U.S. Citizens Can’t Believe the Tax Breaks They Enjoy in Belize
Forget about moving to the other side of the world in search of tax breaks. Belize is just a few hours by plane from North America, but it may as well be the moon in terms of this nation’s tax breaks!
Benjamin Franklin is credited with uttering the phrase, “In this world, nothing can be said to be certain, except death and taxes.” If you agree and you’re sick of being taxed for everything but breathing the air around you, there’s a place you can come that will relieve you of much of this onerous burden: Belize.
Tax-free Belize living: it’s the law
When Belize laws were conceived in the early 1990s, government officials sought the direction of learned scholars and examined the tax structures of other nations, vowing to establish a safe haven devoted to asset protection and privacy.
Included within the fiscal safeguards the government of Belize put into place were the Offshore Banking Act, the Trusts Act and the International Business Companies Act (IBC). What do these legislative actions mean for you? Find out by moving to Belize where English is spoken, and the nation’s Qualified Permanent Residence Law lures overly-taxed folks to Belize from around the world.
Can this really be true?
It can and it is, say ex-pats who were drawn to Belize for financial reasons and found residency to be even more beneficial than they imagined. Consider the following advantages should you decide to join them in order to enjoy a higher-quality lifestyle, even on a modest budget:
-While income tax is charged at a rate of 25-percent, ex-pats don’t pay taxes on their first $14,500 in annual income.
-Pensions are exempt from taxation.
-Gain residency status by spending only 183 days in Belize annually.
-Capital gains taxes don’t exist in Belize.
-Own a business? Transfer assets into an IBC and dividends won’t be taxed.
-Purchase a home and pay just 5-percent of the property’s value in transfer taxes and 12.5-percent in closing costs.
-Your annual tax bill will run between 1- and 1.5-percent of your residence’s value.
These figures are just the tip of the iceberg, but if you require a specific example to show you just how much Belize’s tax laws can benefit you, purchase a 4-bedroom house and your annual property tax bill is likely to run somewhere between $100 and $200.
If you’re not a believer by now, we remind you that April 15th will be here before you know it. Hopefully, you’re saving so you’re not caught short-handed when your current U.S. tax bill comes due early in 2020.