within its borders. A recent study showed that Norwegian companies relocating to Vilnius were able to slash staffing costs by 80%; for every 1 worker they could hire in Norway, they could hire 5 in Lithuania. Taxes in Lithuania are moderately low, with small businesses paying as little as 5% and residence permits possible for those wishing to actually live there and run a business.

Latvia: €575. While Latvia’s entrepreneur and investor residence programs is harder to obtain and requires a substantial tax contribution to the country as you work towards Latvian citizenship, Riga is an excellent place to live and the country is heading in the right direction. From a strictly dollars and sense point of view, Lithuania is the better option, but Latvia is more livable and better connected to Europe.
Poland: €730. Poland is where Germany outsources much of its work to. In fact, Amazon’s main distribution centers for Germany are based in Polish cities such as Wroclaw. While the older generation in Poland seems to still harbor some attachment to the “good old days”, young Polish people are eager to look toward western Europe. Most of the youth I talked to while I was there complained they worked for little pay at multinational companies despite excellent English skills.

Czech Republic: €762. As part of central Europe, the Czech Republic is more expensive to hire in. However, the cost of living in Prague as well as Brno is surprisingly low considering how many tourists pass over the Charles Bridge every year. For me, Prague’s tourist status makes foreigners stick out in a bad way, but there is no denying the city is beautiful. If you need office staff and want to live in Prague, the residence permit process is harder than it used to be but still achievable.

Portugal: €985. Portugal is about as west as you can get in western Europe. While my parents and I recently reminisced about viewing Lisbon as almost third world in the 1990s, the place has improved as is quite livable these days. While Portugal has taken steps (and largely succeeded) to revive its broken real estate market with a Golden Visa program for investors, unemployment is still high and you can easily set up a company or merely hire Portuguese workers for your company based in a lower-tax EU jurisdiction.

Slovenia: €1,003. Everyone here in Ljubljana speaks English and the city is among the most green in Europe. The place oozes charm. I can’t say this would be my top choice to hire people or set up a company considering moderate tax rates and the higher cost of labor, but it’s an interesting conclusion to this list of many European countries with affordable labor.

Hopefully this list of the average salaries in Europe will inspire you to grow your business while planting new flags around the world. I have a number of friends who are moving from the Americas and Asia back to Europe to take advantage of a skilled workforce.

Add the fact that many lesser-known European countries are lowering taxes down to the EU minimum and you may want to consider planting a business flag in one of these countries.

Offline ECR844

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Re: Is it time to Fly a European Business Flag?
« Reply #1 on: May 12, 2015, 11:29:22 PM »
I find it interesting that they left out a host of other Euro nations including the UK which has become quite popular for inversions and it's 'quiet' 5% tax rates.

Offline Orchid

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Re: Is it time to Fly a European Business Flag?
« Reply #2 on: May 13, 2015, 12:39:19 PM »
Great overview!
Interesting like usual, Mr. Cufflinks.
Most people in the US do not have high salary too. It is really surprising for me.
The better education, the better salary. I think it is fair.
As LPN I have only $20/h. My girlfriend NP, with three more years of training than mine, has $90/h.
Also, I see that people who has own business are doing really well.


Offline Manny

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Re: Is it time to Fly a European Business Flag?
« Reply #3 on: May 13, 2015, 12:44:13 PM »
I find it interesting that they left out a host of other Euro nations including the UK which has become quite popular for inversions and it's 'quiet' 5% tax rates.

What 5% tax rate?
Read a trip report from North Korea >>here<< - Read a trip report from South Korea, China and Hong Kong >>here<<

Look what the American media makes some people believe:
Putin often threatens to strike US with nuclear weapons.

Offline ECR844

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Re: Is it time to Fly a European Business Flag?
« Reply #4 on: May 13, 2015, 01:06:53 PM »
I find it interesting that they left out a host of other Euro nations including the UK which has become quite popular for inversions and it's 'quiet' 5% tax rates.

What 5% tax rate?

That's a sign you're not doing it correctly...

Offline cufflinks

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Re: Is it time to Fly a European Business Flag?
« Reply #5 on: May 13, 2015, 08:26:36 PM »
http://nomadcapitalist.com/2014/11/21/39-countries-reduced-taxes-business-corporate/

Following are the ones that get my attention - not big on Hong Kong - The Chinese Communist Red Army can change things there at any time... just saying

1. Belarus. The last remaining bastion of sympathy for the old Soviet Union, even capital controlling Belarus has reduced taxes from 24% to 18%.  Threw this one in for Eric's sake...

