Labuan Malaysia 🇲🇾 - Little Known AMAZING Offshore Jurisdiction

[@asrie1234]

*Stay in Kuala Lumpur or Peneng Malaysia, Your Offshore Account, Offshore Company Olso in Labuan Malaysia, Your Business the Centre Off Sounth East Asean,, Near China more Profitable in Labuan Malaysia 🇲🇾*

[@Cdogmaximilian]

Just heard about this place from a mate living in Kuala Lumpur. Sounds amazing.

[@MichaelRosmer]

Yeah it's pretty great for the right business. Of course I also love Kuala Lumpur so...

[@asrie1234]

*Welcome to Malaysia.. Offshore Labuan Island & Singapore , Malaysia Truly Asia Good foods, rainforest good beach & others many More Enjoyed thanks for sharing very good videos* 🇲🇾♥️💖❤️‍🩹💗💗🤩🥰🇲🇾💖❤️‍🩹💗♥️💝🤩🇲🇾

[@mattball7074]

So a company that just holds a stock portfolio would not need to hire anyone or need a place? Just spend $4500 USD in Labuan somehow

[@kinkeliba]

Hi Mike, Interesting presentation and well explained. Now, I'm listening to this video two years later... Besides the episode "name and Shame" from the EU laterly, quite a decade ago, that you well point out, I'm wondering is Lubuan still have the shot compare, say, to HK ?

[@michaelgreen5515]

Had never heard of this jurisdiction thanks.

[@OffshoreCitizen]

You're welcome, unfortunately, they have made some changes since I made this video that are making it less attractive so we'll see what happens going forward.

[@7ombische]

Sadly Labuan has become excessively bureaucratic and extends the 3% tax incentive to a limited set of business activities for trading companies. Minimum substance requirements are acceptable and have their advantages but the red tape, ongoing paperwork, annual auditing and the limited category of trading activities makes Labuan attractive to a narrow selection of businesses. Not to mention the risk of changing and less favorable regulation - my agents in Malaysia are very unhappy with Labuan’s trend of making the offshore jurisdiction unattractive. No to mention that Standard Chartered bank recently closed a large number of Labuan offshore company bank accounts without valid explanation. Really do your due diligence, set your redundancies and proceed with caution.

[@SuperToughFish]

Oh no

[@MichaelRosmer]

Unfortunately, Malaysia in general has had government problems recently. That being said I've found it's pretty easy to fit your business into one of the trading categories listed to get the 3% and there's some flexibility to address most of the other issues if you're willing to get creative

[@yaakoubrezgi6008]

@@MichaelRosmer what are this categories?

[@MichaelRosmer]

@@yaakoubrezgi6008 basically not ask trading activity qualifies so you could be for instance an agency or some other types of businesses but not others. There's a whole list and the categories aren't very well defined within the list. If you want to go into specifics you can reach out to us and I can cover how it could apply to you. www.offshorecapitalist.com

[@AleyLLC]

@@MichaelRosmer link is not working' at all

[@HunkyMan777]

IS Labuan still viable now that the IBFC have closed down the "Other Trading Entities" model for the 3% tax recently? What does this mean for the future of Labuan as a mid-shore tax haven? Would love your thoughts on this Michael.

[@OffshoreCitizen]

Makes it much worse/much more tricky. There is still the possibility of the offshore exemption but it's not as appealing. Hopefully they'll come to their senses and make it more appealing again

[@thecontainerthecontents6889]

@@OffshoreCitizen Can we get an updated video on labuan as it works now? I keep hearing it's been ruined now -- the 3% tax exemption

[@knutetrier4324]

So if all is non Labuan based trade it is Non- taxable

[@ranakhan983]

Very nice good information

[@OffshoreCitizen]

You're welcome! What other content would you like to see?

[@rj9980]

Very informative

[@MichaelRosmer]

Thanks! Anything else you'd like to see?

[@bill4116]

Michael great work! The missing link thru out your videos is stricture for non USA citizens to minimize or eliminate if possible dividend withhold from USA based entities paying out to non USA citizens. The biggest missing link not being discussed …. Imagine $50M in a dividend portfolio usa listed cos paying out 7% or $3.500.000 and without proper planning and structure that $3.5M has a USA at point of monthly or quarterly dividend payments, to withhold 30%! Yet we continuously hear about “zero” tax…. Cheers

[@OffshoreCitizen]

You won't get to zero but you can reduce it under a tax treaty

[@lesliejameskellaway5527]

Hi Michael, I'm British, retired and live in Thailand. Is it worth opening a personal account in an offshore location, to save tax on savings etc. It's a very large amount.

[@admin8784]

How about the taxes applied now for Labuan Company work permit holder?

[@VERTICALWisdom]

3% versus 28% - The tax savings alone will pay all the fees in structuring your CBI, company set-up, and residency. Seems logical. Can the company and banking be done remotely?

[@MichaelRosmer]

Yes you can set up the whole thing remotely, which is also a bonus.

