Where to create a company for adult industry

[hellboy78]

Hi everyone,

I'm searching the right country where to create a company for adult industry.

I'm looking for low taxes.

I'm italian, and here taxes on porn are just crazy
VAT= 22%
Company taxes= 33%
Extra Porn/Ethical Tax = 25%
as owner of the Company, dividends taxes (on company shares)
as individual are about 35%

you can easly imagine that at the end of the year nothing remain for you.

That's why I'm searching a better country.
These are what I have found on the web:

Delaware, Seychelles, BVI, all Offshores....
taxes 0%
problems: I think you can have only a website, a little bit complicated if you have to produce movies or have an office in Europe.
many countries put some restrictions with this offshore companies
I cannot find register agents that accept porn
A lot of banks don't accept offshore companies

Swiss:
VAT: 8% (only for business inside Swiss)
Company taxes: 8%
Dividends: 35%
main problem: it looks like banks are tax advisors don't want this type of activity but I know some company do that with a generic business description

Netherland:
VAT: 19%
company taxes: about 35%
dividends: I don't know

UK:
VAT: 20%
company taxes: 25%
dividends: I don't know

Ireland:
VAT: 20%
company taxes: 12,5%
dividends: I don't know

USA:
VAT: I don't know
Company taxes: 35% maybe
dividends: I don't know

if you have some suggestions I will appreciate.

thanks

[Klen]

Usa, because they dont have VAT which i believe it's a big factor.

[hellboy78]

that's great,
what about dividends?

[k0nr4d]

Poland has 19% flat tax, 19% tax on dividends, 23% VAT, no ethical taxes.
The best for you would be to stay within the EU since there are double taxation agreements - you can bring the money into italy without it getting taxed again as is my understanding.

[CurrentlySober]

Originally Posted by hellboy78

what about dividends?

You mean DVTimes? He was banned a few months ago...

[hellboy78]

company taxes are paied into company country
dividends taxes are paied where you are resident.

If I open a company in Poland and I live in Italy,
company will pay taxes in Poland
and I have to pay dividends taxes in Italy

search "dividend" into wikipedia

[rastan]

Dont do it in the UK bud. We have anti-adult legislation which will hamper your ability to trade 8( And you have to pay the nice people at the legislative body for their hard work.....

[hellboy78]

thanks rastan

I know there are very strange laws around the world against porn.

I'm looking at British Virgin Island,
they use British Common Law,
I will use a generic business description to be descreet.

do you think is a good idea?

[TheSquealer]

This business is so full of fucking idiots that it never disappoints.


Your question is really... "how do I not go to prison in Italy for not paying taxes".

Pull your head out of your ass and ask someone in Italy that specializes in Italian tax law.

If that doesn't make sense to you, then you deserve to be in prison.

[Paul_Matthews]

Go for the regular tax havens, or the very tax efficient countries that the big boys use. Think Luxembourg, Channel Islands etc etc

Obviously they throw up their own challenges, but if it's just tax you're worried about, then give it a go.

[Markul]

I would stay in the country where you work/live or you'll be double taxed. Almost for certain. But you need to tax to a tax lawyer or something like it.

Depends on your level of operation of course.

[hellboy78]

dear TheSquealer

please don't be rude.

First of all, I'm italian, and in Italy porn is ILLEGAL, but there is an extra tax of 25%

is it clear for you? read it again please, porn is ILLEGAL here in Italy, but here is an extra tax of 25%

then, an offshore company is not illegal at all, depend how you use it.
if you use it to make fake invoices to your italian company for reduce your profits, that's illegal !!!

if I use an offshore company because I have all my business outside my country, is legal.
my server is in Netherland, the credit card processor is into Sweden, I sell only services not goods, and I don't have offices in Italy.
if I live in Italy, I can declare the dividends as owner of the offshore company, and I will pay taxes only into dividends.
in this way, everything is LEGAL.

anyway, I can move from Italy to another country, but everywhere I go, I have to pay taxes on dividends of my offshore company.

so, now, please read something about laws before call me idiot, is ok for you?

