🇪🇸 Get ready to see luxury living in Madrid, Spain at its finest (and to learn more about the Beckham law and pathway to Spanish citizenship). Live Like a King in Madrid is here: th-cam.com/video/0Y9HskItx60/w-d-xo.html
I just left Valencia a few weeks ago and could not get back to Madrid due to the rain flooding in the region. Looking forward to seeing the Live like a King in Madrid.
Bulgaria: - if you have a company, it's 10% corp tax and 5% dividend tax. Take your money out as salary and you'll pay 6k EUR max + 10% income tax only instead of 10+5. - if you register as a freelancer, you'll pay 7.5% income tax (10% - 25% expenses) and up to 6k EUR social contributions It's an amazing place for people who provide services remotely.
I realize your clientele is in the top 10% and I think your videos are great even though I don’t make 7 or 8 figures, it would be great if you could recommend companies that can help those in the low 6 figures that want to get out. Or diversify their life like you. There has got to be a first step. I know you didn’t wake up a millionaire and I would love a video about your story. I think it would be of value. As always, thank you for creating these videos. I learn so much.
Thank you for sharing! For anyone curious about Nomad Capitalist, Mr Henderson, or the team behind it all, you can find out here: th-cam.com/video/6p7ESrErlok/w-d-xo.html. We would be glad to welcome you at our next live event where you can get started on your Nomad Capitalist journey and learn from the brightest minds in global citizenship, legal tax reduction, international diversification and Plan Bs: nomadcapitalist.com/live
There is no easy solution for those earning "only" low 6 figures. Those are the demography screwed the most by high tax governments, because they cannot escape that bad situation. You have to make the leap to the 7-8 figures for these schemes to make any sense. For various reasons nobody can or will tell you how to make that leap. That's the unfortunate reality.
@@melstark3466 doing most of this with under 500k liquid is really hard - unless you have ancestral routes etc you could exploit. The programs with the lowest barrier to entry often end up being nothing more than an expensive residencia / passport. Entry into the EU was possible a few years ago cheaply (eg Portugal) and into Panamá before then (the Friendly Nations visa was essentially free). But now, not so much. If you really want to hedge on the future look at Africa.
As a Bulgarian having an accoutning company I can confirm that. In Bulgaria, especially if you run a business, the effective tax rate may be even lower than 10%. I do not recommend the contracts (labour and civil) as they have some additional health insurance related taxes and other small things, however, those are up to a certain limit. Thus, it also depends on your income.
I moved to Spain from California in 2019. I came as a resident with a non lucrative visa, since I have a Latin passport I was able to obtain citizenship after 2 years of legal residence and that came about 3 1/2 years total ! My life and expenses changed completely !
1:40 Hello from Bulgaria!;) In addition to the 10% corporate income tax, when you “look what is beyond the headline tax rate”, just like you said, Mr. Henderson, we can see that in Bulgaria there is also a corporate tax of 5% for giving dividents. So the actual tax is 14.5%. :) ✌🏻
Even tho I’m not a millionaire YET I’ve been able to apply MANY of your strategies to my own life with great benefits! I’m doing 4 countries 3 month each and living a HAPPY life outside the US ! Love you and Nomad Dads thoughts keep going 🙏🏽
Yes abiding by countries visa regulations is the key. Most countries have 90 day visa (for people with “strong” passports) thanks to the EU,s bullying of many countries to conform with its wishes. That said being a digital nomad , receiving a pension or having a business somewhere gives you a secure life moving between your favourite countries and maybe establishing a number of home bases. It’s just that one cannot remain for more than what the visa states.
In Croatia, capital gains are taxed at a rate of 11% plus “prirez” (a local surtax that varies depending on the city). Generally, the total tax rate is around 12%. However, if you hold stocks and sell them after two years (using the FIFO method), the capital gains tax drops to 0%. Companies can reinvest profits and benefit from a 0% tax rate on those reinvested amounts. All you need to do is provide a statement declaring that a specified amount (e.g., XYZ) will be reinvested back into the company. This allows you to avoid paying tax on that portion of the profits. It’s a very useful strategy if you’re aggressive about compounding. On top of that, we enjoy wonderful nature, good infrastructure, perfect weather, and excellent airport connections. 🔴⚪🔵
Same way for usa- its all headline tax. In reality you can pay very little, 2-5%. 1. Realestate is #1 write-off-able in usa. Hence why a lot of rich is in realestate. 2. Owning own business or just having portfolio, and never selling, but borrowing against it, means 0% tax as debt is tax free. 3. Venture Capital. When you buy startup of early state, and hold it for 5 years, once you sell, first 10 million in gains is tax free. Thats why accredited investors just buy a lot of startups with even amount. A lot of those fail, but those who boom, boom big, big time like 10-1000x.
Exactly I've been paying $0 in tax legally on mid 6 figures in real estate income for over a decade. That's because the US tax code is so advantaged. Renouncing my passport or going elsewhere would be dumb, but I no longer physically live in the US but they have the best tax system for leveraged real estate.
So you never sell and can borrow against your real estate portfolio? And if you never pay back what you borrow, doesn't your debt and interest just keeps growing? Don't you have to repay debt monthly while having your living expenses? How do you pay it back, with your borrowed money? What if things go bad for a period and your portfolio loses its value, and you can't sell, how will you pay your debt? Isn't this the sure way to go bankrupt? Please run an example with numbers that makes sense.
@@wanderingdoc5075 well.i heard Uncle Sam is taxing more on your Assets since you're literally a mon resident .. Most countries have closed that dudes double dipping loopholes
@@Tuberis because you only borrow on 10-30% of your portfolio, so if it crashes, you dont get margin called. Some people never pay it off, they let it occur. Trust me, dig deeper into this tactic, am not going to write you a book, do your homework.
you should mention what the tax wedge in Bulgaria and Hungary looks like, and it's not pleasant. The social security contributions are insane and even out into a pretty high tax existence.
You don't seem to mention how difficult it is to be in some of these countries - from a business administration perspective - for those which do business overseas. This can be a real nightmare.
