In Britain and the Western world as a whole, the most commonly used "caregiving" agreement between men and women does not require a direct financial exchange between men and women. Direct payments are obviously too ostentatious, and are an obstacle to prestige – especially for those at the top who need prestige, credibility and goodwill to maintain the value of their shares – and more often – less obvious "public expense" "care", i.e., appointing "caretakers" to the board of directors or board of supervisors to get a salary, or "supervising" an asset advisory and management company, as happened by Xu Zhenkun's ex-girlfriend The behavior behind the corporate bonds issued by the rich second generation, and there is also a kind of professional service personnel like Katie, who provides professional consulting services.

So, in a sense, Katie's nominal salary is the most, not one of them.

As legal agent to Cwmdonkin Capital, Katie has been granted seats on more than 20 corporate boards, and at an average of £58,000 per board seat, Katie earns an additional £1 million a year – but what she does get is probably £180 per meeting for her time, rather than the allowance and salary for attending board meetings as a board member, which will eventually be remitted to Lynn to offset the cost of consultancy fees.

This is because, as agents, lawyers have a responsibility to hand over all the income they receive to their clients. Even if the subsidy for attending the meeting is £100 and the cost of attending the meeting is £300, the £100 cannot be withheld naturally on the basis of equity rather than debt, and must be returned to the client.

It should be noted that the consulting business of hiring a lawyer or accountant is not the main reason for acceptable tax deductions, and is classified as consumption.

There has been a long-standing misconception, especially in many literary works, that taxpayers are heavily taxed if they can't spend something. However, this type of expense-investment tax credit is not applicable to natural person taxpayers, but belongs to corporate taxpayers and other forms of corporate taxpayers. The jurisprudence of this part of the money has already been created at the moment you get it, and as long as it exceeds the tax exemption and exemption, it will be taxed. The Washington tax authorities on the other side of the pond will not be stupid enough to watch this income turn into fixed asset investment to offset income tax.

The main way that private investment funds are used to avoid taxes is extremely complex, and for enterprises that provide financial services, the partnership system is the main body: for example, Lin Yilong's Cwmdonkin capital, which is used to invest in Lin Yilong's funds, whenever there is a benefit, the resulting benefit would have been required to pay capital gains tax, and if the dividend is directly distributed in cash, Lin Yilong will be asked to pay personal income tax - The best strategy is for Cwmdonkin Capital to remain unchanged and to receive additional funds from the trading of securities and bonds in the form of shares or options in the name of "capital expenditure" by the real custodian in the name of "general partner" compensation. At the same time, the shares and equity that are dividends will not be sold, and there is no "income" in the legal sense, which is completely exempt from individual income tax, as long as the operator returns such equity capital to the pool of private investment in the name of investment, it can achieve the reciprocating cycle of capital utilization, and if it is necessary to spend personal funds, it can be "reimbursed" before each fiscal year The remaining funds need to be reinvested, so it is good to only need to pay corporate income tax this year.

Corporate income tax, which can also be properly avoided. The most important thing in this job is to choose a platform where the corporate tax is reasonable, at first glance Ireland is not a very suitable choice, the 25% tax rate in the financial sector is not much higher than the UK tax rate of 38.7%. However, businesses in Ireland can take advantage of the special mechanism (Section 110 SPV) provided for in section 110 of the Irish Tax Amendment Act 1997 and the Central Bank of Ireland's "Alternative Fund for Qualified Investors" to convert an income at the most appropriate rate with Bermuda or the Cayman Islands or the Low Countries.

This type of tax avoidance doesn't work for everyone, and according to the jargon of lawyers who specialize in this type of activity, if the "magic circle" represents a group of top "white-collar lawyers", then the "offshore magic circle" is the top "gold-collar lawyer" The cost of lawyers' fees and other maintenance of the registered entity is estimated to be at least £500,000 per year, and if it is less than that, it is likely to lead to irregular tax avoidance methods and various sky-high fines due to the joint investigation of many countries. Even Lin Yilong, who is a lawyer, needs to spend this money, he is very familiar with the affairs of corporate mergers and acquisitions, and he is not a qualified tax lawyer, even through intensive study, he only knows some general directions, but in the details, he is limited by various information shortages, and is not as reliable as a local lawyer. Therefore, if the tax payable exceeds 500,000 pounds, it is necessary to go to those countries to avoid it, otherwise, it will basically lose money.

By the way, because the United Kingdom is also in almost all tax treaties, if it weren't for Ireland's "alternative fund for qualified investors" as a cloak, which avoids almost all corporate income taxes and is easier to connect with a Manhattan stockbroker, Lin would have ended up with his fund in London instead of Galve.

As for why Lin Yilong came to Hong Kong to do business, because Hong Kong does not have capital gains tax (or capital gains tax), and together with the Lion City, as the most important investment platform in the Asia-Pacific region, it can be directly connected to London, which is very convenient and fast even from a tax point of view. It is impossible for Lin Yilong to abandon such an investment and financing platform and an ideal transit place for the tax system.

"So, we're here to take over these?" Katie got almost all the reports related to Hong Kong's business from Ray in order to take over the work, all of which were related to mergers and acquisitions and tax filing.

"Of course. Lin Yilong replied, "Someone has to do this kind of work." ”

"Isn't it supposed to be 'honest in paying taxes'?" asked Katie.

"Am I not honest in paying taxes?"

"It's not that it's dishonest. Katie thought for a moment and reorganized the language, still looking a little indignant, "Why do we wage earners have to pay almost all of our taxes, while the top executives of big corporations and these companies don't have to pay anything." Aren't these overseas entities originally designed for this purpose?"

"No, you also said that these 'nameplate' enterprises on books are all entities. Lin Yilong explained with a smile, "A law-abiding enterprise that pays taxes under 500,000 pounds of tax is a law-abiding enterprise, so does the "tax payable" that spends 500,000 pounds of "offshore magic circle" and saves 5 million pounds in the eyes of outsiders describe a law-abiding enterprise?"

Katie is speechless, obviously this is a slippery head, but there is no way to restrain this kind of behavior - as long as the development of various regions in the context of economic globalization is unbalanced, it will be like this, let the poor pay the burden of taxes, and let the big business "tax free".

"The only people who can decide what a company does are the decision-makers. Lin Yilong's face changed and explained very seriously, "When a company bears the market risk alone and no one else shares, it will have this kind of psychology and enjoy peace of mind." ”