4. Canada. While corporate tax rates increases by a fraction of a percent this year, the country has overseen five drops in its corporate tax rate in the last decade as the country becomes more open for business than The Land of the Free to the south.  Any one know the current corp or LLC tax rates in Canada?

6. Czech Republic. A favorite of the start-up scene in Europe, the Czech government reduced taxes to their low rate (by EU standards) of 19% several years ago.

The Russian RUBs (RU $USD  Billionaires) we met in Moscow wanted to set up a Gibraltar Company for intl trading - now we know why;
12. Gibraltar. While this rock at the southern tip of Spain remains a tax-free jurisdiction for international business companies, companies doing business in Gibraltar have seen their tax bill slashed from 35% to an amazing 10%.

15. Hong Kong. One of my favorite places to set up a legitimate “offshore” company, Hong Kong companies now benefit from a slight reduction in taxes down to 16.5%. Of course, companies that don’t have any actual business in Hong Kong can pay zero tax thanks to the country’s territorial tax policy.

Dubai is a zero-tax jurisdiction and is the world’s easiest country to pay taxes for those that do owe a little something.
No wonder Dick Cheney moved Halliburton HQ there - no taxes and no USA labor Laws or OSHA or EPA for that matter...

Reading that quite a few RUBs (Russian Billionaires) moved their yachts from France (Sanctions) to Macedonia - 10% tax is interesting... 22. Macedonia. This small nation is one of a few breakaway states from the old Yugoslavia competing to lower taxes. Macedonia tax rates are down to a low, flat 10% rate.

26. Panama. Anyone with no business in Panama can set up an offshore company in Panama and avail themselves of zero tax. For those doing local business on the ground, tax rates are down 5% to 25%.

28. Russia. In addition to a low flat 13% personal income tax rate, “evil Russia” has reduced its corporate rate to 20%.

29. Singapore. A popular onshore/offshore jurisdiction, Singapore has lowered its headline tax rate from 20% down to 17% in recent years. For those who run a small business with six-figure revenues, tax exemptions and write-offs can get that rate darn close to zero.

30. Slovenia. Nestled next to Italy, this European Union member has systematically reduced taxes from 25% to Singapore’s headline level of 17%.

34. Switzerland. While rates are partially determined by the local cantons, Swiss tax rates are down to below 18%.

36. Ukraine. Rates in the troubled country have dropped from 25% to 21% to 19% to their current level of 18% this year.

37. United Kingdom. While the UK may be experiencing a dramatic decline in personal freedom as privacy-invading cameras now seem to dot every square inch of the place, but London did manage to usher in five tax decreases in the last decade, with the top rate now sitting at a mere 21%.

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Re: Is it time to Fly a European Business Flag?
« Reply #6 on: May 13, 2015, 11:14:48 PM »

I find it interesting that they left out a host of other Euro nations including the UK which has become quite popular for inversions and it's 'quiet' 5% tax rates.

What 5% tax rate?

There is no 5% tax rate that's for sure.


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Re: Is it time to Fly a European Business Flag?
« Reply #7 on: May 13, 2015, 11:21:35 PM »
http://nomadcapitalist.com/2014/11/21/39-countries-reduced-taxes-business-corporate/

4. Canada. While corporate tax rates increases by a fraction of a percent this year, the country has overseen five drops in its corporate tax rate in the last decade as the country becomes more open for business than The Land of the Free to the south.  Any one know the current corp or LLC tax rates in Canada?



http://www.cra-arc.gc.ca/tx/bsnss/tpcs/crprtns/rts-eng.html
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Offline cufflinks

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Re: Is it time to Fly a European Business Flag?
« Reply #8 on: May 14, 2015, 02:30:02 PM »
Right so 38% basic part I or 28% after abatement then 15%

Federal rates. The basic rate of Part I tax is 38% of your taxable income, 28% after federal tax abatement.  Then 15% if determeined to be a Canconprivcorp then eventually 9% - Got it - I think?

After the general tax reduction, the net tax rate is:

15% effective January 1, 2012
16.5% effective January 1, 2011
18% effective January 1, 2010
For Canadian-controlled private corporations claiming the small business deduction, the net tax rate is 11%.

Small business tax rate http://www.cra-arc.gc.ca/tx/bsnss/tpcs/crprtns/whtsnw-eng.html#rts

For tax years that end after 2015, the small business tax rate will be reduced from 11% to 9% over four years as follows:

10.5% effective January 1, 2016;
10% effective January 1, 2017;
9.5% effective January 1, 2018; and
9% effective January 1, 2019.
The tax rate reduction will be prorated for tax years that straddle calendar years.