Thank you for your comment! We understand that navigating business administration overseas can be challenging. For deeper insights and strategies, you may find our Nomad Capitalist book helpful: nomadcapitalist.com/book/
@@garrettmgunderson did I say he said it was easy? No, I didn't. But as per my point, he avoids saying how difficult it is - so much so, that it should be one of the big considerations
Great information. Could you make a video discussing the lowest tax countries in Europe for EU citizens? Meaning for someone who doesn't need visas or any permission to live there. Also, if you could point out the ones that do not charge capital gains taxes on foreign held investments that would be awesome. Thanks again sir.
This article "12 European Countries with the Lowest Taxes: 2024 Tax Guide" provides information for someone looking to live in a low-tax European country: nomadcapitalist.com/finance/low-tax-countries-living-europe/
Best choices in my opinion: Cyprus: 2,5% Corporate Tax for businesses with intellectual property (12,5% for businesses without) and no capital gains tax. Or Malta: 5% Corporate Tax and no Capital Gains Tax. I live in Cyprus and can recommend it
there´s nothing like Andorra, zero dividends tax, no hireritance tax, no wealth tax, no gift tax, only a max of 10 in corporate or income tax.... no crime, quality services....
@@NoeMilcentPatrimoine I agree! Sabadel 😂 what a joke!! Old crappy payment systems that’s any idiot can hack, you know that number card you need to use to make a bank transfer? 😂
Would love videos that dive into specific countries in unique situations, and that cover those nuances you can find there. Another good idea would be the lowest time restraining tax havens, like Cayman Islands at 30, Bahamas at 90, Barbados at like 2 weeks, etc.
Thank you for your comment. You may find this video interesting: th-cam.com/video/dIl4CjNWv_0/w-d-xo.html. If you're looking for a specific country, feel free to reach out. Our team will be happy to discuss a plan with you: nomadcapitalist.com/apply/
Thank you for your comment! We'd be glad to welcome you at Nomad Capitalist Live where you can meet like minded people and connect with others who are in a similar situation as you - nomadcapitalist.com/live/
Thank you for sharing! Malta’s Citizenship by Investment program does indeed offer one of the fastest paths to European citizenship. If you'd like help exploring this option further or other alternatives that might suit your goals, we’d be happy to assist: nomadcapitalist.com/apply/
Why is Romania not mentioned? it has very low taxes (1-3% corp tax for micro companies up to 500k€ revenue, then 8% dividend tax), and the quality of life / modernity is way higher than on Bulgarian, N Macedonia or Georgia to take the examples of this list. Plus the language is a Latin one, making it much easier to learn than Bulgarian for instance, for people already speaking a Latin Roman language (French, Italian, Spanish…)
@@Gilotopia Indeed, but this contribution is capped to around 79K Lei, on the basis of which you need to pay 10%. Which means max 1500€. Of course, if your total dividend is 15k€, then it adds indeed 10% of tax, but if you are at around 100k€ dividend, then it's an addition 1.5% only to the total tax, and not (at least) doubling it.
Hi, thank you for very informative video. Could you please make video for investors only. Some people do not run business only live from Dividends and in Europe taxes vary multiple times per country on dividends and income on % you get.
Thank you for your kind words. This video shares two tax-free diversification opportunities that can help you maximize your returns: th-cam.com/video/iwgzEO6rpK0/w-d-xo.html. Our team would be happy to help you navigate Europe’s varying tax rates and create a personalized plan for your situation: nomadcapitalist.com/apply/
Living in Hungary can say that being entrepreneur is not the best idea, products and some services will cost you more as high dependency on neighboring EUR countries and we depend on import having nothing produced here
Greece doesnt appear in the video with the chart???? Looks like its part of Turkey! Funny because Greece is EU member state with Euro currency !!!!Need an answer please!
If anyone is considering spending approx. $200k they should honestly just go for a 0% PIT country because why not? If you're willing and able to spend that kind of money, why not fully tax optimize? You get a lot more options when you don't have to pay any PIT!
Bulgaria levies a 10% income tax, but the social security taxes are substantial, resulting in a total tax burden of approximately 40% of an individual’s income.
sounds like you are doing something wrong, nobody that has a company pays that high tax rate. In fact depending how you structure your expenses you can go under 10%
@@Ivchoyyyy1 As I said, as a freelance contractor, I have to pay: 31.3% - social contribution taxes (31.3% of 3750BGN, which will be increased this month), then 7.5% income tax (applied to the rest of the income).
@@technstuff668 again, you are doing it wrong. I don't know what the heck you are doing but your math is off. Contact an accountant. If your salary is 3750 (which is really odd) then you will not pay more than 1219.50 BGN per month for social security + income taxes which will be 32%. However nobody with such a lower salary would consider moving countries because of low taxes. If you are making, lets say 7000 euros per month (rounding it to 14 000 BGN) you will be paying around 2000 BGN for social security and income tax, meaning you are paying only 14% of your salary. Even then I would say people making 7 figures are the ones that will be looking to changing countries for tax reasons and in that case they will not be a contractor but will make a company in which case you can lower the tax rate under 10% of your income.
Im surprised you mention only lump sum tax in Switzerland but still me took other countries with higher marginal tax rates than some Swiss cantons such as Zug.
In this video, we discuss the intricacies of obtaining Swiss residency, exploring various pathways and requirements for both EU and non-EU citizens: th-cam.com/video/dqmVZoQUe1w/w-d-xo.htmlsi=zelTL-xSni81eW6U
Doesn't Bulgaria also have a double taxation treaty with the US? So essentially, if you are paying 12-20% in taxes to the US, you would not owe anything to Bulgaria, since Bulgaria has the lower 10% rate? In contrast with a place like Italy, where if you pay 12% to the US, and are in a 28% bracket in Italy, for example, you still have to pay the difference to Italy (16%)
The difference between the European Union, the USA, and other Western countries is that the European Union has multiple options. The European Union is made up of over 25 different countries. The Balkin countries and other European countries that have just joined the European Union or haven't been members of the European Union will have a more favorable tax system. I believe the best European Union countries are the ones most overlooked, and most people may have never heard of them. I just remembered one of No Mad Capitalist's videos not too long ago when he mentioned Adorra. I have never heard of Adorra before.
when you come to the realization that taxes do not matter that much because they are not the product of your work but someone else's... you want to be economically free... live on debt and make someone else pay for it.