[hellboy78]

the world is full of experts.

I asked to an tax advisor in UK, it asked me 4.800 to open an offshore company at Seychelles for porn.

then I have checked law at Seychelles,
open a company cost 600usd,
and porn is ILLEGAL

that's the result when you ask to experts

that's why I'm asking you

[signupdamnit]

I would bite the bullet and pay the taxes due your home country. The chances are it isn't as bad as you think. Consult a good tax specialist over there. Going with all these offshore tax shelters and schemes is a disaster waiting to happen. Some people will laugh at this but I think It's only a matter of time before the governments get together and decide to crack down. Look at what happened to the CEO of the leading (financially not ethically) adult company. http://gawker.com/5967224/porn-king-...ion-in-belgium If the taxes where you are cannot be worked with then maybe it's time to move if you have that option.

[L-Pink]

Taxes? I don't pay no stinking taxes!

.

[hellboy78]

dear signupdamnit

you are right, I know that all offshore companies are very risk,
I can do it as protection, but I will have problems like: hard to open a serious bank account, hard to hire people with full time contract, hard to rent offices and services and make contracts with local companies.

I think is a good solution for start, use an offshore company, but use the personal bank account.

but when you have done some money and you want to build serious relationships, a real company in a real country is a must.

I think Swiss is the best solution for the company,
but it is very boring for living.

thanks everyone for your suggestions

[AtlantisCash]

Originally Posted by hellboy78

dear TheSquealer

please don't be rude.

First of all, I'm italian, and in Italy porn is ILLEGAL, but there is an extra tax of 25%

is it clear for you? read it again please, porn is ILLEGAL here in Italy, but here is an extra tax of 25%

then, an offshore company is not illegal at all, depend how you use it.
if you use it to make fake invoices to your italian company for reduce your profits, that's illegal !!!

if I use an offshore company because I have all my business outside my country, is legal.
my server is in Netherland, the credit card processor is into Sweden, I sell only services not goods, and I don't have offices in Italy.
if I live in Italy, I can declare the dividends as owner of the offshore company, and I will pay taxes only into dividends.
in this way, everything is LEGAL.

anyway, I can move from Italy to another country, but everywhere I go, I have to pay taxes on dividends of my offshore company.

so, now, please read something about laws before call me idiot, is ok for you?

How come Porn is illegal in Italy? as far as i know there are porn related italian companies isn't it?

[iwiiiiiiiiii]

Let say you open it in BVI, how will you pay yourself a dividend?

[hellboy78]

Originally Posted by AtlantisCash

How come Porn is illegal in Italy? as far as i know there are porn related italian companies isn't it?

yes, there are companies in italy that do porn
but porn is illegal

well, you have to know that in Italy we are very particular,
we have very old laws, so the Pope is happy,
we don't delete old laws, we just include porn/ethical taxes,

please note that is extra tax is called "ethical", and it was introduced by Berlusconi,
yes, the mafia man that does orgies with minor prostitutes,
he introduced the ethical tax on porn

the big names into porn in italy are always into tribunal,
for legal problems like "prostitutions",
because if you pay a girl for sex is prostitution,
because we don't have a law for porn movie production.
normally we get 6 years of prison, but you will not go in jail.

so, porn is illegal, but tollerated.

this is Italy

[hellboy78]

Originally Posted by iwiiiiiiiiii

Let say you open it in BVI, how will you pay yourself a dividend?

Hi, yes, this is a problem. You have to find a tax advisor that let you generate a statments of your offshore company.
the easy way is: the tax advisor create a payslip for you
the payslip will include the 100% profit of your offshore company,
that actually is: what you really receive in you bank account from your offshore bank account.

this can be a solution, 100% legal.

the good part of it is: you don't have to spend months to keep all invoices about your business for vat declaretion or small partnership around the web

[iwiiiiiiiiii]

And you think that your dividend, or payslip, will be tax free in Italy ?

