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Post by Ribaric on Jul 4, 2011 7:48:47 GMT 1
I like to think that being part of the EU will provide the government here with a pair of eyes looking down on them to make sure they act like a proper institution. When MPs and a prime minister are formally charged with corruption then it demonstrates two things: 1) Someone is investigating the situation and has the power to weed out the bad apples, and (2) There are a lot of bad apples who have, to date, been stealing the state's money. This isn't an anti-Croat stance, it seems that all countries who like to isolate themselves from international influences end up stealing from their own people. Investigators and whistle blowers will have support and protection from the "big brother" EU and keep everything on a straighter and narrower path. For this reason, I am pro EU. From a personal viewpoint, I am likely to lose a very advantageous tax position so please vote "No" at the referendum. If the outcome is a "Yes" then I may have to consider going pay-per-view for my posts on here!
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Post by Carol on Jul 4, 2011 8:25:40 GMT 1
or another move out of the EU? Serbia? BiH?? I think i would choose the H part of BiH
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Post by ray51 on Jul 4, 2011 9:22:40 GMT 1
With the current Greek and Bulgarion opposition , Macedonia should have a long wait , before joining .
But : well spotted , Rib - for a number of retired foreigners , Croatia joining EU will have tax and other implications which ( for them ) may yet outweigh the expected benefits of such membership .
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Post by Ribaric on Jul 4, 2011 11:15:30 GMT 1
or another move out of the EU? Serbia? BiH?? I think i would choose the H part of BiH It's a serious consideration Carol. I think we'll head further south next time, Cayman has a nice feel to it or the Brit Virgin Islands but real estate and health care can be a problem there. There's always the option to return to Spain, despite the tax position. Have you considered it?
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Post by Carol on Jul 4, 2011 11:56:37 GMT 1
Spain? No.. its not for me. I have primary school age children and I need to send them to school (not that they don't have them in Spain, but.....)
I know I should know this, but why would a retired person's tax position change post-EU?
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Post by Ribaric on Jul 4, 2011 12:14:11 GMT 1
Spain? No.. its not for me. I have primary school age children and I need to send them to school (not that they don't have them in Spain, but.....) I know I should know this, but why would a retired person's tax position change post-EU? On the basis that they get the money anyway via PDV etc, most countries tax foreign earned income at 0%, this is almost universally true for foreigh derived pensions. It's a good idea to attract people like me because everything I spend here is derived from foreign currency. I'm the best example of a cost free export operation. Sadly, to avoid people swarming to whichever country has the best tax position, the EU levies income tax no matter where in the EU you live. The Yanks have it worse (and the Bulgarians ??) who must pay domestic tax no matter where they live worldwide. Some places take it much further (Cayman Is. Bermuda) where they attract sizeable and free foreign currency by attracting people in a way which suits them. EG, Bermuda doesn't have capital gains tax, so if you are building a business and you are succesful, you can grow your empire without paying tax on your growth. Bermuda thus attracts successful business people who leave plenty of money on the island in other ways. Croatia in the EU will have to harmonise it's tax laws with the rest of the EU, maybe not immediately, but this eventually will reduce my living standards enormously. Time to go.
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Post by ray51 on Jul 4, 2011 12:41:41 GMT 1
it starts with 35% tax on all foreign interest income ( the banks deduct , as they get a cut of monies they deducted ) , then the reporting of your savings and investments to your tax authority , then the tax on dividends ( usually : 35% deducted in most countries ) , then the capital gains tax if you were lucky to make any gains , then the property tax/es , then the car and petrol and booze and tobacco get hit extra , then comes the compulsory civil insurance and the tax on it , the increases in medical participation , the airport taxes , the tax on bank transactions , the dog tax ... ...when you size up all this , it's simpler just to walk into tax office and hand over everything you ever had ( even then , they'll be suspicious of your cheating ) . In the meantime , your leaders enjoy ever more indescribable luxuries and act as everything is hunky dory . Time to go , or as per that old saying : save yourselves , those who can ..
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Post by Carol on Jul 4, 2011 12:42:42 GMT 1
Don't you get taxed in the UK though on your Uk pension income? They can't tax you twice.- or is it just Croatia's taxes are actually quite steep?
Tax havens: Luxembourg, Switzerland, Jersey, Guernsey, Isle of Man, Bermuda, BVI, Dutch Antilles, Cayman etc. The issue is that all of them have a high hurdle set to deter residence - except maybe the Caribbean.