Not gonna lie, I was about to move to the UAE thinking it was a tax-free paradise... but now I’m rethinking and maybe heading to Malta instead. Tax strategies are on another level here! 🤔
Javier from our Nomad Capitalist R&D channel is also interested in Malta's tax strategies and lifestyle. Watch here: th-cam.com/video/PuSdNPgJBM0/w-d-xo.html
@@ApriliaCollector Then maybe you should cover Andorra in a future video. I live there since 3 years ago. I would be interested in learning what's your perspective as an external analyst
Thank you for your question! This article explains the misconceptions behind Remittance Tax: nomadcapitalist.com/finance/legal-tax-reduction/remittance-tax-planning-remitted-money/. If you’re considering optimising your tax situation, we’d be happy to guide you through the process. Feel free to reach out: nomadcapitalist.com/apply/
Thank you for your question! Our team would be happy to help you create a holistic plan to find a country with favourable crypto benefits. If you'd like our help, reach out to us here: nomadcapitalist.com/apply/
Bulgaria WAS cheap country to live. The expected introduction of the Euro currency rushed the prices and consequently the salaries up to EU levels. It is still relatively cheap to eat outside but like 20-30% cheaper than Helsinki for example.
Europe has way too many medieval era taxes that slow down innovation. I'd be curious what people think about a very random transaction tax 5% on top of VAT on any bank accounts transactions and debit card purchases. Apparently that transaction tax might be against some EU regulations. Does it make countries like Hungary and Slovakia (who pursued this nonsense in their legislation) go back to medieval times? Why would any young people want to stay there (even though these are low tax economies)?
I get that people don't want to pay tax. But taxes pay for infrastructure, educated workforces, public health, financial and personal safety, and more. Personally, I don't mind paying for what I get. My business is successful because I have access to healthy, educated, workers who are able to get to and from work. Not paying for that feels like (and is) freeloading on the benefits I received. It doesn't seem like only my employees should pay for the success of my business. Everything breaks down when people stop paying for what they get.
Not for all it is paying no taxes, but get some more money out of your work. The problem is that since WWII each government promised their voters benefits and those need to be paid. Western governments spend money questionable. Social security is out of control, people are financially better off by not working than working low paying jobs. People do not work more than parttime because working more hours doesn’t increase income due to losing benefits. Cost of immigration is hidden, sending tons of money to other countries (for support and or war). Spending insane amounts to climate change initiatives, if 1/4 of world population is trying to reduce climate change, will it make a change?
If you live in UK say you made 20 million a year 5 million gone just for cooperation tax and if you wanna spend remaining money another 6 million for income tax and many more VAT, stamp duty etc. when you pass to your kids they end up paying another 40% I didn’t even come to capital gains tax. Roads are so bad you can’t even drive super car without damaging it😅
This video covers why Poland might just be the ideal destination for savvy investors and entrepreneurs looking to optimise their tax strategy in Europe: th-cam.com/video/jilnq-j_xVA/w-d-xo.html
In this video we explain how Isle of Man is attractive for international companies, but also why Nomad Capitalist chose not to incorporate there: th-cam.com/video/sv_CKaQbA6A/w-d-xo.html
I love you man and watch all your videos and I don't blame you because hey, there's an open door to do this stuff but understand that wealthy people paying not much tax is one of the main reasons that the west is in such steep decline.
As a European, I find it slightly funny. Most of the places recommended are some of the worst places to live in Europe. Generally speaking, financially the best life is in Scandinavia, Germany, France. That is also the countries with some of the highest taxes. Another thing is, Bulgaria, Balkans and others have also a higher rate of crime and are generally poorer. Why would anyone want to be rich in an otherwise poor country with higher crime rates. I just find it more uncomfortable. And last but not least. Are many people actually moving somewhere because of taxes? And if so, why? (Genuinely curious)
This clip from Live Like a King touches on why some choose places like Serbia-not just for taxes, but for safety, personal freedom, and lifestyle balance. Worth a watch: th-cam.com/video/vyEzseB_VSs/w-d-xo.htmlsi=ZgTL7R5IDKl9NA4c&t=924
We discuss Portugal in our latest video Why Bill O'Reilly is WRONG About Countries to Escape the USA: th-cam.com/video/ZHbaIG5kUm0/w-d-xo.htmlsi=yl2aM4C82xRpM8P8. If you’d like help finding the right option for your goals, feel free to reach out-we’d be happy to assist in creating a plan: www.nomadcapitalist.com/apply/
Hungary: I hear all the time that the corporate tax is the lowest in Europe but that's about it. I've already asked a bunch of accountants for a full break down but can't really get it. Being a freelancer though, it's highly taxed. There are multiple schemes, such as "flat rate" if you can stay under a certain level of income. That level is quite low. (I mean, it's relative, but if you watch this channel, it's probably because you are trying to save more than 100$ a month) In the end, you end up with 30 - 40% out. The government does not like people who work remote. It's 2024 and laws are still as if Internet didn't exist. They "allow" you to make more money as a hairdresser than as an IT guy. (different tax brakets)
Do not go to Hungary for tax reasons. You will get screwed if you do so. They change their rules pretty often pretty sharply. Their only goal is to maximize the earnings of their oligarchy. Just stay out.
@@couldntfindafreename yeah, whatever the reason, as I don't want to turn this into a political debate, you are 100% right, they often change the rules. Plus, the flat rate tax schemes, that have a low limit already for IT guys, are worsen by the Hungarian Forint (HUF) losing value. I really don't get why governments can't just make it easy, take their (undeserved) part and leave people in peace. Hungary is super bureaucratic, fond of paperwork, it's also a pain if you don't speak Hungarian, you'll have to rely on someone else.
It's generally the best place to make money but once you have some wealth your quality of life can be a lot higher for a lot cheaper in other countries
@@i_like_beer-o2f Probably so when you are ready to quit working and want to live off of your investments. But from what I see, I would not mind visiting those other places but want to live and pay taxes in the US. The system is a great deal better overall for a working person.
