Netflix Removed this Film From Its Library

Then keep paying them taxes and enjoy your "freedoms".

You tax shill. You can try auditing a Panamanian IBC, but it can't be done.

Paying income tax is voluntary, but if you just refuse to file, you could be involved in a legal battle that can ruin your life, even if you turn out to be in the right.

Thankfully, there is more than one way to skin a cat.

Step 1. Set up a Panamanian foundation - use a law firm to set up a Director, Treasurer and Secretary. They will issue undated letters of resignation for your security. Make yourself the primary beneficiary. Beneficiaries are often unaware of their status, particularly if the foundation is being used to manage assets designed to be passed to heirs at the death of the primary beneficiary.

Step 2. Use the foundation to establish an IBC. The Foundation holds all the shares of the IBC.

Step 3. Employ yourself through the IBC. Pay yourself just enough to survive. Only that money will be subject to income tax. Pay your office expenses through the IBC - office costs, utilities, insurance, vehicle expenses and leasing, etc.

The money going into the IBC is not able to be taxed, since it is untaxable foreign income in Panama, and is unrelated to a US entity except for the small amount you pay yourself. The IBC is not subject to audits or scrutiny since it is owned by a foundation, not a US citizen, and you have full control of both entities without being an owner or controller in the documentation of either.

Your IBC builds up capital which you can convert to commodity investments, shares, starting new companies etc. You can be sent on business trips and travel the world tax-free etc. One day the structure will be self-sustaining.

Eventually you can quit your job and ex-patriate. Go travelling. flip your mid-digit to jealous *beep* who used to run your life. Non-US citizens can earn as much as they like without paying income tax so long as they don't spend more than three months in any one jurisdiction. Visit four or five places a year, stay a couple of months and move on, even if you are just crossing a border in Europe. There are many places where you can move 10km down the road and be in another tax jurisdiction, or if you want you can move across the world. Taxation can be a lot more expensive than travel. Pay yourself as much as you like as a non-US tourist/businessperson and get it tax-free.

Result: You reduce your income tax to a minimum. Your earnings are held by the IBC which pays your expenses and your tiny wage until you can afford to retire (and with lower tax, you can do it much sooner) and travel the world.

This allows you to avoid any risks associated with potential court proceedings as shown in this film, and enables you to retain the bulk of your income, invest it, and retire early to a jetsetting lifestyle. Isn't that what its all about?? Who wants to be involved with tax-law and guys raiding your home and business?