Tax Residency as Strategic Moat

“The United Kingdom is a very tax-friendly place to live if one only has wealth and does not conduct business in the country. All income and gains one has in other countries are tax-free as long as the money is not brought into the United Kingdom. This applies to foreign nationals living in the United Kingdom who do not intend to stay there forever. This odd and very flexible rule has made London a very attractive place to live for the wealthy, from shipowners to tennis players. However, the tax law is under review and everyone expects that the loophole for those "temporarily" residing will be closed.”

“In Cyprus, residents pay tax almost like other people, with thirty percent tax on regular wage income. But it's not the low tax on wages that matters, the really rich do not live off wage income. Cyprus has no tax on dividends, no tax on stock gains, bonds, options, or anything that can be considered a financial instrument. As if that weren't enough, there is also no tax on interest income, whether it comes from Cyprus or elsewhere in the world. It is paradisiacal for everyone except wage earners.”