Just so you know, without entering in the details, I have quit a lot of experience in that subject, and the #1 lesson I've learned in the last 10 years is : "Your advisors says it's legals, until the gov enter in your case, then your advisors are there to collect in order to "help" you".

I totally understand your situation, and this is not acceptable (talking about all taxes). Nonetheless, the only thing I saw that was 1000% legal, is when you move in the same country as your offshore business. What's matter in the gov head is, where is the management done, in other words, who has the knowledges of that business. I know some advisors will tell you, you'll have a manager there and you'll be covered... But when you get the gov on your back, you'll find it so brutal that you'll ask yourself why you did it.

But believe me, if I knew a perfect solution, I would use it 100%, and I totally hear you.

[booblord]

Originally Posted by hellboy78

yes, there are companies in italy that do porn
but porn is illegal

well, you have to know that in Italy we are very particular,
we have very old laws, so the Pope is happy,
we don't delete old laws, we just include porn/ethical taxes,

please note that is extra tax is called "ethical", and it was introduced by Berlusconi,
yes, the mafia man that does orgies with minor prostitutes,
he introduced the ethical tax on porn

the big names into porn in italy are always into tribunal,
for legal problems like "prostitutions",
because if you pay a girl for sex is prostitution,
because we don't have a law for porn movie production.
normally we get 6 years of prison, but you will not go in jail.

so, porn is illegal, but tollerated.

this is Italy

I dont believe that porn in Italy is ILLEGAL...if ILLEGAL so why in shops selling sex magazines????
About UK....I have registered LTD company since 2008, I dont told nobody that is for adult, its my business.I have company and many co.uk domains.......didint had any problems ..only domains are in UK, server in USA, clients world wide...its very complicated if somebody want define LEGAL or ILLEGAL

[2013]

Cyprus I heard

[TheSquealer]

Originally Posted by hellboy78

the world is full of experts.

I asked to an tax advisor in UK, it asked me 4.800 to open an offshore company at Seychelles for porn.

then I have checked law at Seychelles,
open a company cost 600usd,
and porn is ILLEGAL

that's the result when you ask to experts

that's why I'm asking you

The point is that what matters is what is legal for an Italian citizen first. That defines what you can and can't do, what is legal, what isn't and how things should be structured. Everything else is second.

"depends on how you use it"... that's my point exactly. You want to collect money elsewhere and pay yourself with the purpose of evading Italian taxes. No one here knows anything about Italian tax law and i am quite certain that all EU/North American tax law is similar in the sense that the law doesn't make it ok, just because you "use it" a certain way. You are an Italian citizen. Your stated intent is to avoid paying taxes in Italy (a crime or not, depends on a 100 tiny details).

In my life, i've had company's in the Isle of Man, Czech Rep, Netherlands, Great Britain, Belize, Russia (many many), Latvia, BVI, Cyprus and many others i've forgotten. It has nothing to do with the jurisdiction or legality of porn. It has everything to do with Italian/EU laws on tax avoidance and whether or not you are committing tax evasion in Italy.

Never forget that you can't sign tax documents and submit them and then "un-sign" them when you've realized you're in trouble. When you break the law, its permanent and there is a paper trail and nearly ALL of these so called offshore jurisdictions are going to fully cooperate with Italian authorities if there's reason to suspect you're committing a crime (i.e. tax evasion).

It's been quite a few years since i've had some complex business structures, moved large sums around the world etc. But one thing i do know, it got more complicated in every western nation, not easier.

[CarlosTheGaucho]

Originally Posted by booblord

I dont believe that porn in Italy is ILLEGAL...if ILLEGAL so why in shops selling sex magazines????
About UK....I have registered LTD company since 2008, I dont told nobody that is for adult, its my business.I have company and many co.uk domains.......didint had any problems ..only domains are in UK, server in USA, clients world wide...its very complicated if somebody want define LEGAL or ILLEGAL

it's illegal to produce in Italy, pretty much every Italian producer produces outside of the country.

