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Cyprus surprise - Cypriot depositors to take a 'haircut'
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Switzerland has been the choice of many for a long time, they have a reputation of keeping their clients confidential.
Another option is to hold government bonds in a country that can be trusted to repay, like the US.
Failing all that, gold bullion stored in a safe place, with no paper trail back to you so the government dont know you have it.
Trying to find dodgy locations to keep your funds hidden is the worst thing you can do, that's why it wasn't politically acceptable to bail out the Russian money launderers in Cyprus. I heard that one of the offshore tax havens had their own problem collecting local taxes! Keep your funds in bona fide accounts covered by the UK deposit protection scheme, and not any dodgy 'offshore' places.0 -
Graham_Devon wrote: »Anger, even among politicians is now starting to take over as its seen as a "clear victory for the German Governement and German Taxpayers".
Hardly a victory. The conservative (small c) spending habits date back to post WW2 Germany. So why should people that manage their finances properly bail out those that don't. We may start to get a similar reaction in this country. In financial prudence isn't rewarded. Remember savers outnumber the spenders.0 -
Trying to find dodgy locations to keep your funds hidden is the worst thing you can do, that's why bondholders didn't want to bail out the Russian money launderers in Cyprus because the place was bent (or it sounded like a good excuse not to). Keep your funds in bona fide accounts covered by the UK deposit protection scheme, and not any 'offshore' places.
Switzerland isnt dodgy at all, it just doesnt put up with foreign countries interfering with it lightly.
The question was were to hold funds to avoid government confiscation, so uk banks is the worst suggestion.Faith, hope, charity, these three; but the greatest of these is charity.0 -
Switzerland isnt dodgy at all, it just doesnt put up with foreign countries interfering with it lightly.
The question was were to hold funds to avoid government confiscation, so uk banks is the worst suggestion.
Switzerland, is the dodgiest place outside the City of London!
http://www.forbes.com/sites/robertwood/2013/03/05/swiss-banks-tax-evasion-sentence-is-really-death/The criminal sentencing of Switzerland’s oldest bank was sobering. Founded in 1741, Wegelin & Co. is closing, the first foreign bank in history indicted for facilitating tax evasion by U.S. taxpayers, the first to plead guilty and be sentenced. The sentencing caps an inglorious story. See Swiss bank Wegelin to close after U.S. tax evasion fine.
UBS turned over Americans and paid $780 million in fines but did not plead guilty to a crime. See UBS’ Bradley Birkenfeld Gets $104 Million, Blows Doors Off IRS Whistleblower Program. The older Wegelin wasn’t so lucky. It pleaded guilty and was sentenced to pay some $58 million for conspiring to evade taxes. With $20 million of restitution, a $22 million fine and $15.8 million for fees Wegelin earned on the undeclared accounts, the U.S. recovered about $74 million.0 -
Switzerland isnt dodgy at all, it just doesnt put up with foreign countries interfering with it lightly.
The question was were to hold funds to avoid government confiscation, so uk banks is the worst suggestion.
Er, I hate to tell you this but uk citizens money in swiss bank acounts is going to be subjected to a grab of 20% to 40% in the near future unless you agree to allow HMRC access to your bank account info.
See http://www.kpmg.com/uk/en/services/tax/personaltax/pages/uk-switzerland-agreement.aspx“The ideas of debtor and creditor as to what constitutes a good time never coincide.”
― P.G. Wodehouse, Love Among the Chickens0 -
ChiefGrasscutter wrote: »I have some vague memory of something similar being done in possibly sweden or another scandanavian country a long time ago.
We probably need poster 'Generali' - he'll know if it was indeed the case.
In about 2000, the Argentinian Government confiscated a large part of bank balances. That was a confiscation though, not a tax AIUI.
The other similar event that springs to mind was in the US during the 1930s when the Fed forced people to convert their gold to paper dollars and then promptly reduced the $/Gold exchange rate. And people wonder why Americans don't trust their Government!
I guess the closest the UK has come to this happening was the financial repression of the 1940s when people were forced to convert their bond holdings into ones that were on a lot less favourable terms.
What has happened in Cyprus is a one-off tax. Morally I guess it's the equivalent of windfall taxes that both Tories and Labour have passed on banks and utilities. If Cypriot banks are insolvent then something has to give. This looks like a least worst solution of sorts. The FT headline about this being a terrible idea whose time has come (or similar) sums it up. It wouldn't surprise me in the least to see more of this and at least the people who gain from the bailout are paying for it.0 -
I guess the closest the UK has come to this happening was the financial repression of the 1940s when people were forced to convert their bond holdings into ones that were on a lot less favourable terms.
Or bought perpetual War Loan Stock. That has yielded 3.5% since it was launched. The capital value of which diminished in the high inflation 70's.0 -
The question was were to hold funds to avoid government confiscation, so uk banks is the worst suggestion.
Aren't shares being issued to compensate. I think its being overlooked that this measure is to recapitalise the banks. So only the start of a Greek style recovery programme.0 -
Failing all that, gold bullion stored in a safe place, with no paper trail back to you so the government don't know you have it.
How do you prevent a paper trail these days? Something tells me any bona fide trader is going to want to do their money laundering checks.
Steal the bullion from Brinks Mat?
Buy It overpriced in Samuels?
Get some gold paint an spray some house bricks to make you feel better?
Though I love Switzerland, as a place, weren't they involved in helping German gold/currency movements at a point in the past?
Bonds in country you can trust - like the US - uravinalarf."If you act like an illiterate man, your learning will never stop... Being uneducated, you have no fear of the future.".....
"big business is parasitic, like a mosquito, whereas I prefer the lighter touch, like that of a butterfly. "A butterfly can suck honey from the flower without damaging it," "Arunachalam Muruganantham0 -
Thrugelmir wrote: »Aren't shares being issued to compensate. I think its being overlooked that this measure is to recapitalise the banks. So only the start of a Greek style recovery programme.
Probably as useful as the War Stock.
Maybe they will have dividend counterfoils that you can use like a lottery ticket."If you act like an illiterate man, your learning will never stop... Being uneducated, you have no fear of the future.".....
"big business is parasitic, like a mosquito, whereas I prefer the lighter touch, like that of a butterfly. "A butterfly can suck honey from the flower without damaging it," "Arunachalam Muruganantham0
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