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Of course they do. They can afford personal accountants and other full-time professionals that all they do fiscal optimization for them, trying to explore every
by vfc1 7y ago
Of course they do. They can afford personal accountants and other full-time professionals that all they do fiscal optimization for them, trying to explore every loophole in the system for their advantage.
They can open a company, declare expenses and claim a low salary, thet can put the money offshore or on Switzerland, and all those tax-avoiding schemas that are not doable by the common citizen.
- coredog64 7y agoWhat exactly is it that you think putting the money in Switzerland accomplishes? The US asserts that any income you make anywhere in the world is subject to US income tax. Living inside a corporation is very difficult, and the IRS takes a pretty dim view of people who try it. But don’t take my word for it: Ask Wesley Snipes. He spent 3 years in a federal penitentiary for trying. There’s a small deduction that’s not indexed to inflation, and you can also deduct any local taxes you might have paid.
- vfc1 7y agoAll sorts of personal expenses can be deducted through a company. Travels, restaurants and hotels, car rentals, car maintenance. Even holidays, there is a whole business of seminars on cruises and exotic locations, people sign the presence sheet and skip classes and declare everything as an expense. You can pay your Internet, phone, buy coffee machines and coffee, office items and have all that deducted as a company expense. All of this is pretty significant for most people and would make a huge difference in most people budgets.