Recently, New Zealand media released major news that major commercial banks in New Zealand have frozen thousands of accounts and are requiring confirmation of whether the account holders are foreign taxpayers.
This news has sparked significant concern. According to estimates by the New Zealand Bankers' Association, approximately 8% of accounts opened after July 1, 2017, are affected by this policy. For these frozen accounts, transactions such as fund withdrawals cannot be completed.
New Zealand's latest legislation stipulates that starting this year, financial institutions must determine whether their clients are tax residents of other countries by June 30 each year and report the details to the Inland Revenue Department (IRD). The IRD will share data with OECD countries to combat and prevent tax evasion. This is what we commonly refer to as the CRS.
Simply put, the CRS involves the exchange of tax resident information between countries and regions participating in the program. Both China and New Zealand have joined the CRS, and this action by New Zealand can be considered a significant measure to combat cross-border tax evasion.
As you may know, the data reporting work for the "China version of the CRS" was completed on May 31, 2018, which means that the "China CRS" has finished the stage of collecting and receiving tax-related information and is set to enter the operational phase this September, beginning the first exchange of information.
So, in the face of the impending "China version of the CRS," what should you, as a high-net-worth individual, do? Do not panic or be afraid; in fact, you can reasonably plan your assets and calmly respond to the CRS. That is to obtain a passport from a country with low tax rates that does not impose global taxation.
For example: Highly cost-effective Commonwealth passports (St. Kitts and Nevis passport, St. Lucia passport, Dominica passport, Antigua and Barbuda passport, Vanuatu passport), which enjoy reputations as "asset safe-deposit boxes" and "world passports."
The tax systems of these Commonwealth countries are very favorable, and they are world-class offshore financial centers. Possessing any one of these passports can solve your various needs in one go, including global asset allocation, tax planning, children's education planning, and convenient global travel.
Obtaining a Commonwealth passport is like having your own "asset planner." Taking the St. Kitts and Nevis passport as an example, St. Kitts and Nevis does not levy taxes on overseas income, capital gains, property, gifts, or inheritances for its citizens, and it is one of the few countries that does not impose global taxation. Under the trend of global CRS taxation, high-net-worth individuals can use their St. Kitts and Nevis citizenship to reasonably plan their taxes, providing better protection for their personal and family assets.
Rogers stated: He owns more than one passport, and his children have even more.
Rogers' quote: "In the next 10 to 15 years, having only one passport is too dangerous because it will lead to many, many problems, whether economic, political, or military. Being limited to one passport, you will find it very inconvenient. Therefore, to diversify your assets, and even to diversify your real estate, you need a Plan B. For me or for anyone, Plan B means having a second place where you can live, and ideally, having a second passport."
In short, do not wait until the day your bank account is frozen to regret it.
Tax planning for overseas asset allocation for high-net-worth individuals is urgent.
Now, WorldWay is launching a super low-price, limited-time offer for St. Kitts and Nevis immigration. With a low investment amount, no principal required, 0 down payment, and a 4% full loan for property purchase, you can quickly obtain a Commonwealth passport for four generations of your family! Spots are limited, so do not hesitate! Act now!
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