hamsternik / personal-tax-and-immigration-guide

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Personal Tax & Immigration Policies

Argentina

Annual taxable income if > 774,391.71 ARS && < 1.032.522,30 ARS then 31% if > 1.032.522,30 ARS then 35% ARS (argentine peso) (774,391.71 ARS == 4516,48 USD), (1.032.522,30 == 6021.97 USD)

Nonresidents residing temporarily in Argentina, that is, for 6 months or less, are subject to final withholding tax. A standard deduction of 30% of compensation is allowed for expenses incurred in earning income. The remaining 70% of compensation is taxed at a flat rate of 35%, with no other allowable deductions or exemptions, resulting in an effective withholding tax rate of 24.5%.

Permanent residence Non-MERCOSUR citizens who live in Argentina for 3 years.

Brazil

Who is liable? Residents are taxed on worldwide income. Non-residents are taxed on Brazilian-source income only. But, a foreign national who remains in Brazil for longer than 183 days is subject to tax on his or her worldwide income at the progressive rates applicable to residents. Self-employment income for resident individuals are subject to tax on income from a trade, business or progression in accordance with the ordinary progressive personal income tax table, rate.

Annual taxable income BRL (brazilian real) if >= 4283,92 && < 33919,80 BRL then 7.5% if >= 33919,80 BRL && < 45,012.60 BRL then 15% if >= 45,012.60 && < 55,976.16 then 22.5% if >= 55,976.16 then 27.5% (22847,76 BRL == 4283,92 USD), (33919,80 BRL == 6359,91 USD), (45012,60 BRL == 8439,79), (55976,16 BRL == 10495,44 USD)

Residence permits for indefinite period There is no ways to obtain permanent resident, a.k.a. Brazil passport! Immigrants may obtain a residence permit in Brazil as an investor to be able to be self-employed in the country. 2 conditions to obtain must be satisfied:

  • must make a minimum investment, which is currently BRL500,000 if certain requirements are met, and register the investment at the Central Bank of Brazil.
  • must present a plan of investment and a commitment to create work position for Brazilian nationals Any ways for the rule #2 / semi-legal schemes? Or just buy a company with Brazilian resident partnership?

British Virgin Islands

  • 0% tax for any income tax or other income tax payable (under the Income Tax Ordinance) Taxes are presented only for payroll tax, 2 classes of employers (including self-employed persons)
  • class I employers: 10% of the payroll tax
  • class II employers: 14% of the payroll tax How to be 'class I employer'? (1) annual payroll does not exceed 15000 USD; (2) annual turnover / gross receipts <= 300000 USD; (3) total of its employees and deemed employees <= 7.

Annual and permanent residence Permanent residency is reserved for those individuals who have lived in the British Virgin Islands continuously for 20 years or more, and who qualify after normal screening processes. TWENTY YEARS. Furthermore, every year you should be less than 90 days out of the country to be able to apply on the permanent residence.

Canada

Individual resident is taxable on world-wide income, non-residents are taxed on Canadian-only income. The tax status do not specify 'residence' definition. If you are not-resident and stays for 183 days or longer you are deemed to be a Canada resident for the whole calendar year, unless you already have another tax treaty. (with other country?)

You are the subject to tax:

  • employment income, e.g. salary, wages, director's fees and most benefits received from employment.
  • self-employment income, income from a business or property, is similar to corporation

From 2009, all residents of Canada age >= 18 may contribute to a tax-free savings account (TFSA). That account has no tax deduction, but the investment earnings are not a subject to tax. For >= 2021 the annual TSFA limit is 6000 CAD.

Employees are not taxable when the employer grands stock options. If the employee is a resident of Canada at the time that the shares are sold, any gain is subject to the regular capital gain rules. 50% of the year's capital gains are included in taxable income.

There are 2 types of tax rates: federal and provincial taxes. The calculation of an individual tax is a 2-step process. (1) An individual federal income tax for given year is calculated on taxable income using a single graduated rate schedule (look down below). From this amount (2) allowable federal personal tax credits && the dividend tax credit are deducted. Annual Taxable Income (2021) Canada has 5 tax brackets for federal income tax purposes and all are indexed annually by the inflation rate. Taxable income, exceeding CAD Taxable income, NOT exceeding CAD Rate on excess 0 49020 15% 49020 98040 20.5% 98040 151978 26% 151978 216511 29.32% 216511 –– 33% N: 8874,65 * 0.74 = 6567 CAD Y: 3413,32 * 0.85 = 2901 CAD SUM: 9468 CAD