[@MichaelRosmer]

And yeah 3% tax is pretty legit, I'm all for no tax but I'm very happy to pay 3% if I'm going to benefit from a country

[@VERTICALWisdom]

When we do our project I will have to travel to China for a product purchase - We could then go to Labuan for set-up as well. Should be about 60 days for us.

[@MichaelRosmer]

@@VERTICALWisdom very nice. There's not much to see in Labuan but Malaysia is great. Hopefully they open up soon as they've been really restrictive this year

[@gavinhassan1074]

I'm Australian, I've been looking at Labuan for a while. Main income is share trading and returns on holdings. Can I have a Labuan based company and live in Malaysia (Sabah or Penang) pay myself some wages, pay some Malaysian tax and benefit from the tax treaty with ATO? I am planning to permanently repatriate. I'd prefer not to renounce but do intend to secure some other citizenships. Mainly concerned with adequately leaving Australia, intend to be mostly nomadic.

[@MichaelRosmer]

Hey Gavin, so we'd need to dive into the details of your situation and what you want to accomplish but you don't need to renounce your citizenship. Depending on your income structure you could potentially pay very low tax in Malaysia and benefit accordingly if you're willing to establish residency in Malaysia. The biggest thing is being able to have the ATO recognize you as not being resident in Australia. If you'd like to discuss the specifics reach out to me and we can go over the details.

[@anonymous6594]

12:42 What are your current top 5 countries to form companies in?

[@fffhhh3548]

Hi i'm above 50 & i want to comming & living to malaysia with smm2h prog. Please guide and help me from the first until end. Thanks.

[@OffshoreCitizen]

You can reach out through any of our websites - www.offshorecapitalist.com/ or offshorecitizen.net/ and we'll be happy to assist

[@meinmeisterwerk8697]

What if i live in Malaysia does it count as a good reason too to have a company, a office and employees there, Even though i earn the money abroad? Im thinking of a Pure equity Holding company or a non pure equity Holding

[@OffshoreCitizen]

Note Labuan has undergone since changes since this video but yes it can

[@mikegodwin2706]

Website please

[@OffshoreCitizen]

offshorecitizen.net/contact/

[@staindell9236]

UAE Free Zone Company or Labuan Trading Company , which one is better you think ? Because some FZC in UAE (outside of Dubai) costs yearly around 25K AED/ around 7K USD per year for whole package incl. visa & office and also without any minimum paid up Capital. on the other hand Labuan Trading Company (Onshore/Permanent establishment in Labuan) now costs minimum 20K USD ++ for Labuan director visa you have to show 250KMYR/62KUSD . Also Banking in UAE is on par with Labuan with tier 1 banks. Also Airport connection in UAE with rest of the world is better than Labuan . I think NOW UAE is better choice than Labuan. What do you think ?? Thanks in advance for your opinion !!

[@MichaelRosmer]

Labuan just made some changes that make it less attractive than it was. That being said there's no one size fits all. There's no "better", there's only "better for your situation". We are doing lots in UAE these days though.

[@JohnSmith-Gold]

62KUSD in Labuan company account or salary for director ? Last I looked at it an year back, I don’t remember seeing that. Thanks!

[@AsySyahid7]

@@MichaelRosmer hi there sir. Can I know which part had been less attractive?

[@alexrappoport2911]

Do you think MM2H fits well with Labuan for tax optimization ?

[@zerotaxcpa2916]

Suspended now.

[@MichaelRosmer]

Technically not really as you're not supposed to run a business in Malaysia under MM2H. But you can get a Labuan director visa. That being said lots of people ran businesses under MM2H regardless

[@yahyamohamed339]

Can a Canadian holding company own a Labuan company? And is there a tax treaty for both countries in which dividends can flow up to the holdco tax free?

[@MichaelRosmer]

Yes it can and yes there is. Labuan is a pretty decent jurisdiction for Canadian tax structuring just so long as you're careful about the management and control rules.

[@Boysonholiday]

hello Offshore Citizen I have a UK business and want to know can I benefit from this visa paying dividend from UK and taking in Malaysia

[@MichaelRosmer]

You should be able to yes

[@ayub44]

want more info about Labuan Business Immigration policy in next Vlog.

[@MichaelRosmer]

Will create a video on that

[@jeremyleonbarlow]

So what do you think about a Laubuan pure equity holding company operating a US LLC that operates an entirely digital e-commerce company selling digital products using AWS servers in Canada serving primarily the US market, but also likely Canada & the EU at some point. Oh & the US LLC contracts it's management, administration, & employees through a Hungarian company owned by the Laubuan company with it's management team non-domiciled residents of Malta where the Hungarian company itself is managed.🤔 Can non-EU citizens get a work permit for Malta as an executive & board member & maintain non-dom benefits of Malta? I mean the bulk of the tech people would be cheaper in Hungary right & even with transfer pricing the limited exposure of remittance based taxes for any profits under the Malta-Hungary tax treaty not to mention Hungary's already low corporate tax rate should be a winner, I would think.

