How Lawrence King pays ZERO income tax.
You’ve seen him tweet about it.
Have you ever wondered how he does it?
…or maybe if you could, too?
***Thread***
@lawrencekingyo
You’ve seen him tweet about it.
Have you ever wondered how he does it?
…or maybe if you could, too?
***Thread***
@lawrencekingyo
First Hurdle – Citizenship Country
Your country of citizenship may tax you on worldwide income, income earned in country, or a both.
Lawrence is a UK citizen, a Uruguay resident, and a “nonresident” for UK tax.
The UK only taxes income earned in the UK for nonresidents.
Your country of citizenship may tax you on worldwide income, income earned in country, or a both.
Lawrence is a UK citizen, a Uruguay resident, and a “nonresident” for UK tax.
The UK only taxes income earned in the UK for nonresidents.
First Hurdle – Citizenship Country
As long as @lawrencekingyo stays out of the UK for all but 46 days a year, he should keep his UK tax nonresident status and not owe any income tax on any income he earns outside of the UK (presumably all of his income).
Hurdle cleared!
As long as @lawrencekingyo stays out of the UK for all but 46 days a year, he should keep his UK tax nonresident status and not owe any income tax on any income he earns outside of the UK (presumably all of his income).
Hurdle cleared!
Next Hurdle - Resident Country
If you aren’t taxed where you have citizenship, it’s probably because you live in another country.
It would be great to not get taxed in your country of residence either.
How does Lawrence clear this hurdle?
If you aren’t taxed where you have citizenship, it’s probably because you live in another country.
It would be great to not get taxed in your country of residence either.
How does Lawrence clear this hurdle?
Next Hurdle - Resident Country
@lawrencekingyo wisely took up residence in Uruguay.
Uruguay only taxes Uruguay-sourced income, nothing earned outside.
@lawrencekingyo wisely took up residence in Uruguay.
Uruguay only taxes Uruguay-sourced income, nothing earned outside.
Next Hurdle - Resident Country (Continued)
Lawrence avoids any economic activity within Uruguay that would give him Uruguay-sourced income. Thus he pays no income tax in Uruguay.
He also needs to live there 183 days per year to maintain residency.
Lawrence avoids any economic activity within Uruguay that would give him Uruguay-sourced income. Thus he pays no income tax in Uruguay.
He also needs to live there 183 days per year to maintain residency.
Next Hurdle - Resident Country (Continued)
Part of his ability to avoid Uruguay-sourced income is by earning it in a free-trade zone. Several countries have these and Uruguay has several of its own.
Hurdle cleared!
Part of his ability to avoid Uruguay-sourced income is by earning it in a free-trade zone. Several countries have these and Uruguay has several of its own.
Hurdle cleared!
Last Hurdle - Everywhere Else
It would be a bummer to not get taxed in your country of citizenship or country of residence, but end up paying tax somewhere else.
How does Lawrence clear this hurdle?
It would be a bummer to not get taxed in your country of citizenship or country of residence, but end up paying tax somewhere else.
How does Lawrence clear this hurdle?
Last Hurdle - Everywhere Else
This is country by country, but in general you cannot:
1) Have a place of business in country.
2) Have employees/agents working for you in country
You also don’t want to visit for more than 183 days/year and risk tripping residency.
This is country by country, but in general you cannot:
1) Have a place of business in country.
2) Have employees/agents working for you in country
You also don’t want to visit for more than 183 days/year and risk tripping residency.
Last Hurdle - Everywhere Else (Continued)
As long as @lawrencekingyo spends 183 days/year in Uruguay, he is spending less than that per year in other countries and generally avoids residency in other countries.
He also has to avoid a business presence in other countries.
As long as @lawrencekingyo spends 183 days/year in Uruguay, he is spending less than that per year in other countries and generally avoids residency in other countries.
He also has to avoid a business presence in other countries.
Last Hurdle - Everywhere Else (Continued)
Assume this as he is making sales on the internet rather than operating.
Assume this as he is making sales on the internet rather than operating.
As long as he does the above, he’s generally free to travel to all the countries he makes money in and not create income tax for himself.
Hurdle Cleared!
Hurdle Cleared!
Benefit of no Income Tax
What is the benefit of not paying income tax? To @lawrencekingyo it is 45% of the profits he would be paying if he still lived in the UK.
That's HUGE!
What could you do if you kept 45% more of your profits?!
What is the benefit of not paying income tax? To @lawrencekingyo it is 45% of the profits he would be paying if he still lived in the UK.
That's HUGE!
What could you do if you kept 45% more of your profits?!
So what about YOU?
Are YOU tired of paying income tax?
US: 30% to 50%
Canada: 30% to 60%
UK: 45%
Australia: 45%
Others: Plenty of tax!
Like Lawrence, can you find a way to legally avoid it?
Are YOU tired of paying income tax?
US: 30% to 50%
Canada: 30% to 60%
UK: 45%
Australia: 45%
Others: Plenty of tax!
Like Lawrence, can you find a way to legally avoid it?
If you want to substantially reduce your income tax, saving $1,000s, buy my guide TODAY to start saving immediately and before the prices goes up!
gumroad.com/l/MbBbDf
gumroad.com/l/MbBbDf
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