It's my understanding that the IRS considers an IBC or offshore corporation to be a flashing red sign screaming "AUDIT ME!!!" Or even better, "HAUL ME INTO TAX COURT!" They seem to consider IBCs an ipso facto evidence of tax fraud, because, well, "why ELSE would you do it?"
I do forex trading. Thanks to the idiots at the NFA and CFTC, we have a whole stack of onerous (and idiotic) regulations that make it difficult or impossible to implement some attractive forex strategies. Worse, nearly every forex broker/dealer in the rest of the world -- like, in places that have real honest protection for account holders, unlike the mess we have here -- now refuses to accept US clients. I know trading and risk a helluva lot better than the pencil-necked geeks at the NFA or in Congress, and I do not want to operate under their braindead regulations.
People often recommend setting up an IBC and opening foreign forex accounts from there. I would not do this with intent to dodge taxes, since the IRS is getting more draconian all the time and finding new ways to discover offshore accounts. For me, the risk/reward is just not worth it.
It would be worth it, for me, to escape the NFA forex regulations. But if the IRS is going to declare me guilty-until-proven-innocent, that makes an IBC pretty unattractive to me.
I know Bobby is an expert in offshore companies, but he has an entirely different aim and attitude about this than I do. Unless I'm willing to renounce US citizenship and move overseas, I don't think his approach works for me. Are there any other IBC holders who could speak on the realities of owning an IBC that you transparently report? Does the IRS say "OK, you reported it, so you're legit, we'll leave you alone" (as if!) or do they say "Thank you for filling out all those PITA forms, now we know you're one of those dirty tax dodgers and we'll make your life hell!!"
I do forex trading. Thanks to the idiots at the NFA and CFTC, we have a whole stack of onerous (and idiotic) regulations that make it difficult or impossible to implement some attractive forex strategies. Worse, nearly every forex broker/dealer in the rest of the world -- like, in places that have real honest protection for account holders, unlike the mess we have here -- now refuses to accept US clients. I know trading and risk a helluva lot better than the pencil-necked geeks at the NFA or in Congress, and I do not want to operate under their braindead regulations.
People often recommend setting up an IBC and opening foreign forex accounts from there. I would not do this with intent to dodge taxes, since the IRS is getting more draconian all the time and finding new ways to discover offshore accounts. For me, the risk/reward is just not worth it.
It would be worth it, for me, to escape the NFA forex regulations. But if the IRS is going to declare me guilty-until-proven-innocent, that makes an IBC pretty unattractive to me.
I know Bobby is an expert in offshore companies, but he has an entirely different aim and attitude about this than I do. Unless I'm willing to renounce US citizenship and move overseas, I don't think his approach works for me. Are there any other IBC holders who could speak on the realities of owning an IBC that you transparently report? Does the IRS say "OK, you reported it, so you're legit, we'll leave you alone" (as if!) or do they say "Thank you for filling out all those PITA forms, now we know you're one of those dirty tax dodgers and we'll make your life hell!!"
Dislike ads? Become a Fastlane member:
Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)
Access Restricted: Unlock 1,000,000+ Posts
Stop Peeking Through the Keyhole.
Open the Door.
You hit a wall because the best advice isn't free—it's earned. Since 2007, MJ DeMarco has been active here daily (99.9% active rate), building a war room for entrepreneurs who refuse to settle for mediocrity.
- Active Daily: Life-changing content posted dozens of times every day. No dead threads.
- MJ's Inner Circle: Direct access to the author of The Millionaire Fastlane.
- Vetted Network: Connect with founders scaling to 7 and 8 figures.
- Proven Roadmaps: Strategy over motivation. Execution over "hustle porn."
"SCALED TO 6-FIGURE MONTHS"
"Tips and advice here saved me from huge mistakes, others allowed me to scale my business to 6-figure months."— User MitchC
"INSANE QUALITY OF PEOPLE"
"The number of high quality people I've met from this forum has been insane. All of it predicated on building real value."— User Richard Peck
"You are the average of the five people you surround yourself with."
Are you surrounding yourself with success?