Now wonder CPAs and CAs love the tax codes...


Offline Manny

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Re: Is it time to Fly a European Business Flag?
« Reply #9 on: May 14, 2015, 04:38:09 PM »
The Russian RUBs (RU $USD  Billionaires) we met in Moscow wanted to set up a Gibraltar Company for intl trading - now we know why;
12. Gibraltar. While this rock at the southern tip of Spain remains a tax-free jurisdiction for international business companies, companies doing business in Gibraltar have seen their tax bill slashed from 35% to an amazing 10%.

Its a nice headline, but most folks over the pond wont know how big Gibraltar actually is. It isn't much bigger than the biggest Walmart. The airport runway is across the one access road over the border, one must wait in line while planes land. There is one street called Main Street with loads of banks and business companies on. A few waterside apartment blocks for some millionaires to claim residency. The rest is a big rock with some monkeys on you can drive up and look over the water to Morocco.

When holidaying on the Costa Del Sol, its a day trip. Open a bank account (but avoid Jyske Bank), have lunch, drive up the hill to see the monkeys, buy some cheap liquor and smokes and head on out.

We Brits think its quaint as they have some red telephone boxes and rozzers with pointy hats like Britain in the 60's (except its sunny and not raining). Everyone else would just wonder what all the fuss is about.
Read a trip report from North Korea >>here<< - Read a trip report from South Korea, China and Hong Kong >>here<<

Look what the American media makes some people believe:
Putin often threatens to strike US with nuclear weapons.

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Re: Is it time to Fly a European Business Flag?
« Reply #10 on: May 15, 2015, 12:38:47 AM »
Where do people get their information?

The UK does not have a 21% income tax rate. The highest rate is actually 45%.

If such easily checked info is incorrect then two things follow:
1) the rest of the article is hardly likely to be more accurate
2) I would  not be going far to rely upon the advice of a person relying upon such poor information sources.
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Re: Is it time to Fly a European Business Flag?
« Reply #11 on: May 15, 2015, 02:38:25 AM »
http://nomadcapitalist.com/2015/05/08/average-salary-to-hire-affordable-european-workers/

Many of the average salaries in Europe won’t surprise you. It should as no surprise, for instance, that my visit to Moldova last week confirmed that 200 euros might even be a bit generous for workers there, even as $1,000-a-month IT jobs are flooding into the tiny country.

I’m cautiously bullish on a number of European countries. Groups such as American right-wing politicians have given Europe such a black eye that many free marketeers like you and I have all but written it off.

It’s true the EU has it’s problems, but I’m convinced that many entrepreneurs could have great success running their business from Europe rather than from a beach in Thailand.

So much so that I am working on a book that will outline how to start a business, get residency, and get citizenship in a number of European countries much easier than you probably ever thought possible. Details to come on that later this summer.

For now, I wanted to share some interesting data on the average salary in European countries so you can get an idea of where you might want to go and live. If you have a business that requires hiring people, you can save a lot of money hiring in some of these countries.
The lowest salary countries in Europe

While membership in the European Union, or lack thereof, does not significantly impact salaries in the Balkans, the lowest cost places to hire workers in Europe are outside of the EU.

Ukraine: €120 per month. Ukraine is known for high-tech talent for development, coding, and server work. I recently shared how many of these better paid workers are moving to jobs in the western Ukraine town of Lvov, or are becoming digital nomads themselves and moving to places like Thailand. Workers staying in Ukraine are very affordable to hire.

Moldova: €218 per month. Similar to Ukraine and Romania next door, Moldova has a high concentration of tech talent. Some Romanian companies are outsourcing work to Moldova at half the cost. $1,000 a month is considered an excellent salary here considering most workers will never earn that much.

Macedonia: €354 per month. Macedonia is a small country to the south of Serbia, and while English is not spoken by all, the country is on the way up. A minimal investment in property can get you residency if you want to live in Skopje or the resort town of Ohrid in order to manage your staff.

Serbia: €363 per month. Belgrade is one of my favorite cities in the Balkans, and its status as the capital of the former Yugoslavia means young people have been migrating here from smaller towns for years. Serbia has decent talent for journalism, customer service, and even some tech work, and the country itself is perhaps the most livable on this list of cheap countries. A Serbian passport is a reasonably good travel document, as well.

Albania: €385 per month. I personally find Belgrade to be a more interesting city than Tirana, but Albania does have the advantage of plenty of coastline on the Adriatic Sea, including beach resorts like Durres. Albania has had a hard time gaining traction in a post-Yugoslavia environment, and entrepreneurs can expect the red carpet treatment as well as low taxes in the country.

