Their rules and criteria in regards to this matter are purposely kept opaque, they essentially have the final say regardless how you want to justify it.
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Offshore formation for Canadians
- Thread starter Elemia
- Start date
Whats your pnl?
If you are making under 500k/yr you can structure a corporation and pay small business tax in canada which is not so bad. 12% IIRC.
If you are above 500k and are ok with residing outside of canada (but still keeping the citizenship) there are many options - malta, antigua, cayman and some golden visa options in europe that are still possible.
This is my first year moving offshore (antigua) so i cant speak to what its like just yet.
The hardest part of the process was getting in touch with the right people. I was being quoted from 25k-115k across various vendors to set it up (Nomad Capitalist, Global Citizen Solutions, etc..)
Eventually called the guv directly and they put me in touch with a firm that only charged 2k and was super responsive (Dentons is the firm).
Process is 3 months, you pay 20k flat tax, lease a property 12 months/year and have to physically be in the country for 30 days a year. Other countries have different rules.
My annual pnl is above 500k USD.
Why did you choose antigua instead of the BVI or other destinations? Are there any banking difficulties? Do you currently reside there or in Canada?
Nomad Capitalist seems to carry a poor reputation across anyone who have actually dealt with him.
Their rules and criteria in regards to this matter are purposely kept opaque, they essentially have the final say regardless how you want to justify it.
yes but out of 300k tfsa acocunts i seen. Only 5-6 were contested. Once people understand the extreme low probability of an audit and then a CRA ruling of conducting a businesses, then they're reassured. But many are paranoid about a few day trades
You seem to be experienced in this matter, how have you seen 300k tfsa accounts? Did you use to work for the CRA? Where there any reasons given for those few audits being conducted by the CRA? Too many trades, account size too large, etc...yes but out of 300k tfsa acocunts i seen. Only 5-6 were contested. Once people understand the extreme low probability of an audit and then a CRA ruling of conducting a businesses, then they're reassured. But many are paranoid about a few day trades
You seem to be experienced in this matter, how have you seen 300k tfsa accounts? Did you use to work for the CRA? Where there any reasons given for those few audits being conducted by the CRA? Too many trades, account size too large, etc...
I worked at a brokerage before. CRA would notify the brokerages always. Mostly it was account size. Some people had multi million dollar TFSAs within only a few years. Some were do the the profession of the account holder.
But 99% of the time you can crush it in a TFSA and get away with it. They’re woefully underfunded and stilll dealing with Covid related audits.
I worked at a brokerage before. CRA would notify the brokerages always. Mostly it was account size. Some people had multi million dollar TFSAs within only a few years. Some were do the the profession of the account holder.
But 99% of the time you can crush it in a TFSA and get away with it. They’re woefully underfunded and stilll dealing with Covid related audits.
Did you come across any clients who forgot to/ (intentionally did not) file their capital gains/trades? Does the Brokerage submit account size/trades/annual profits to the CRA automatically or is it upon request by the CRA if they want to audit you? Are TFSA and typical margin accounts handled differently in terms of reporting procedures? Does the CRA not have all the data or do they just not have the time to act upon them? With the bloated public sector, you would think they have a million cra agents looking through every nook and cranny to take money.
Thanks
Did you come across any clients who forgot to/ (intentionally did not) file their capital gains/trades? Does the Brokerage submit account size/trades/annual profits to the CRA automatically or is it upon request by the CRA if they want to audit you? Are TFSA and typical margin accounts handled differently in terms of reporting procedures? Does the CRA not have all the data or do they just not have the time to act upon them? With the bloated public sector, you would think they have a million cra agents looking through every nook and cranny to take money.
Thanks
i don’t have all the granular data since I was a trader and not really on the admin side. But learned a lot from looking at traders with multiple millions in their TFSAs and 30-50m In RRSPs.
TFSA contributions are reported. And I’m sure buys and sells like regular non registered ones are as well. Which may flag something on CRA side. Awesome the type of securities as well. Since a delisted Nasdaq/nyse company wouldn’t be eligible to be held.