Also it's not easy at all to get a permit to sell or stream HC, I would assume only SKY Italia has a full HC pay per view channels at the moment, if nothing had changed in recent years.

We used to sell TV licenses to Italy from 2006 to 2008 and as far as I remember there was a big crackdown on HC channels, only SKY Italia survived.

[hellboy78]

please understand my point

1. porn is illegal to shot in italy. it's considered obscene. we don't have a law for movie production.

2. having a offshore company and receive dividends in Italy, I mean that I will pay taxes only into dividends.
It's the classic scheme of a trading company. Example: I produce in Cech Rep. and I sell in USA. so the business will not pass from Italy.
This type of scheme is accepted in Swiss, and this type of offshore companies exist for this type of scheme.

3. I had few companies in Italy, and burocrazy is just crazy. With last company I produced my first porn movie in Cech Rep. and I have payed all taxes in Italy.

4. my competitors have Cyprus company (they just have websites, they don't produce movies)

5. please read the first post, I'm interested to move into a good country to make pornos and pay taxes, but if I pay taxes I don't want to spend years in tribunal, as happen in Italy, and I don't want fucking stupid rescrictions.
so, if I can have legal problems for a smart offshore solution it's not a big deal, in Italy I will have same legal problems paying more than 70% of taxes.
I can move to Netherland, or UK, it's not a big deal at all.

6. dear TheSquealer: you say "i've had company's in the Isle of Man, Czech Rep, Netherlands, Great Britain, Belize, Russia (many many), Latvia, BVI, Cyprus and many others"
so, you had all that offshore companies to do what???
to pay all taxes in your country???
so please don't treat me like a criminal after called me "idiot", you already done it before me, many times.

[Klen]

Originally Posted by hellboy78

please understand my point

1. porn is illegal to shot in italy. it's considered obscene. we don't have a law for movie production.

2. having a offshore company and receive dividends in Italy, I mean that I will pay taxes only into dividends.
It's the classic scheme of a trading company. Example: I produce in Cech Rep. and I sell in USA. so the business will not pass from Italy.
This type of scheme is accepted in Swiss, and this type of offshore companies exist for this type of scheme.

3. I had few companies in Italy, and burocrazy is just crazy. With last company I produced my first porn movie in Cech Rep. and I have payed all taxes in Italy.

4. my competitors have Cyprus company (they just have websites, they don't produce movies)

5. please read the first post, I'm interested to move into a good country to make pornos and pay taxes, but if I pay taxes I don't want to spend years in tribunal, as happen in Italy, and I don't want fucking stupid rescrictions.
so, if I can have legal problems for a smart offshore solution it's not a big deal, in Italy I will have same legal problems paying more than 70% of taxes.
I can move to Netherland, or UK, it's not a big deal at all.

6. dear TheSquealer: you say "i've had company's in the Isle of Man, Czech Rep, Netherlands, Great Britain, Belize, Russia (many many), Latvia, BVI, Cyprus and many others"
so, you had all that offshore companies to do what???
to pay all taxes in your country???
so please don't treat me like a criminal after called me "idiot", you already done it before me, many times.

If you can move then you should move to CZ,a lot of producers/paysite owners having a company there and it works pretty fine.

[MaDalton]

CZ has no legal issues and taxes are bearable

and for some weird reason czech girls love italians ;)

[pornmasta]

Originally Posted by hellboy78

please note that is extra tax is called "ethical", and it was introduced by Berlusconi,
yes, the mafia man that does orgies with minor prostitutes,
he introduced the ethical tax on porn

[pornmasta]

Originally Posted by MaDalton

CZ has no legal issues and taxes are bearable

and for some weird reason czech girls love italians ;)

Is CZ hard to learn ?
How many money do you need to live there (per month) ?

