The Thing Billionaires Buy to Pay Less Taxes | Summary and Q&A

TL;DR

Billionaires are buying second passports from countries like Saint Kitts and Nevis, Malta, and Cyprus to lower their taxes, protect their assets, and gain privacy.

Key Insights

• 😘 Buying a second passport can help billionaires lower their taxes, protect their assets, and gain privacy.
• 🇰🇳 Small island countries like Saint Kitts and Nevis, Malta, and Cyprus sell passports to qualified investors.
• 👻 Some billionaires, such as Eric Schmidt and Pavel Durov, have multiple passports, allowing for increased asset protection and flexibility.
• ☺️ The sale of passports has faced criticism and controversy, particularly when due diligence processes are relaxed.
• 🎚️ Second passports offer an extra level of separation and protection from restrictive and dangerous governments.
• 🚕 Potential buyers should carefully consider their tax obligations and residency requirements before obtaining a second passport.
• 🧡 Second passports can be expensive, with prices ranging from $150,000 to over $1 million.

Transcript

all billionaires have something in common they are all buying back in 2020 google billionaire eric schmidt decided to buy this thing and the world went crazy he got criticized in the media and was labeled as a shady investor for this decision right after he became public about this investment what he bought was banned from the market and closed fro... Read More

Questions & Answers

Q: Why are billionaires buying second passports?

Billionaires buy second passports to protect their assets, gain privacy, and lower their tax obligations. Having a second citizenship allows them to place assets under different identities and jurisdictions, minimizing risks and maximizing benefits.

Q: How do second passports help with asset protection?

Second passports provide an extra level of privacy and security by allowing billionaires to connect their assets, such as bank accounts and real estate, to the second citizenship. This makes it harder for governments, potential lawsuits, or other individuals to discover and seize their assets.

Q: What are the benefits of buying a passport from small island countries?

Small island countries like Saint Kitts and Nevis, Malta, and Cyprus offer passports for sale and provide benefits such as visa-free travel to numerous countries, tax advantages, and asset protection. These countries rely on passport sales to generate revenue.

Q: Are there any concerns or controversies surrounding the sale of passports?

Some countries, particularly those selling passports to investors from Russia and China, have faced criticism for their due diligence process. There are concerns about security threats, money laundering, and tax evasion. The European Union has demanded the cancellation of certain passport sale programs.

Summary & Key Takeaways

• Billionaires, including Eric Schmidt of Google and Pavel Durov of Telegram, are buying second passports for various reasons, including lowering taxes and gaining asset protection.

• Small island countries like Saint Kitts and Nevis, Malta, and Cyprus sell their passports to qualified investors, offering benefits such as access to multiple countries and privacy.

• Some countries, like Malta, have faced criticism for selling citizenship to investors, leading to concerns about security threats and money laundering.