If I am a US citizen with negligible assets and a plan to move abroad and renounce my US citizenship, and I plan to found a software startup, how should I go about it to minimize the taxes I eventually pay to my soon to be former government, whose unjust practices I'm trying to stop funding?
I could potentially wait until my US citizenship is a thing of the past before I even build anything, let alone create a new legal entity. But ideally I would find a way to start this now.
Might be a few days too late… but here’s the strategy I’m using. Start a Dutch BV and hire yourself and move you to the Netherlands. The BV will Sponsor you under the Dutch-American Friendship Treaty. Don’t mention “startup” though, that’s a totally different (and much harder to get) visa.
You can renew a DAFT visa as much as you want, but after 5-7 years, you can get a Dutch passport as long as you stay in the country enough.
Due to tax treaties, you get a 30% tax cut in the NL (30% ruling) for five years, and you only pay the difference on US taxes after paying NL taxes (virtually impossible because NL taxes are generally higher than US taxes).
I could potentially wait until my US citizenship is a thing of the past before I even build anything, let alone create a new legal entity. But ideally I would find a way to start this now.