@@Kevin-zz9nc Most countries are suseptable to rapid collapse. The American system is far from perfect but it still works fairly well. In addition to that, the US still has resources and infrastructure to rely on.
Belgium has among the highest taxes in the world. Good thing there is no capital gains tax but some politicians in Belgium are talking about creating one.
It’s Germany itself that decided to tax people who work for a living over 50% if you include social security and the mandatory health care while billionaires pay 26% on dividends and real estate changes hands at 0% tax, crypto is 0% tax as well after 1 year holding. Blaming this on expats and the rich is kinda hilarious, how about blaming the representatives people voted in that created this lopsided tax laws?
Macedonia is In Greece, its ALWAYS been that way. History says so.... not just some political mickymouse brainwashed jokers. They speak bulgarian dialect and all balkan countries can roughly understand eachother since they are all slavs. Period.
There're much better tax regimes in Russia than the PIT, i.e. the simplified tax regime with the 6% tax rate or even the patent tax regime with lump sum taxes. I chose the patent tax regime and pay less than 0.5% of my income in taxes.
Move to Ukraine 5 + 1 %. Russia - sucks, no normal banking (all under santions and crazy dictator as a bonus). Probably in future no $ or EUR to buy, only "wooden" ruble or CHY.
Thank you for asking. As a Portuguese citizen, it may be possible, provided you meet specific requirements. If you’d like our help, we’d be happy to assist: nomadcapitalist.com/apply/
🇪🇸 Get ready to see luxury living in Madrid, Spain at its finest (and to learn more about the Beckham law and pathway to Spanish citizenship). Live Like a King in Madrid is here: th-cam.com/video/0Y9HskItx60/w-d-xo.html
I just left Valencia a few weeks ago and could not get back to Madrid due to the rain flooding in the region. Looking forward to seeing the Live like a King in Madrid.
Looking forward to it!!!
The Beckham law is AMAZING
Bulgaria:
- if you have a company, it's 10% corp tax and 5% dividend tax. Take your money out as salary and you'll pay 6k EUR max + 10% income tax only instead of 10+5.
- if you register as a freelancer, you'll pay 7.5% income tax (10% - 25% expenses) and up to 6k EUR social contributions
It's an amazing place for people who provide services remotely.
do you live (or have a base) there? Or 100% remote of Bulgaria?
@@ah-tron3527 I live in Bulgaria and provide services remotely.
@@tae_ethusiast but if you compare that to Georgia you are better off since 1% income tax and 0% ss
@@ah-tron3527am considering Bulgaria!
@@glorious7864Georgia is not very stable now.
I realize your clientele is in the top 10% and I think your videos are great even though I don’t make 7 or 8 figures, it would be great if you could recommend companies that can help those in the low 6 figures that want to get out. Or diversify their life like you. There has got to be a first step. I know you didn’t wake up a millionaire and I would love a video about your story. I think it would be of value. As always, thank you for creating these videos. I learn so much.
Thank you for sharing! For anyone curious about Nomad Capitalist, Mr Henderson, or the team behind it all, you can find out here: th-cam.com/video/6p7ESrErlok/w-d-xo.html. We would be glad to welcome you at our next live event where you can get started on your Nomad Capitalist journey and learn from the brightest minds in global citizenship, legal tax reduction, international diversification and Plan Bs: nomadcapitalist.com/live
There is no easy solution for those earning "only" low 6 figures. Those are the demography screwed the most by high tax governments, because they cannot escape that bad situation. You have to make the leap to the 7-8 figures for these schemes to make any sense. For various reasons nobody can or will tell you how to make that leap. That's the unfortunate reality.
You could get a relationship with a Swedish person and they'll give you permanent residency. No marriage required.
@@melstark3466 doing most of this with under 500k liquid is really hard - unless you have ancestral routes etc you could exploit. The programs with the lowest barrier to entry often end up being nothing more than an expensive residencia / passport. Entry into the EU was possible a few years ago cheaply (eg Portugal) and into Panamá before then (the Friendly Nations visa was essentially free). But now, not so much. If you really want to hedge on the future look at Africa.
Yes, +1 here! Please do more videos for the “new rich in development phase” !!
As a Bulgarian having an accoutning company I can confirm that. In Bulgaria, especially if you run a business, the effective tax rate may be even lower than 10%. I do not recommend the contracts (labour and civil) as they have some additional health insurance related taxes and other small things, however, those are up to a certain limit. Thus, it also depends on your income.
I moved to Spain from California in 2019. I came as a resident with a non lucrative visa, since I have a Latin passport I was able to obtain citizenship after 2 years of legal residence and that came about 3 1/2 years total ! My life and expenses changed completely !
Which Latin passport?
@@wanderingdoc5075probably Mexico
So happy for you!!!
Isn’t income tax really high there though? Congratulations though!!
@@wanderingdoc5075 Honduras but any Ibero American passport will qualify after two years legal residence .
Georgia, if you get IE status (Individual Entrepreneur), and you don't earn over $200kUSD a year, you can get 1% tax rate.
There’s no tax on foreign income or bank CDs
@doyoueatrocks indeed!
@spaceBrain how? Any reference
1:40 Hello from Bulgaria!;)
In addition to the 10% corporate income tax, when you “look what is beyond the headline tax rate”, just like you said, Mr. Henderson, we can see that in Bulgaria there is also a corporate tax of 5% for giving dividents. So the actual tax is 14.5%. :) ✌🏻
I also like the 0% tax on real estate when you sell property after holding it 3 years.
do you actually need to live there? and how easy to manage remotely everything?
Even tho I’m not a millionaire YET I’ve been able to apply MANY of your strategies to my own life with great benefits! I’m doing 4 countries 3 month each and living a HAPPY life outside the US ! Love you and Nomad Dads thoughts keep going 🙏🏽
Happy to hear this and see you winning!
I find good stuff interesting but does anything have a quick start/easy to follow document?
Yes abiding by countries visa regulations is the key. Most countries have 90 day visa (for people with “strong” passports) thanks to the EU,s bullying of many countries to conform with its wishes. That said being a digital nomad , receiving a pension or having a business somewhere gives you a secure life moving between your favourite countries and maybe establishing a number of home bases. It’s just that one cannot remain for more than what the visa states.