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Post by ray51 on Jul 4, 2011 12:52:58 GMT 1
An EU country can actually tax you a U.K. pension income ; since there'll usually be double-taxation agreement in place , you then show an acceptable proof of the tax paid to U.K. - albeit , if the tax rate elsewhere is higher , then probably you need to make up the difference to your foreign tax office , where you now reside . As for U.S. expats , Rib : the last time I looked , the first 80K $ p.a. was exempt and many banks don't report to U.S tax yet ; an attractive window , if you are a Yank and work elsewhere , sadly I'm not that lucky .
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Post by ray51 on Jul 4, 2011 14:56:33 GMT 1
There's always the option to return to Spain, despite the tax position. Have you considered it? As a retired Brit , you could manage to get away with relatively little extra-tax in Spain , with a reasonable accountant and the prevailing attitude that what you have not paid in tax , you'll spend there anyway . But then : can you like that lifestyle ? If the answer is positive , I'd definitively consider Costa Brava before any other part/s : it's actually got seasons , infrastructure , easy access to France , Barcelona if you like a big city and expensive shopping once in a while , otherwise Girona , Figueres , Empuriabrava , Tossa del Mar , Cadaques and the world's best restaurant ( taking reservations on one day of the year for the rest of it ) nice lush vegetation in some coastal and other sections ; also the summers are not as madly hot , as further down the coasts . But , with the advent of the Euro , instead of those pesetas , much stuff now costs the same as anywhere else , if not more ( except that many other countries offer more and better quality and assortment , so you pays your monies and you takes your choices , or is it chances ? ). My 2 eurocents' worth about that idea . ( I would have done it some years ago anyway , and the language is easy - but the mrs. objected to having to drive quite a lot , everywhere , always . )
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Post by Ribaric on Jul 4, 2011 15:00:50 GMT 1
Don't you get taxed in the UK though on your Uk pension income? They can't tax you twice.- or is it just Croatia's taxes are actually quite steep? Tax havens: Luxembourg, Switzerland, Jersey, Guernsey, Isle of Man, Bermuda, BVI, Dutch Antilles, Cayman etc. The issue is that all of them have a high hurdle set to deter residence - except maybe the Caribbean. I'm not resident in the UK but I can remain a UK citizen. In this case, I am awarded (their word, not mine) an IR tax code of "NT" (No tax). This has the effect of me remaining a UK citizen but I have no address there, I have no rights to the health service and cannot reside there for more than 60 days per year. My status is well known to the UK border service who always give the third degree as to how long I intend to remain in the UK. I didn't make the rules but Croatia is doing well out of me because the tax I don't pay in the UK increasing my spending money here in HR. You are right about havens, you can live there and enjoy the tax benefits but you'll need at least £1m to do it. One way of doing it is by leaving the world and living in 2 or three countries - but being resident in none. There'll be plenty of other problems but where there's a will......
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Post by ray51 on Jul 4, 2011 15:50:23 GMT 1
Seems that something got to you , seriously ? Living in 2-3 or countries , year on year , is likely to become progressively more difficult and burdensome , as you get older ; also : how do you organise accommodation and what about medical arrangements ? I would have recommended Cape Town instead , but the medical cover there has become a problem , in recent years . For a retired person , Belgium is also quite good , much as you might hate the Atlantic weather , at least medical is cheap and many folk speak reasonable English . I'm trying to think of more choices , there was a Yank by surname of Hill who published many leather-bound books on the issue of tax-fee living - except that they are obsolete now and he has disappeared from the scene . There is also a place just south of Lugano , the name escapes me for the mo , which is legally Italian ( great grub ! ) , everything is well-run by the Swiss and tax is not an issue ( the costs might be , though ? ) . And Andorra , if you can put up with that Kitsch . And Gibraltar , if you are addicted to horrible dumps . Isle of Man is not really a tax heaven anymore , the banks deduct and report , Channel Islands : the same ; consider Mauritius , instead ; but , what interest can you get on a million quid nowadays ?
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Post by Ribaric on Jul 4, 2011 16:49:23 GMT 1
A good topic ... but not really relevant to this thread. To summarise, I believe Croatia needs the EU, warts n'all.
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Post by MartinM on Jul 4, 2011 19:44:32 GMT 1
IN
(hopefully it will be easier for my Croatian missus to find employment in the EU/UK)
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Post by crojoe on Jul 4, 2011 20:25:14 GMT 1
IN (hopefully it will be easier for my Croatian missus to find employment in the EU/UK) For sure! I have a friend from Hungary who works taking care of an elderly woman in the UK and she makes 350 a week, get's free accomidation & food (this is after agent fees). We're a bunch of lazy bums if a Hungarian semi-elderly lady can go work in UK and make that type of money. She's on her way back after summer for another year.
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