For a variety of reasons, some of high net worth individuals (net worth = $500 million or more) choose to move to other countries. It’s obvious that different countries have different advantages and disadvantages, thus, reasons for relocation also vary. When some businessmen are looking for better business opportunities, others wish to obtain a more powerful passport. Putting the reasons aside, a substantial percentage of them does not make a thorough research, and as a result, they do not make totally effective decisions. Forbes contributor Russ Alan Prince made a list of 3 main mistakes many high net worth individuals make in deciding to move to another country:
Mistake number 1: Analysis
There are over ten countries that offer almost an instant citizenship status to investors who contribute a certain amount to the economy of the chosen country, and over 30 countries with residency programs. Not getting a comprehensive analysis of the various options is simply unwise. Choosing a country after reviewing a comparative analysis will certainly bring more possibilities.
Mistake number 2: Taxes
It’s impossible to ignore such topic as taxes. While taxes are not commonly the sole determining factor of where to move, they can play a very important role. Better understanding of such tax implications as tax treaties will for sure make the decision-making process more efficient.
Mistake number 3: Double citizenship
Looking at a second citizenship as a means to reside in another country without considering the merits of renouncing U.S citizenship, which offers a significant tax, wealth planning, and risk management opportunity. By incorporating high-caliber jurisdictional planning into their wealth planning, the rich and super-rich can often create powerful positive benefits for themselves and their loved ones.
Moving to another country requires a lot of planning as it is. It might seem like an easy task to choose a jurisdiction, but one should keep in mind the things mentioned above as effective evaluation of available options will only lead you to better results.
We can help you weigh your options and choose what’s right
We urge our clients to compare conditions of the various citizenship by investment programs. This helps them make up their minds and opt for what suits them best. Speaking of Caribbean nations, we can name at least three reasons to strongly consider one of the countries in the region as your second home:
- Antigua and Barbuda passport: visa-free entry to over 136 countries; passports are issued within 3-5 months.
- Saint Kitts and Nevis passport: visa-free entry to 132 countries; no residence requirements; passports are issued within 3-5 months. The program has been active since 1984!
- Dominican passport: visa-free entry to 91 country; passports are issued within 3-6 months; no residence requirements; no personal interview.
Have more questions? Want to know the total cost of obtaining the Antiguan citizenship through investment for the whole family? Don’t hesitate to reach out to us and get a free consultation.