You don't have a family yet, I guess...
@@couldntfindafreename When I had a family I lived and worked in Thailand , China, Mongolia, Azerbaijan…. thinking and acting creatively is the key.
In Croatia, capital gains are taxed at a rate of 11% plus “prirez” (a local surtax that varies depending on the city). Generally, the total tax rate is around 12%. However, if you hold stocks and sell them after two years (using the FIFO method), the capital gains tax drops to 0%. Companies can reinvest profits and benefit from a 0% tax rate on those reinvested amounts. All you need to do is provide a statement declaring that a specified amount (e.g., XYZ) will be reinvested back into the company. This allows you to avoid paying tax on that portion of the profits. It’s a very useful strategy if you’re aggressive about compounding.
On top of that, we enjoy wonderful nature, good infrastructure, perfect weather, and excellent airport connections. 🔴⚪🔵
Same way for usa- its all headline tax. In reality you can pay very little, 2-5%.
1. Realestate is #1 write-off-able in usa. Hence why a lot of rich is in realestate.
2. Owning own business or just having portfolio, and never selling, but borrowing against it, means 0% tax as debt is tax free.
3. Venture Capital. When you buy startup of early state, and hold it for 5 years, once you sell, first 10 million in gains is tax free. Thats why accredited investors just buy a lot of startups with even amount. A lot of those fail, but those who boom, boom big, big time like 10-1000x.
Exactly I've been paying $0 in tax legally on mid 6 figures in real estate income for over a decade. That's because the US tax code is so advantaged.
Renouncing my passport or going elsewhere would be dumb, but I no longer physically live in the US but they have the best tax system for leveraged real estate.
Margin call isn't cheap.. nor prop insurance, that's prob a decade ago tricks so don't bother inviting more illegals
So you never sell and can borrow against your real estate portfolio? And if you never pay back what you borrow, doesn't your debt and interest just keeps growing? Don't you have to repay debt monthly while having your living expenses? How do you pay it back, with your borrowed money? What if things go bad for a period and your portfolio loses its value, and you can't sell, how will you pay your debt? Isn't this the sure way to go bankrupt? Please run an example with numbers that makes sense.
@@wanderingdoc5075 well.i heard Uncle Sam is taxing more on your Assets since you're literally a mon resident .. Most countries have closed that dudes double dipping loopholes
@@Tuberis because you only borrow on 10-30% of your portfolio, so if it crashes, you dont get margin called.
Some people never pay it off, they let it occur. Trust me, dig deeper into this tactic, am not going to write you a book, do your homework.
you should mention what the tax wedge in Bulgaria and Hungary looks like, and it's not pleasant. The social security contributions are insane and even out into a pretty high tax existence.
Can you please explain what you mean? Or provide a link?
You don't seem to mention how difficult it is to be in some of these countries - from a business administration perspective - for those which do business overseas. This can be a real nightmare.
Thank you for your comment! We understand that navigating business administration overseas can be challenging. For deeper insights and strategies, you may find our Nomad Capitalist book helpful: nomadcapitalist.com/book/
Bro.. I think that was called Registration for Nomad Capitalist.. 😊
This is part of his consultancy and he never implies anything is easy.
@@garrettmgunderson did I say he said it was easy? No, I didn't. But as per my point, he avoids saying how difficult it is - so much so, that it should be one of the big considerations
@@ah-tron3527 he has plenty of videos on that topic today. It’s this topic. Some people always need to complain about something.
Great information. Could you make a video discussing the lowest tax countries in Europe for EU citizens? Meaning for someone who doesn't need visas or any permission to live there. Also, if you could point out the ones that do not charge capital gains taxes on foreign held investments that would be awesome. Thanks again sir.
This article "12 European Countries with the Lowest Taxes: 2024 Tax Guide" provides information for someone looking to live in a low-tax European country: nomadcapitalist.com/finance/low-tax-countries-living-europe/
Yes I’m interested in that too!
Best choices in my opinion: Cyprus: 2,5% Corporate Tax for businesses with intellectual property (12,5% for businesses without) and no capital gains tax. Or Malta: 5% Corporate Tax and no Capital Gains Tax. I live in Cyprus and can recommend it
@@LM-wz7mx Thank mate!
@@nomadcapitalist Thank you for the information.
there´s nothing like Andorra, zero dividends tax, no hireritance tax, no wealth tax, no gift tax, only a max of 10 in corporate or income tax.... no crime, quality services....
And the worst banking system in Europe
@@NoeMilcentPatrimoine I agree! Sabadel 😂 what a joke!! Old crappy payment systems that’s any idiot can hack, you know that number card you need to use to make a bank transfer? 😂
Been looking into Andorra as well.
And they totally ignore FATCA
... For now.
Would love videos that dive into specific countries in unique situations, and that cover those nuances you can find there.
Another good idea would be the lowest time restraining tax havens, like Cayman Islands at 30, Bahamas at 90, Barbados at like 2 weeks, etc.
Thank you for your comment. You may find this video interesting: th-cam.com/video/dIl4CjNWv_0/w-d-xo.html. If you're looking for a specific country, feel free to reach out. Our team will be happy to discuss a plan with you: nomadcapitalist.com/apply/
Sounds good :)
amazing bloom on the orchid
This will be relevant to me in 5-10 years, good to be prepared.
Brilliant discussion
Excellent Analysis
Thank you Sir
I agree!!
I love your work, and I always love listening to you
Thank you Andrew
In Ukraine you have about 8% of tax as entrepreneur plus almost no burocracy and instant banking
We were about to move there but then the war hit... It was really a good alternative for us since we speak Russian fluently and my wife is Ukrainian.
Ive been following the channel a long time I need t get out of Canada very badly
Thank you for your comment! We'd be glad to welcome you at Nomad Capitalist Live where you can meet like minded people and connect with others who are in a similar situation as you - nomadcapitalist.com/live/
I wasn't thrilled at the idea of a $1m donation for malta, but you can't beat 15 months for European citizenship. I need to speed things up .
Thank you for sharing! Malta’s Citizenship by Investment program does indeed offer one of the fastest paths to European citizenship. If you'd like help exploring this option further or other alternatives that might suit your goals, we’d be happy to assist: nomadcapitalist.com/apply/
But ~30% social security for a very bad health system, and the most aging society.
where?
