With one of the highest tax rates in the world, the Australian government can take in excess of 50% of your income through various taxes. These include income tax, Medicare levy, fuel tax, capital gains tax, and general sales tax (GST). Since no-one wants to have their income cut in half, many people have been looking for ways in which they can lower their tax liability and save money. One of the most popular ways is to use an offshore company formation.
Unfortunately, offshore company formation with banks abroad is not simple and it has created a lot of legal problems for people who try to do it themselves. Saving money through an offshore company setup is best left to the experts.
The Company You Keep
One of the best ways to take advantage of more favourable foreign tax policies is by starting a company. Not only is a company’s profits taxed at a much lower rate, it is also much easier to take the leap offshore, than it is for an individual.
There are some potential pitfalls, though. If the company is set up wrong, it can result in spending even more money that you actually save in tax, by paying tax overseas AND in Australia. This is because there are very strict tax regulations on overseas companies owned by Australians.
WealthSafe will guide you through around these pitfalls and ensure you save the maximum amount of money by finding you the lowest rate.
Pros and Cons of a Company
There are a number of reasons why starting a company is a good idea, but also there are also some downsides to companies.
The major benefits of companies are that they are separate legal entities, and companies are taxed at a much lower rate.
Tax is a big reason why people start companies. While individuals can pay up to 47% in personal income tax, companies are taxed at a maximum of 30%. This is a massive saving.
From a legal point of view, a company is separate from its owners. This means that if you are a shareholder (owner) of a company, your personal wealth is not affected in the event of legal action.
Unfortunately, there are also some potential problems with starting a company. These include so-called ‘double-tax’, and tight restrictions on company loans.
The potential savings on the lower tax can be substantial, but when profits get paid out it gets taxed on shareholders’ personal rates. This means you can get taxed twice! This is a major reason why more and more company owners are looking structuring their tax overseas.
Another pitfall of a company is shareholder loans. In the past company owners could loan money out of the company in order to try and lower the company’s tax liability. The Australian government has put an end to this by severely restricting these kinds of loans.
Is a company for me?
An offshore company incorporation can be a great way to establish tax structures overseas, thereby saving precious tax dollars. However, it may not be for everyone. Whether it will work for you or not boils down to individual circumstances, and if the pros outweigh the cons in your particular situation. It’s not always a clear-cut decision, and making the wrong one can lead to a financial disaster.
This is why you need advice from an expert. WealthSafe’s team of specialists will help you determine whether starting a company would be in your best interest. We take things like your business structure and base assets into consideration when helping you to select the best way forward.
How do I start a company?
You’re now ready to start a company, but where do you start? It can be quite a daunting process, with forms and documents and many do’s and don’ts. Once again, WealthSafe’s experts will put your mind at ease, by taking care of all the necessary steps to get your company up and running in no time. What’s more, we will ensure your company is set up in such a way that you can legally take full advantage of offshore tax structures. It is our mission to minimise your tax liability and maximise your savings.
Call the Tax Experts
WealthSafe is the only company that specialises in Australian tax. We have more than 20 years of experience guiding companies and individuals towards great tax savings. Warren Black, WealthSafe’s CEO, is a former ATO employee, and Australia’s number one international tax expert. His expertise lies at the heart of the company, and you can rest assured that you will get the same specialist advice and individual treatment.
Call one of our advisors today for a free initial consultation to see how we can make a company work for you, and put your tax dollars back into your pocket.
Complete the below form to discuss your options with us.
After a thorough analysis of your data and unique circumstances we advise you of all oppotunities. We guide you towards the best path and take control of implementation. Through every stage, we ensure full tax compliance and ongoing support.
It's a no-obligation risk-free assessment with a full money back guarantee (conditions apply).
Financially modelling your situation. We present your options and outline the possible tax savings.
We provide a written report with options to minimise your tax along with our recommendations.
WWe have a follow up meeting and create a strategic tax plan based on your choices.
We outline the process, costs and tax savings, and what you need to do from your side.
We fully implement your tax plan to ensure you meet all local and international legal requirements.
For those moving overseas to flee the Australian tax robbers, we help in the whole process from beginning to end.
Our service continues after we've implemented everything for you. We provide ongoing training to update you on changes as well as providing options to work with us on an ongoing basis.