[@MichaelRosmer]

Sounds like it might be more complicated than necessary and we'd need to dive into a lot of the details not covered here. The nature of the business matters a lot, residency of the owners matters a lot, form of the income, banking considerations, need for capital markets, etc. So it could work but we'd need to get into the details on the surface it sounds like it could be handled with less complexity. Feel free to reach out if you'd like to discuss www.clarity.fm/michaelrosmer or www.offshorecitizen.net

[@jeremyleonbarlow]

@@MichaelRosmer If I were to deploy a structure that complicated it would be because a very sophisticated combination SAAS/Digital Content Marketplace Platform was being deployed & there would probably be a Luxembourg corporation involved too as an intermediary service provider to eliminate royalty withholding issues for clients distributing their content via the platform. The first part of the concept with the US LLC owned by a Laubuan Holding Company would mostly be a fairly painless workaround for the more cumbersome rules surrounding expatriating US intellectual property since the Trump tax reforms. I figure a South Dakota or Wyoming LLC owned by a holding company in a tax free jurisdiction, be it Laubuan the UAE, or another jurisdiction with substance requirements that aren't especially burdensome would probably be the way to go. I mean a nice pass through enterprise owned by the founder who is an American when they start the company can far more easily pay the capital gains tax for selling their membership interest for cash to a foreign company they own, assuming a fair market appraisal & transfer pricing rules are followed than having to account for essentially an ongoing licensing royalty for the same IP owned by the founder of they were to sell just the IP to the foreign company since the Trump tax reforms. That's just my take after reading the changes in the US treasury regs a million times as a tried to get my head around what G.I.L.T.I. did to subpart F which was a fairly complicated set of rules to understand BEFORE the changes. My biggest problem in life was being too poor to afford to go to a law school that all of the major corporate firms in Manhattan hire from, while having a personality that really geeks out on all of this stuff. I would be great at setting up structures for multi-national companies, but I went to a law school where you are lucky to get hired to do divorce work or criminal work.

[@MichaelRosmer]

@@jeremyleonbarlow sounds like you've given it quite a bit of thought. There are various other approaches to use in situations like that for instance there's something called cost sharing agreements, or there can be ways to avoid treatment of income as royalties to potentially characterize it otherwise. Be aware as well that royalties are taxed first in the location of the payer not the receiver so that can create some complications. Once again feel free to reach out if you'd like to discuss specifics

[@elephantear7659]

The whole world has been searched

[@zerotaxcpa2916]

Sucks that MM2H got suspended thanks to Chinazi!

[@MichaelRosmer]

Yeah hopefully they'll reopen it. The good news is there are a bunch of other visas you can get though.

[@lapizaini5218]

hi. i live there :)

[@ahmedalmfarji2562]

Hi can translation your video to can understand your content plz.

[@samalexander5236]

How did you go from knowing Canadian tax to learning about taxation in all these other countries?

[@MichaelRosmer]

Well I'm not a local tax expert I'm an international tax expert. That means I pay attention to how tax works between countries and what opportunities exist for those who are willing and able to do business internationally. That being said it comes from tons of learning dealing with client cases in all different types of businesses all over the world and working hard to find the best solutions for each one. After years the knowledge compounds.

[@samalexander5236]

@@MichaelRosmer Thanks for the reply. You have got a new subscriber. I just came across this channel recently and I’m loving your videos.

[@MichaelRosmer]

@@samalexander5236 thanks! Any content you'd like to see?

[@Columba82]

@@MichaelRosmer i am curious how it works as european. example: you have millions or you inherit a lot of money. you want to deposit money in tax haven. Is that possible? if so, which countries are they. I often read that Bahamas is a good tax haven. if you buy property you automatically become a resident of Bahamas. matter of deregistering in your own country (you always keep your own passport) and living in the Bahamas and returning home every few weeks. you no longer pay tax right? because you are now a resident of the Bahamas? am I wrong?

[@danaililev6221]

For the algo!

[@MichaelRosmer]

Long live the algo!

[@MellVlog2060]

👍👍👍

[@mohdshafuansaffiei8171]

If you don’t party and don’t drink, Labuan is quite a boring ass place 😆

[@MichaelRosmer]

Labuan is boring but it's not a place to live its a place to have a company

[@zerotaxcpa2916]

Is he next Andrew Henderson?!

[@dexterspeights3484]

Andrew Henderson 4 regular guys getting ready 2 make 6 figure income!

[@lindatang4955]

👍

[@rayray2076]

Like to move there to escape the communist AMERIKA. We already have a house in Philippines. Love KK. Hope to check out labuan as soon as they open up the country

[@patrick1992]

Little known and you will never get s bank account. If you choose such destinations you looks very suspicious

[@OffshoreCitizen]

Never get which bank account? We find it much easier to get accounts there than many other places. And for lost business "looks suspicious" doesn't matter. In rare occasions it does in which case there are other options.