Why is Romania not mentioned? it has very low taxes (1-3% corp tax for micro companies up to 500k€ revenue, then 8% dividend tax), and the quality of life / modernity is way higher than on Bulgarian, N Macedonia or Georgia to take the examples of this list. Plus the language is a Latin one, making it much easier to learn than Bulgarian for instance, for people already speaking a Latin Roman language (French, Italian, Spanish…)
nah
Good points well made
Don't forget health insurance taxes on the dividends. So you end up with a 16-20% effective tax rate. That's not low.
@@Gilotopia Indeed, but this contribution is capped to around 79K Lei, on the basis of which you need to pay 10%. Which means max 1500€. Of course, if your total dividend is 15k€, then it adds indeed 10% of tax, but if you are at around 100k€ dividend, then it's an addition 1.5% only to the total tax, and not (at least) doubling it.
Because they want to increase income tax to 16% and dividend tax to 16% by next year.
Moldova gets you flat 7% tax if you're working in tech and open a company in the virtual IT park which is super simple
Hi, thank you for very informative video. Could you please make video for investors only. Some people do not run business only live from Dividends and in Europe taxes vary multiple times per country on dividends and income on % you get.
Thank you for your kind words. This video shares two tax-free diversification opportunities that can help you maximize your returns: th-cam.com/video/iwgzEO6rpK0/w-d-xo.html. Our team would be happy to help you navigate Europe’s varying tax rates and create a personalized plan for your situation: nomadcapitalist.com/apply/
I understand all even with my low english level, tnx!
Living in Hungary can say that being entrepreneur is not the best idea, products and some services will cost you more as high dependency on neighboring EUR countries and we depend on import having nothing produced here
Viktor Orban passed years creating problem in the EU council than trying to find a way to attract business to Hungary
The Malta system looks like the best?
Nice video, thanks. But please some more text or number during the speaking. Appreciate
Greece doesnt appear in the video with the chart???? Looks like its part of Turkey! Funny because Greece is EU member state with Euro currency !!!!Need an answer please!
If anyone is considering spending approx. $200k they should honestly just go for a 0% PIT country because why not? If you're willing and able to spend that kind of money, why not fully tax optimize? You get a lot more options when you don't have to pay any PIT!
So Georgia then.
Bulgaria levies a 10% income tax, but the social security taxes are substantial, resulting in a total tax burden of approximately 40% of an individual’s income.
sounds like you are doing something wrong, nobody that has a company pays that high tax rate. In fact depending how you structure your expenses you can go under 10%
@@Ivchoyyyy1 As I said, as a freelance contractor, I have to pay: 31.3% - social contribution taxes (31.3% of 3750BGN, which will be increased this month), then 7.5% income tax (applied to the rest of the income).
@@technstuff668 again, you are doing it wrong. I don't know what the heck you are doing but your math is off. Contact an accountant. If your salary is 3750 (which is really odd) then you will not pay more than 1219.50 BGN per month for social security + income taxes which will be 32%. However nobody with such a lower salary would consider moving countries because of low taxes. If you are making, lets say 7000 euros per month (rounding it to 14 000 BGN) you will be paying around 2000 BGN for social security and income tax, meaning you are paying only 14% of your salary. Even then I would say people making 7 figures are the ones that will be looking to changing countries for tax reasons and in that case they will not be a contractor but will make a company in which case you can lower the tax rate under 10% of your income.
Bulgaria, Ireland, Hungary, Macedonia, Jersey, Estonia, Guernsey, San Marino, Liberland, Andorra, Luxembourg, Canary Islands low tax countries
Im surprised you mention only lump sum tax in Switzerland but still me took other countries with higher marginal tax rates than some Swiss cantons such as Zug.
This guy speaks in a very similar way to Sheldon Cooper from the Big Bang Theory
6:04 As a European you still need to get a residency permit in Switzerland
In this video, we discuss the intricacies of obtaining Swiss residency, exploring various pathways and requirements for both EU and non-EU citizens: th-cam.com/video/dqmVZoQUe1w/w-d-xo.htmlsi=zelTL-xSni81eW6U
Dubai is zero tax but everything costs double the amount.
no its 9%
@@taaest-xekonly if you are doing a non qualifying activity and or trading within UAE
0% on revenue, capital gain or any other source of personal income.
@@rben26 it's 9% tax on corp and if self-employed . Who really goes to UAE for a job ? Most are Entrepreneurs .
Interesting, I totally disagree with this. But everyone is entitled to an opinion.
Portugal here, just cried watching this video... For me, the best is Luxembourg all in all.
What if you haven't got a business and earn income from investments and a pension?
Thank you for your question. We'd be happy to assist with a holistic plan for your situation-feel free to reach out here: nomadcapitalist.com/apply/
Doesn't Bulgaria also have a double taxation treaty with the US? So essentially, if you are paying 12-20% in taxes to the US, you would not owe anything to Bulgaria, since Bulgaria has the lower 10% rate? In contrast with a place like Italy, where if you pay 12% to the US, and are in a 28% bracket in Italy, for example, you still have to pay the difference to Italy (16%)
By not mentioning Latvia it means there is not enough information out there about Latvian tax system for those who want to save some tax money.
Very generic info. Just enough to encourage to pay for services of NC.
On terms of income taxes. Some areas of Italy is 0 or 7 like Molise
Why didn't you mentioned the 30% ruling of Netherlands? is not worth ? or is a too weak tax discount ? Thanks and Regards.
The difference between the European Union, the USA, and other Western countries is that the European Union has multiple options. The European Union is made up of over 25 different countries. The Balkin countries and other European countries that have just joined the European Union or haven't been members of the European Union will have a more favorable tax system. I believe the best European Union countries are the ones most overlooked, and most people may have never heard of them. I just remembered one of No Mad Capitalist's videos not too long ago when he mentioned Adorra. I have never heard of Adorra before.
Can you make detailed video on Germany 🇩🇪?
Ask yourself, what is economic freedom
when you come to the realization that taxes do not matter that much because they are not the product of your work but someone else's... you want to be economically free... live on debt and make someone else pay for it.