***
ps: in france, i can say that model agencies are illegal. (porn related)

[Klen]

Originally Posted by pornmasta

Is CZ hard to learn ?
How many money do you need to live there (per month) ?

***
ps: in france, i can say that model agencies are illegal. (porn related)

Well depend,in what language group your native language belongs?For me it should not be hard since a lot of words are same as in my native language ,but for someone who's language is english or german it should be harder due to different pronouncing ,but nevertheless i dont find cz language hard at all.
I suggest you to visit this site:
http://www.surfacelanguages.com/language/Czech
To learn some basic words and how to pronounce them.
Also about money:
It is possible to survive with 500$ monthly,but for normal life should be at least 800$-1000$ monthly.

[adultmobile]

I suggest orbital space station, or any other extraterrestrial jurisdition.

[MaDalton]

Originally Posted by pornmasta

Is CZ hard to learn ?
How many money do you need to live there (per month) ?

***
ps: in france, i can say that model agencies are illegal. (porn related)

i find czech pretty hard to learn but i am getting along with english and german pretty good

and regarding money: i find everything below 1000 euro a month difficult but it depends on your demands

if you share a run down flat somewhere in the suburbs of Prague and eat cheap you can live with less - but do you want that?

[Klen]

Originally Posted by MaDalton

i find czech pretty hard to learn but i am getting along with english and german pretty good

and regarding money: i find everything below 1000 euro a month difficult but it depends on your demands

if you share a run down flat somewhere in the suburbs of Prague and eat cheap you can live with less - but do you want that?

I'v seen cheap flats even in centre of prague (prague one zone)

[hellboy78]

Originally Posted by MaDalton

for some weird reason czech girls love italians ;)

I'm a strange italian, blonde with blue eyes.

Originally Posted by adultmobile

I suggest orbital space station, or any other extraterrestrial jurisdition.

I'm buying an house to the moon, but a tax advisor told me that is USA, and I have pay federal taxes and insurance.
I will move to Mars if I find an house near the sea

[MaDalton]

Originally Posted by hellboy78

I'm a strange italian, blonde with blue eyes.

and you speak proper english - you sure you're italian?

[hellboy78]

a proper english?

are you sure?

[NewNick]

Do not incorporate in the EU.

AVMSD

Trust me. Google it.

Cyprus is over, as are UK LTDs. EU is finished as far as adult services are concerned.

[avrevenue]

You should go with a Cyprus company and with a holding company in offshore jurisdiction.
Having an EU company will open you a lot of acquirer if you want to have your own merchant account.

Contact me if you need more info, I can introduce you to the right person to setup this scheme (including banks account that allow adult biz + annual accouting)

cici131421[AT]gmail

[pornmasta]

CZ and HU are in the EU

[adultmobile]

Originally Posted by cici131421

You should go with a Cyprus company and with a holding company in offshore jurisdiction.

1) The Cyprus VAT rate will increase from 17% to 18% for the period 14 January 2013 to 12 January 2014. Then rate will increase again to 19%. Cyprus banks does not like to work with adult, if they bust you.

2) Manwin had a Cyprus thing and see how Germans like it.

[Lykos]

Serbia is 20% VAT
dividends are 15%

[Struggle4Bucks]

Originally Posted by MaDalton

CZ has no legal issues and taxes are bearable

and for some weird reason czech girls love italians ;)

What's the taxrate in CZ? For SRO and/or other company-forms? and do you need to pay tax individually? let's say after companytax?

[Klen]

Originally Posted by Struggle4Bucks

What's the taxrate in CZ? For SRO and/or other company-forms? and do you need to pay tax individually? let's say after companytax?

Depend on company type,read these links:
For sro:
http://alexio.cz/czech_tax_return/pr...ax_return.html
For trade license:
http://tradelicense.cz/income_tax_an...licens e.html