Brilliant service!! Could not have asked for a better start to getting my business structure. This world is still completely new to me and I am very impressed with all the resources Warren and the entire team at Wealth Safe have provided to help me understand trusts
Living overseas, with no structures or assets in Australia anymore, it simply didn't make sense to keep paying into their tax system. Thanks to Warren and his team, they guided me through the process of setting up stable business structures, and making sure all the lawyers agreements and professional advise was documented. This ensured I met the obligations of the ATO and was 100% legally compliant with my obligations. I researched my options, and felt secure that WealthSafe took all precautions to ensure I was doing the right thing, and benefitting financially at the same time
After getting so much conflicting advice from other sources, we were completely confused. Being global business owners, we needed both Australian and international advice, so we reached out to War ren to help us understand exactly how we could structure our businesses to ensure we were well protected. It was vital to us that our future growth and decisions were taken into account. Not only did Warren give us the highest quality advice, and go above and beyond in ensuring we understood the full spectrum of what we were putting in place, but he has always been available for follow up questions, is always happy to get us on the phone for clarification, and he has shared the expertise in his team with us. At first, we have to be honest, we were really concerned about spending money on a consultation. The outcome is although not cheap, it is the best money we have ever spent. We can see significant savings, know we are structured well, have a fully dedicated and professional team behind us and have expert advice available when we need it. We can’t recommend Warren and the Wealth Safe team enough. Thank you
CV from Canada
He is very professional, knowledgeable and creative with his tax planning strategies, and very attentive in answering your questions and working with you to find the best set up for your individual situation. I feel confident working with him and his team, and his level of expertise is outstanding. I wouldn't trust any other company, and would highly recommend Warren Black and Wealth Safe to protect your assets
Although I thought the result I had figured out with my accountant were the most tax effective way I could setup myself up. I was in a position where I would have to pay 31k in tax. Warren found something in how I was setup, which turned my situation around to getting $15k returned to me. It's a $46k turn around.
Warren was able to set me up, and help me look forward to further tax reductions for the future. Also for improved asset protection. Warren also did bloodline wills for me and my wife. Full Review Here
I'm in the mining industry and run a small trading business. I had a tricky situation I had to get out of. I had default on my credit files. I got Warren on the job, he loves that sort of challenge. He didn't even charge me full price, he was excited at the challenge of helping me out. He succeeded and got rid of my default! I get Warren to do all my work now. I would recommend him to anyone
John G from Sydney
I run a small business. I was concerned about safeguarding my assets, myself and my family, and the amount of tax I was paying, but I also wanted to be legal and not get into trouble. Warren was able to provide me with a structure that protected me and my family and my assets and also helped to significantly and legally reduce the tax that I had to pay. Sure I had to pay and they aren’t the cheapest nor the most expensive, however it was well worth the fees paid. I certainly feel more comfortable and secure now
They were able to walk me through the whole process, even a tax dummy like myself.... I was very very impressed with the level of service. It was really end to end. They were always there to answer questions, help me complete paperwork and connected me with all the right people. I can't recommend Warren and Wealthsafe highly enough Full Review Here
Virna, Warren and the Wealth safe team have provided us with a professional and efficient experience helping us to identify and create a customised financial structure to suit our needs. They clearly have a great deal of knowledge regarding taxation in Australia. Also Warren's seminars have been of great help. We absolutely would recommend their services and are forever grateful for help and advise provided
I am a doctor (GP) who was making a good income, however, I was highly dissatisfied with the high amount of tax I was paying, and also feeling a little lost and frustrated in my life in general. I signed up to work with Warren and his team at Wealth Safe. It was one of the best things I have ever done. Firstly, I got quality advice on my tax and was restructured and legally was able to minimize my tax and get on top of it. Secondly, I joined his mastermind and got some personal mentoring, which was significant. It helped me shift a lot of mental and spiritual blocks, and financial imprints which seemed to be blocking moving forward and making major decisions. I learned also how to manifest and create what I wanted rather than what I don’t want, and I have even manifested a wonderful relationship with a very supportive partner. So all round, a great decision. Thanks Warren, and I would recommend Wealth Safe and Warren’s tax advice service and manifestation and imprint clearing to anyone!
I worked with Warren Black to open a Hong Kong corporation during the summer of 2018. Warren came highly recommended from my business contacts, who said that he was honest, trustworthy, and very knowledgable. I have to agree. My experience working with Warren was very good. Warren was extremely attentive to my questions, replying with solid answers in less than a day. He also took the time to explain options and rules in detail. When faced with some unique challenges that most businesses don't face, Warren was quick to roll up his sleeves, take action, and even put me in touch with his team so the process could move forward rapidly. This was above and beyond what I expected. To top it off, I found him very personable and really a pleasure to work with. If anyone is looking at a business entity in Hong Kong or Malta, I highly recommend Warren Black.
Warren, Virna and the team at Wealth Safe were fantastic in helping me set up multiple business structures overseas. They were always willing to have a chat on the phone whenever I felt like I needed extra help and they always replied quickly to my emails. The advice and structure set up was tailored to what I wanted to achieve and the whole process was easy and straight forward. I would 100% recommend utilizing their knowledge and expertise in setting up overseas and creating the life that you want to live :) I can't thank them enough.
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