@@iamstartowerCan you go into depth on this and other knowlege you hold that you think is worthy, thanks! :) Intriuged!!
Not gonna lie, I was about to move to the UAE thinking it was a tax-free paradise... but now I’m rethinking and maybe heading to Malta instead. Tax strategies are on another level here! 🤔
Javier from our Nomad Capitalist R&D channel is also interested in Malta's tax strategies and lifestyle. Watch here: th-cam.com/video/PuSdNPgJBM0/w-d-xo.html
Come to Andorra. Malta is disconnected from mainland and you always need to fly or take a ferry to go out. Not practical at all
@@lsfornells indeed, that’s the reason they give this tax cuts because people don’t wanna live there
@@ApriliaCollector Then maybe you should cover Andorra in a future video. I live there since 3 years ago. I would be interested in learning what's your perspective as an external analyst
UAE are now at 10% tax
So Domicile based taxation is similar to remittance based taxation?
Thank you for your question! This article explains the misconceptions behind Remittance Tax: nomadcapitalist.com/finance/legal-tax-reduction/remittance-tax-planning-remitted-money/. If you’re considering optimising your tax situation, we’d be happy to guide you through the process. Feel free to reach out: nomadcapitalist.com/apply/
If you currently lived in the UK and were about to make £4-5 in crypto what is the most sensible step to consider where to live prior to cashing in?
4 or 5 pounds? Go for a pint in the pub mate
@@rigamedtec haha - fair play - I did mean million :)
Thank you for your question! Our team would be happy to help you create a holistic plan to find a country with favourable crypto benefits. If you'd like our help, reach out to us here: nomadcapitalist.com/apply/
Germany is zero tax on crypto as long as you have held it for over a year.
@@kthxciao1465if you swap into stablecoins and then cash out it isnt held for over a year
What about Scotland?
Bulgaria WAS cheap country to live. The expected introduction of the Euro currency rushed the prices and consequently the salaries up to EU levels. It is still relatively cheap to eat outside but like 20-30% cheaper than Helsinki for example.
Europe has way too many medieval era taxes that slow down innovation. I'd be curious what people think about a very random transaction tax 5% on top of VAT on any bank accounts transactions and debit card purchases. Apparently that transaction tax might be against some EU regulations. Does it make countries like Hungary and Slovakia (who pursued this nonsense in their legislation) go back to medieval times? Why would any young people want to stay there (even though these are low tax economies)?
I get that people don't want to pay tax. But taxes pay for infrastructure, educated workforces, public health, financial and personal safety, and more.
Personally, I don't mind paying for what I get. My business is successful because I have access to healthy, educated, workers who are able to get to and from work. Not paying for that feels like (and is) freeloading on the benefits I received. It doesn't seem like only my employees should pay for the success of my business. Everything breaks down when people stop paying for what they get.
Not for all it is paying no taxes, but get some more money out of your work. The problem is that since WWII each government promised their voters benefits and those need to be paid. Western governments spend money questionable. Social security is out of control, people are financially better off by not working than working low paying jobs. People do not work more than parttime because working more hours doesn’t increase income due to losing benefits. Cost of immigration is hidden, sending tons of money to other countries (for support and or war). Spending insane amounts to climate change initiatives, if 1/4 of world population is trying to reduce climate change, will it make a change?
@@jasperonandroidNo, Krakken is correct. Those reasons you listed are just poor excuses.
@krakken- yep, tax avoidance is about parasites accumulating wealth for no end, and harming whichever societies they come into contact with.
No one cares about paying a polite amount of tax. But it’s usually too much and that money isn’t administered well at all
If you live in UK say you made 20 million a year 5 million gone just for cooperation tax and if you wanna spend remaining money another 6 million for income tax and many more VAT, stamp duty etc. when you pass to your kids they end up paying another 40% I didn’t even come to capital gains tax. Roads are so bad you can’t even drive super car without damaging it😅
What about Montenegro?
I didn't think Switzerland is a full member of the EU ?????¿?
Heck, yeah Andy
I live in Poland is there taxes good?
This video covers why Poland might just be the ideal destination for savvy investors and entrepreneurs looking to optimise their tax strategy in Europe: th-cam.com/video/jilnq-j_xVA/w-d-xo.html
Meanwhile Germany :- talk to my hands 😅
Nordic countries have lowest corp tax rates. Lowest I know for sure is 7% without use of offshore companies.
Nordic?😂 it’s 22 in Denmark
21.5% in Sweden. Where is that 7%?
Forget to mention that in Hungary after u get your net cash you will always pay 27%😢 vat to live. Or as we do, just have fun in Austria ;)
I pay 9% corporate tax and 0% personal income tax. Will I find anything better than that?
Where are you based?
Ditto asking.
He won't tell where, so it stays like that longer.
Welcome to Lithuania where you pay 40% tax (income + social security). Want to pay even more? We'll take 52% over 100k!
Yet you have only 15% tax on dividends, it depends on how your income is structured.
Strangely you haven't mentioned isle of man :)
In this video we explain how Isle of Man is attractive for international companies, but also why Nomad Capitalist chose not to incorporate there: th-cam.com/video/sv_CKaQbA6A/w-d-xo.html
Trust me - you don't want to live or run business in Montenegro. Georgia is a Russian farm club - you don't want to mess with it either.
Georgia is in an Asian country and not a part of European union but part of UFEA "European football"
Israel as well.
@todorzolumov true
Georgia 🇬🇪 worst country to invest.
@@truehearteye-candy167 why is that? I never been there but heard that is a nice country
@@Jean.34 Completely unstable. Check the news. Shit can hit the fan anytime
Makedonia is the best for taxes
Kosovo has
- 10% tax
- No-limit dvidident
- Zero percent export tax
Serbia 🇷🇸 Malta 🇲🇹 Romania 🇷🇴 UAE 🇦🇪. ITLAY Agee
Disagree with Georgia 🇬🇪 isn’t the best option for same reasons .to invest on this country !!!
All EU countries is a trap.
There is another way...
Anything can be done for people that are PAYE?
No, they are always getting screwed by the government and cannot escape that bad situation. This is why you should avoid PAYE at all costs.
