Sov Soc Offshore Account 07

8/10/2019 Sov Soc Offshore Account 07

1/22

TABLE OF CONTENTSOFFSHORE BANKING GUIDE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

G E TTING STA RTED OFFSHOREA WORLD OF PRO F I TS AWA I TS YOU! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3WRAP YOUR ACCOUNT WITH A SAFETY BLANKET . . . . . . . . . . . . . . . . . . . . . . . . . . . 3SHHHHH! IT'S NOBODY'S BUSINESS BUT YOURS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4LET'S FACE IT: PRIVACY IS DEAD IN THE UNITED STATES . . . . . . . . . . . . . . . . . . . . . 4THE T RUTH ABOUT "BANKING SECRECY" . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

YOUR OFFSHORE ACCOUNTLO C ATION, LO C ATION, LO C ATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .7

DO YOUR DUE DILIGENCE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8CHOOSE THE RIGHT TY PE OF BANK FOR YOUR NEEDS . . . . . . . . . . . . . . . . . 10P R I VATE CUSTOMIZED BANK SERVICE JUST FOR YOU . . . . . . . . . . . .. . . . . . . . . . . 10O PENING AND FUNDING YOUR ACCOUNT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

OFFSHORE BANK ACCO U N TS - YOUR OPTIONSYOUR MONEY NEEDS A PA S S P O RT TOO - HOW TO TRANSFER MONEY . . . . . . . 13THE SOVEREIGN SOCIETY'S SELECT BANK ACCOUNT PA RTNERS . . . . . . . . . . . 14A FEW CAV E ATS BEFORE YOU RACE OFF TO OPEN YOUR ACCOUNT . . . . . . . . 17


2/22


3/22

OFFSHORE BANKING GUIDE

1

An Offshore Bank Account: Your Gateway to World Profits

The Sovereign Society has prepared this international banking guide exclusively for members.

There are many benefits that flow from having an international bank account. But as with mostworthwhile things, the path to achieving them is not always straightforward or easy. Finding the right bankin the right nation to hold your assets is an important part of managing your wealth.

A key consideration is finding an offshore bank that makes it a high priority to know its clientspersonally. Language compatibility is important, but equally significant is a sincere effort to understandcultural differences so that communication can be truly effective. This is particularly important when itcomes to paperwork, forms and record keeping. That can be cumbersome, but it is a necessary step inestablishing a sound banking relationship.

The Sovereign Society, drawing on years of experience, has chosen for our members, selected banks injurisdictions where friendly governments support the needs of foreign financial investors, and wherebanking institutions provide the services investors require.

You can be sure that each of the banks we suggest are financially stable, and offer modern faculties,services and the necessary understanding to serve an international clientele effectively. The banks TheSovereign Society has chosen have liquidity ratings well above the international minimums set by the Bankfor International Settlements in Basel, Switzerland.

But before we reveal our banking recommendations, let's get familiar with offshore banking and bankaccounts.

Important Notice for all Members:

1. U.S. tax laws impose severe tax penalties on investments in offshore mutual funds, thus these types ofinvestments are not recommended. Investment in offshore bank certificates of deposit are available,but since CD terms vary among the banks, you should consult your account representative forspecifics.

2. None of the recommended convenient account banks have branches is the United States. They dohave correspondent clearing accounts with U.S. banks, as do most banks.

3. None of the banks recommended herein are affiliated with The Sovereign Society.

U.S. Government Reporting and Tax Requirements: If you are a U.S. citizen or a U.S. resident alien,the existence of any foreign financial, securities or other financial accounts over which you have direct orindirect control, must be disclosed on your annual IRS Income Tax Form 1040 and Treasury Form TD F90-22.1 if, in aggregate, the accounts exceed US$10,000 in value at any time during a calendar year. Youmust also report on your 1040 tax return any income generated by these accounts. Most other high-taxcountries do not specifically require reporting of international accounts, but they do require residents to paytaxes on their worldwide income regardless of where they live, as does the United States.


4/22


5/22

GETTING STARTED OFFSHORE

3

If you think of your offshore education as a swimming lesson, the idea of establishing an offshore bankaccount is the equivalent of wading into the water up to your knees. It's safe, it's easy and it's an importantfirst step. You can use this account for investment purposes or for simple asset protectionplus, it's a greatway to stash a bit of cash abroad, just in case.

Having such an account offers multiple benefits: investment diversification and opportunity; assetprotection; and financial privacy. This is the trifecta of the offshore world!

A World of Profit Awaits You!