Georgia: €428 per month. While not exactly part of Europe, Georgia is a country on the rise. I’m a big fan of the place as they have been transitioning into one of the most free market economies on the planet. Talent here is a little harder to find, but the government is among the easiest to deal with, taxes on small business can be as low as 5%, and the banks are excellent.

Russia: €496 per month. With the ruble having dropped like a stone lately, doing business in Russia could be attractive if you are looking for cheap tech talent or if you have plans to target a Russian-speaking audience. Russians are big fans of internationalization so there are bound to be opportunities. In addition, only three years of running a business in Russia can qualify you for Russian citizenship. Considering a shocking survey indicated that entirely 100% of Russian women applying for jobs experienced sexual harassment at some point, I imagine a more westernized, equality-based approach would make your prospects for finding employees good.

It should be noted that there is one EU country with salaries under €400 per month, and that’s Bulgaria. If you are looking for a residence permit with the prospect of future EU citizenship, it might be the right option for you.

Bulgaria: €346. With flat tax rates of only 10%, Bulgaria has the lowest headline tax rate in all of Europe: lower than Ireland and, if you run a cash-flow business, possibly cheaper than Estonia’s “0% tax rate”.
Romania: €423. Salaries in Romania and several other countries in the region are quoted as net, so you should be careful before offering an employee a certain amount before figuring out what both employer and employee social taxes will cost you. However, Romania is one of the most US-friendly countries for customer service workers as well as development. Almost every young person in Bucharest speaks excellent English and is used to dealing with US companies for a fraction of the price of hiring American workers.
Middle-lower salary countries in Europe

While I wouldn’t rule out setting up a customer service or blog writing operation in Romania, or outsourcing development to Moldova or Georgia, I do believe that you get what you pay for. If you’re an entrepreneur looking to grow your business to the next level, paying a little more for work from an EU country might be the most hassle-free way to go.

Hungary: €514. Budapest is one of the most beautiful cities in Europe, and hiring as little as one employee can get you a residence permit here. Real estate is about as cheap as it gets and the city has a lot to offer. Not to mention that while Hungary’s government is run by a bunch of crazies, personal and corporate taxes there are rather low. English standards aren’t quite as good here, but Hungary is a great base to hire from as well as bring in workers from other eastern EU countries like Romania.

Lithuania: €554. While I find Vilnius a little drab and boring, Lithuania is doing quite well in getting European countries to move part of their operations within its borders. A recent study showed that Norwegian companies relocating to Vilnius were able to slash staffing costs by 80%; for every 1 worker they could hire in Norway, they could hire 5 in Lithuania. Taxes in Lithuania are moderately low, with small businesses paying as little as 5% and residence permits possible for those wishing to actually live there and run a business.

Latvia: €575. While Latvia’s entrepreneur and investor residence programs is harder to obtain and requires a substantial tax contribution to the country as you work towards Latvian citizenship, Riga is an excellent place to live and the country is heading in the right direction. From a strictly dollars and sense point of view, Lithuania is the better option, but Latvia is more livable and better connected to Europe.
Poland: €730. Poland is where Germany outsources much of its work to. In fact, Amazon’s main distribution centers for Germany are based in Polish cities such as Wroclaw. While the older generation in Poland seems to still harbor some attachment to the “good old days”, young Polish people are eager to look toward western Europe. Most of the youth I talked to while I was there complained they worked for little pay at multinational companies despite excellent English skills.

Czech Republic: €762. As part of central Europe, the Czech Republic is more expensive to hire in. However, the cost of living in Prague as well as Brno is surprisingly low considering how many tourists pass over the Charles Bridge every year. For me, Prague’s tourist status makes foreigners stick out in a bad way, but there is no denying the city is beautiful. If you need office staff and want to live in Prague, the residence permit process is harder than it used to be but still achievable.

Portugal: €985. Portugal is about as west as you can get in western Europe. While my parents and I recently reminisced about viewing Lisbon as almost third world in the 1990s, the place has improved as is quite livable these days. While Portugal has taken steps (and largely succeeded) to revive its broken real estate market with a Golden Visa program for investors, unemployment is still high and you can easily set up a company or merely hire Portuguese workers for your company based in a lower-tax EU jurisdiction.

Slovenia: €1,003. Everyone here in Ljubljana speaks English and the city is among the most green in Europe. The place oozes charm. I can’t say this would be my top choice to hire people or set up a company considering moderate tax rates and the higher cost of labor, but it’s an interesting conclusion to this list of many European countries with affordable labor.

