91
you are viewing a single comment's thread
view the rest of the comments
view the rest of the comments
this post was submitted on 20 Oct 2024
91 points (96.9% liked)
Explain Like I'm Five
14144 readers
109 users here now
Simplifying Complexity, One Answer at a Time!
Rules
- Be respectful and inclusive.
- No harassment, hate speech, or trolling.
- Engage in constructive discussions.
- Share relevant content.
- Follow guidelines and moderators' instructions.
- Use appropriate language and tone.
- Report violations.
- Foster a continuous learning environment.
founded 1 year ago
MODERATORS
This. Why is this system not exploitable by us? What do we need ti make this work for us? Also: if the system is known, why is nothing done about it?
It’s not that easy to do something about it. Generally you’re taxed in the country where you earn money, but corporations have options in where they count income and where they count losses, to most benefit them.
A regular person in the US can’t do this because their employer reports salary income to the IRS as US income. What income do you have that you can claim was earned in a low tax country? Have you done all the legal work and paid appropriate taxes in that country?
Sometimes you’ll read about repatriating money. How do you legally use that money you have in a low tax country without incurring taxes bringing it back to wherever you are?
Simple. It's purely by design.