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I don't have an RA purely because I think that the tax savings now won't be enough to overcome the lower performance and potentially higher costs of the RA.

Then of course there's the problem that a) you will have to pay income tax on the withdrawals one day, and b) your money is locked until you're at least 55, and you end up with a fairly mediocre product.

A TFSA on the other hand is something I think every single South African should have and should max out all the time, but until they allow 100% offshore RAs I'll keep avoiding them.

I do suspect someone in the top tax bracket who expects to retire in a much lower tax bracket can get some decent value about the tax savings, but my maths said I wasn't one of those.

Quote from: jonb on December 26, 2017, 09:14:24 pm

OK

So I have stood on the sidelines for a few years and as you would imagine in hindsight would want to kick myself. Every single Crypto success story has normally sent that warning bell ringing " If its to good to be true it normally is" I, however, am starting to think that we are in the midst of a financial revolution here and would like to slowly become part of this.

So step one:

Account opened on Luno

Account opened with Bitstamp

Account opened on Poloniex

Plan now is to get some Bitcoin on Lumo and shift some to Bitstamp for a split on the top Coins and then use Poloniex for some of the smaller Altcoins

Linked up with some pretty serious groups online for signal purposes and keen to just give it a bash

Sure a number of you all on here are already deeply involved or at the very least curious.

Is anybody keen to get a group going here to start the journey?

jonb what made you opt for Bitstamp and Poloniex to trade on?

Quote from: Hamster on June 09, 2017, 11:37:04 am

Bloody hell! 40%?!

I wish people would give proper information rather than just spout a single rubbish number.

Here's the real story:
In the US the first $60k is estate tax free, for the rest the tax rates start at 18% for the first $10k, but to get to the 40% bracket you have to have over a $1mil. There is also a potential loophole if you use a trust: https://www2.deloitte.com/content/dam/Deloitte/us/Documents/Tax/us-tax-us-estate-and-gift-tax-rules-for-resident-and-nonresident-aliens.pdf

In the UK you're far better off. The first £325 000 is tax free, plus if you transfer to your spouse there's no tax. Then if she leaves it to the kids they can get £650 000 tax free.

But wait there's a better way:
I have an Interactive Brokers account in the US which means nothing. I buy an ETF (VWRD) that's listed on the London Stock exchange which also means nothing. The ETF is domiciled in Ireland, now that means something as the following clipping from virtually any irish domiciled fund prospectus:

Quote

However, any gift or inheritance of Shares will be exempt from Irish gift or inheritance tax once:
1. the Shares are comprised in the gift or inheritance both at the date of the gift or inheritance and at the ‘valuation date’ (as defined for Irish capital acquisitions tax purposes);
2. the person from whom the gift or inheritance is taken is neither domiciled nor ordinarily resident in Ireland at the date of the disposition; and
3. the person taking the gift or inheritance is neither domiciled nor ordinarily resident in Ireland at the date of the gift or inheritance.

So if you don't live in Ireland or leave the shares to someone living in Ireland there is no inheritance tax.

Still not convinced. If you're not holding individual shares but ETFs there's more proof from Irish revenue:

Quote

Units in any collective investment undertaking located in the International Financial Services Centre or in the Shannon Customs-Free Airport Zone are exempt from Capital Acquisitions Tax. The exemption also applies to units in Investment Undertakings which qualify for the new collective funds regime introduced by Section 58, Finance Act 2000.

In Ireland they call those funds UCITS funds. What's the full name for VWRD? Yes it's the Vanguard FTSE All-World UCITS ETF. No estate duty. Ireland has done an outstanding job positioning themselves as a destination to invest in.

I normally like justonelap, but that post is dangerous as it would discourage people from taking money offshore, meaning they would have to pay far more CGT one day than if they took their money offshore.