Permanent residence status Express Entry is about to invite potential economic immigrants to apply for permanent residence to Canada. Potential immigrants who meet the criteria for one or more (3 overall) streams: (1) Federal Skilled Worker Program (FSWP), (2) Canadian Experience Class (CEC) or (3) Provincial Nominee Programs (PNP). At least one of stream is required to submit an online profile using the Express Entry system. Each individual will be assessed based on several factors: (1) age, (2) education, (3) language ability (en or fr), (4) previous work exp. All applications are dropped into the "Express Entry Pool". Draws are held periodically, ~every 3-4 weeks. Peps with the higher CRS scores are invited to submit a permanent residence application. Then you have 60 days to complete the full application online (tons of docs to add). "The majority of applications are processed 6-8 month following submission of the full application". FSWP: >= 67 points from 100 to apply.

Immigration measures and support for Ukrainians and their families. https://www.canada.ca/en/immigration-refugees-citizenship/services/immigrate-canada/ukraine-measures.html Here you can apply for the CUAET (Canada-Ukraine Emergency Travel). "We’re helping Ukrainian families get visitor visas as quickly as possible so that they can find a safe, temporary home in Canada."

Chile

Who is liable? Nonresidents are tax on Chilean-source income only. Residents are subject to personal income tax on their worldwide income. You are considered as Chile resident if (1) stay in a period >= 183 days within calendar year.

Income subject to tax:

Chile taxes its individuals resident or domiciled in Chile on worldwide income. Foreigners working in Chile are subject to taxation only on their Chilean-source income during the first three years in Chile, after which worldwide income is taxed.

  • Employment Tax. Works only if you are an employee in the country's company.

  • Self-employment income. Persnal income tax is imposed at progressive rates: 0...40%. The corporate income tax rate is 27%. But small to medium-size entities are subject to corporate 25% of the income tax. Income earned by prefiessionals and independent workds, minus deductions for actual or deemed expenses, is also subject to personal income tax: 0...40%.

Deductions.

Personal deductions and allowances:

  • social security contributions paid, up to certain limits;
  • pensions or insurance funds may be fully deductible;
  • mortage interest paid may be deducted to certain limitations;
  • child education expenses incurred, but if the parents' total yearly income <= ~29_700 USD

Taxable Income Rates:

Rates based on the MTU (monthly taxable unit, 1 MTU == ~66 USD) amount.

  • 0...13.5 MTU -- 0%
  • 13.5...30 MTU -- 4%
  • 30...50 MTU -- 8% // min 1980 USD
  • 50...70 MTU -- 13.5% // min 3300 USD
  • 70...90 MTU -- 23% // min 4620 USD
  • 90...120 MTU -- 30.4% // min 5940 USD
  • 120...310 MTU -- 40% // min 7920 USD

Taxes on personal income. Table by PwC.

No double tax treaties with Ukraine.

Independent workers must contribute for the following coverages:

  • pension
  • health insurance
  • disability insurance
  • work accedent insurance
  • "sanna" fund

Visa & Residence

☢️ On February 12th, 2022, a new immigration law came into force in Chile. We have updated all the pages of this section following this new law, to reflect the changes. Some points are still pending for a decision by the immigration service. In that case, the corresponding page will display a warning similar to this one. Should you have doubts, we recommend you to book a consultation to review your situation more in depth. Source: https://www.expat.cl/guide-chile/immigration-visas/.

Chile touriest visa for UA citizens: Visa Free. From the visalist.

Permanent Residence in Chile | expat.cl.

...to stay indefinitely in Chile and to do any kind of businesses, as long as it is legal. ...do not have to renew it.

☢️ PR automatically expires if you stay outside of Chile for longer than 2 years without coming back, even a few days.

How long must I reside in Chile to request permanent residency? Temporary visa - 1 year. Work / Student visa - 2 years.

Temporary visa

Paraguay

Visa is not required for UA citizens.

Uruguay

Visa is not required for UA citizens.

Financial Dictionary

  • deduction / deduction expenses For purposes of computing tax to be withheld from an employee's salary, employers may deduct certain allowable expenses, including the following...

  • payroll tax income tax vs. payroll tax

  • tax treaty – налоговое соглашение (договор)

  • capital gain – прирост капитала

  • board and lodging – питание и проживание

  • capital gains - доходы с капитала (eg. sale of shares)

https://psiloveyouday.org/what-is-cit-and-who-has-to-pay-it/

Source: https://www.ey.com/en_gl/tax-guides/worldwide-personal-tax-and-immigration-guide Another source: https://www.globalexpansion.com/countrypedia/ukraine

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