Hopefully this list of the average salaries in Europe will inspire you to grow your business while planting new flags around the world. I have a number of friends who are moving from the Americas and Asia back to Europe to take advantage of a skilled workforce.

Add the fact that many lesser-known European countries are lowering taxes down to the EU minimum and you may want to consider planting a business flag in one of these countries.

How did you like Moldova? I lived there for a while as well as many visits. I would recommend Moldova as a great place to live for anyone even setting up business there. I only left because I like big city life)

I dealt with a few businesses there and its the same in many other Eastern European countries, there is only one way to do it and that is with an iron rod or they will rip you to pieces. A country may have a small salary but as soon as you are a foreigner on their turf that salary soon goes up:) Or at least it tries to:) So do many other things.
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Offline Ste

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Re: Is it time to Fly a European Business Flag?
« Reply #12 on: May 15, 2015, 09:43:24 AM »

37. United Kingdom. While the UK may be experiencing a dramatic decline in personal freedom as privacy-invading cameras now seem to dot every square inch of the place, but London did manage to usher in five tax decreases in the last decade, with the top rate now sitting at a mere 21%.

Not correct. Income tax is like 20% on the first 20p or so, for most people it's 25% (i.e. poor people) for the rest it's 40% or 45%.

I pay no income tax whatsoever, but my Ltd pays 20%.

London or anywhere else doesn't have differing tax rates than other places, plus you need to factor in National Insurance, about 12% each for employee and employer (I forget the exact figure) - capped but not capped for company directors like me, hence I structure myself to just have to pay the tiniest amount, so I get unemployment benefits and pension credits.

Also directors don't have to pay themselves the NMW, so as you can see there's more to taxation then just the rate of tax...
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Re: Is it time to Fly a European Business Flag?
« Reply #13 on: May 15, 2015, 10:01:11 AM »
plus you need to factor in National Insurance, about 12% each for employee and employer (I forget the exact figure)

Not if you only pay them 16 hours. Simplified rules apply then. How Tesco and others work.
Read a trip report from North Korea >>here<< - Read a trip report from South Korea, China and Hong Kong >>here<<

Look what the American media makes some people believe:
Putin often threatens to strike US with nuclear weapons.

Offline RichyRich

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Re: Is it time to Fly a European Business Flag?
« Reply #14 on: May 15, 2015, 12:56:46 PM »
. In addition, only three years of running a business in Russia can qualify you for Russian citizenship.
Since when?

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Re: Is it time to Fly a European Business Flag?
« Reply #15 on: May 15, 2015, 04:53:21 PM »
Well compare to New Hampshire an LLC (Me) has to pay:

1. Obama increased Federal Tax = 40%

2. Obama increase Social Security = 16% self employed

3. Obama increased Medicare "Surcharge" = 5%

4. State of NH Business Profits Tax = 9%

5. State of NH Workmen's Comp Insurance = 5%

6. State of NH Unemployment Comp Insurance = 5%  (Subtotal 80%)

7. Federal and State Gasoline Taxes approx 2%

8. Federal and State Internet, Telephone and Cell Phone Taxes approx 2%

9. Cable TV Taxes approx 1%

10.  Property Tax about 5% to 10% depending upon how luxurious your property...

Subtotal 90%

10. Obama invented Affordable Care Act 12%

Grand Total 102% of your income not to mention annual LLC filing fees, auto registration fees and taxes and hunting and fishing licenses, business licenses etc etc...

So you basically have to keep two sets of books just to survive and do as much under the table in the cash economy as possible with a really creative CPA if you do not want to pay 105% in taxes and fees in the NewObamerica Socialists Paradise...

Many middle class buy an income property commercial residential and then the PITI (Principal Interest Taxes and Insurance) and maintenance is all tax deductible - well Principal is not deductible but most mortgages are written on a sliding scale where the majority of the payment is front ended on interest with very little going to principal so for all intents and purposes the full PITI is deductible.

Most small businesses are happy to retain 20% profits after taxes and fees to grow their businesses and the Obamunists have sunk their hooks into the profits for Urban free healthcare - ACA - Obamadoesnotcare...

Now you see why Peter Schiff (CNBC Guest) moved his entire operation from California  with even more punitive Millionaire and Billionare Taxes to Puerto Rico offering a 4% territorial tax (No 40% Obamaunists Federal IRS taxes) to attract service companies (Hedge Funds, Web/Internet marketers, Software Companies etc) to create jobs and diversify the near 100% Tourism and Illegal Drugs dealing economy there.