I love you man and watch all your videos and I don't blame you because hey, there's an open door to do this stuff but understand that wealthy people paying not much tax is one of the main reasons that the west is in such steep decline.
Actually the corruption in the politics is the real reason.
As a European, I find it slightly funny. Most of the places recommended are some of the worst places to live in Europe. Generally speaking, financially the best life is in Scandinavia, Germany, France. That is also the countries with some of the highest taxes. Another thing is, Bulgaria, Balkans and others have also a higher rate of crime and are generally poorer. Why would anyone want to be rich in an otherwise poor country with higher crime rates. I just find it more uncomfortable.
And last but not least. Are many people actually moving somewhere because of taxes? And if so, why? (Genuinely curious)
This clip from Live Like a King touches on why some choose places like Serbia-not just for taxes, but for safety, personal freedom, and lifestyle balance. Worth a watch: th-cam.com/video/vyEzseB_VSs/w-d-xo.htmlsi=ZgTL7R5IDKl9NA4c&t=924
You haven’t mentioned PORTUGAL in a while. Not an option any longer?
We discuss Portugal in our latest video Why Bill O'Reilly is WRONG About Countries to Escape the USA: th-cam.com/video/ZHbaIG5kUm0/w-d-xo.htmlsi=yl2aM4C82xRpM8P8. If you’d like help finding the right option for your goals, feel free to reach out-we’d be happy to assist in creating a plan: www.nomadcapitalist.com/apply/
Thank you for the kind words. Enjoy!
What does Zeus have to say about this?
Hungary: I hear all the time that the corporate tax is the lowest in Europe but that's about it.
I've already asked a bunch of accountants for a full break down but can't really get it.
Being a freelancer though, it's highly taxed. There are multiple schemes, such as "flat rate" if you can stay under a certain level of income. That level is quite low. (I mean, it's relative, but if you watch this channel, it's probably because you are trying to save more than 100$ a month) In the end, you end up with 30 - 40% out. The government does not like people who work remote. It's 2024 and laws are still as if Internet didn't exist. They "allow" you to make more money as a hairdresser than as an IT guy. (different tax brakets)
Do not go to Hungary for tax reasons. You will get screwed if you do so. They change their rules pretty often pretty sharply. Their only goal is to maximize the earnings of their oligarchy. Just stay out.
@@couldntfindafreename yeah, whatever the reason, as I don't want to turn this into a political debate, you are 100% right, they often change the rules. Plus, the flat rate tax schemes, that have a low limit already for IT guys, are worsen by the Hungarian Forint (HUF) losing value. I really don't get why governments can't just make it easy, take their (undeserved) part and leave people in peace. Hungary is super bureaucratic, fond of paperwork, it's also a pain if you don't speak Hungarian, you'll have to rely on someone else.
You pay your 10% in serbia for ex and sleep tight on your two ears
Not working is one way 👍
The more I watch these types of videos the more thankful I am to be living in the United States. On the balance, it's still the best place to be. ☮️
It's generally the best place to make money but once you have some wealth your quality of life can be a lot higher for a lot cheaper in other countries
@@i_like_beer-o2f Probably so when you are ready to quit working and want to live off of your investments. But from what I see, I would not mind visiting those other places but want to live and pay taxes in the US. The system is a great deal better overall for a working person.
@@i_like_beer-o2f well not in Europe
Not for long.....
@@Kevin-zz9nc Most countries are suseptable to rapid collapse. The American system is far from perfect but it still works fairly well. In addition to that, the US still has resources and infrastructure to rely on.
You take nothing to the grave
I’m okay with you paying no taxes as long as you don’t use the roads, hospitals, schools etc.
Wait people still want to live in Europe? 😮
Not everybody is "nomadic" or can afford to be. If you have no attachments whatsoever, sure keep rolling.
Romania has 3% tax until 350k euro/year
Plus dividend tax plus health insurance tax. Don't be fooled.
Belgium has 0 tax but you never mention it
Belgium has among the highest taxes in the world. Good thing there is no capital gains tax but some politicians in Belgium are talking about creating one.
Ha ha you dont even talk about portugal... zero tax🤑 weird
Here’s what you need to know about tax in Portugal for expats: nomadcapitalist.com/global-citizen/zero-income-tax-non-habitual-residence-portugal/
So you like Autobahn, free University and cheap good healthcare, but leave the locals to pay for it instead of yourself? Great.
You my friend will remain forever poor and die for your idealism. Pragmatic mind is the real deal.
Whatever. But I live here.
It’s Germany itself that decided to tax people who work for a living over 50% if you include social security and the mandatory health care while billionaires pay 26% on dividends and real estate changes hands at 0% tax, crypto is 0% tax as well after 1 year holding. Blaming this on expats and the rich is kinda hilarious, how about blaming the representatives people voted in that created this lopsided tax laws?
Tax is illegal!!!!..... always has been.
Well.
That settles that, apparently.
Liberals please don’t come to portugal, trump supporters are welcome though.
it should not be legal to not pay tax . tax the shit out of the rich .
i do not give a shit about anybody opinion .
define the rich bracket?
Macedonia is In Greece, its ALWAYS been that way. History says so.... not just some political mickymouse brainwashed jokers. They speak bulgarian dialect and all balkan countries can roughly understand eachother since they are all slavs. Period.
Obvious choice: MOVE TO RUSSIA! 13%!
There're much better tax regimes in Russia than the PIT, i.e. the simplified tax regime with the 6% tax rate or even the patent tax regime with lump sum taxes.
I chose the patent tax regime and pay less than 0.5% of my income in taxes.
Move to Ukraine 5 + 1 %. Russia - sucks, no normal banking (all under santions and crazy dictator as a bonus). Probably in future no $ or EUR to buy, only "wooden" ruble or CHY.
have fun!
I've read Russia taxes foreign residents at 35%
@nomadcapitalist as Portuguese it is easy for me to go to Madeira and have access to the low taxes beneficts. Correct?
Thank you for asking. As a Portuguese citizen, it may be possible, provided you meet specific requirements. If you’d like our help, we’d be happy to assist: nomadcapitalist.com/apply/