Your offshore bank account will allow you to safely and privately explore, with few restrictions, the farreaches of the vast and diverse financial universe. Imagine a journey going from the bond markets of Koreato the stock exchanges of Eastern Europe, from ultra-private Liechtenstein trust arrangements to the mostsuccessful funds, from unique commodity investments to Caribbean corporations, from Israeli nanotechstart-ups to age-old European blue-chips, from the mysterious and secretive world of offshore mutual fundsto tax-free Swiss gold accounts, from Isle of Man Insurance contracts to Danish multi-currency investmentaccounts, from uniquely structured tax-free Austrian funds to Bulgarian mortgagesit's a vast andwide-open universe with limitless opportunities for profit awaiting you.

With one phone call or click of your mouse, an offshore bank account will allow you to:

1. Privately trade stocks, bonds, CDs, precious metals and currencies in markets everywhere. We'retalking about CDs that pay up to 15% after currency gains and funds traded on exchanges that havesoared 496%407% and 232% in the past few years.

2. Diversify your assets out of U.S. dollars and convert them into currencies that will appreciate againstthe dollar in the volatile times ahead. Examples are the rock-solid Swiss franc and the euro.

Wrap Your Account With a Safety Blanket

In addition to the investment opportunities we mentioned above, an offshore account also offers strongasset protection.

People do not have to know you have assets offshore and we strongly recommend you do not reveal thisinformation to anyone. The fact is you don't need secrecy to protect your wealth against lawsuits. Shouldyou end up in court, you may have to disclose an offshore account as part of a statement of your total assetsand liabilities. However, once your opponents realize that your money is thousands of miles away, they arefully aware how difficult it will be to gain access. This factor alone can facilitate settlements out of court andput an end to lengthy lawsuits. Either way, you win.


6/22

It is essential that you understand this benefit. Offshore financial centers favor foreign investors likeyou. Someone who is after your cash can't just walk into an asset haven courtroom and demand payment,even if he's got a judgment from a court in your home country. It doesnt work that way. To gain access toyour offshore assets, your opponent must re-initiate legal procedures in the foreign court. In other words,he starts fresh from square one. Do you see what this implies? It means that he'll have to bear the expensesof hiring foreign lawyers, travel witness costs, etc. This is quite a hassle for him, isn't it?

Moreover, many offshore havens have a one or two-year statute of limitations starting from the date aclaim arises. A U.S. lawsuit typically takes years to get through the courts, so any court judgment in the U.S.

could be declared null and void under the foreign nation's one-year cutoff date.

Shhhhh! It's Nobody's Business But Yours

An offshore bank account offers yet another benefit: A good majority of offshore bank accountsguarantee a greater deal of privacy than is available in the U.S. these days.

In the last 20 years, we've witnessed serious attacks on personal wealth by the U.S. government. Much

like Robin Hood, the U.S. Congress has all but abolished domestic financial privacy. In fact, they've evengone a step further and reversed the burden of proof. If you are accused of a wrongdoing, it is up to you toprove your innocence. What ever happened to the idea of being presumed innocent until proven guilty? Saygoodbye to the good old days. Of course, the U.S government claimed that this was done in the interest ofthe War on Drugs and to apply the brakes on money laundering. These days, they're using the argumentinvolving the War on Terror. What's next?

Let's Face it: Privacy is Dead in the United States

But you can take steps to re-establish financial privacy. And one step is to set up a bank account off-shore. To maximize your privacy, there are two simple things you should consider when selecting an offshorebank:

Stay away from using an offshore bank that has branches located in your home country especially ifyou live in the United States. This is to ensure optimal privacy. U.S. courts have been known tothreaten to shut down or confiscate U.S. bank branch funds when their offshore parent bank fails tocomply with a U.S. court order.

Use your offshore account only for offshore financial activity. Do not use your offshore checkbook topay the water or cable bill. That keeps personal offshore bank checks bearing your name from goingthrough the U.S. or Canadian banking system. Restrict yourself to personal cash withdrawals from your

offshore account. Bank fees for international check clearing are costly and create recorded links thatundermine privacy.

If creditors or lawsuits do not concern you, contact the U.S. branch office of a foreign bank such as UBS

or HSBC. Or choose a major U.S. bank like Citibank with offshore branches. In either case, this allows youto go offshore without leaving home. Be aware, however, that this option offers little asset protection or pri-vacy, given the bank's U.S. presence. It's cut and dried: if it's in the U.S., then it falls under U.S. legal juris-diction. No two ways about it.

4


7/22

On top of all the benefits, some offshore banks offer VISA or MasterCard or other global credit cardsthat can be linked or traced to your account. They are more expensive than U.S. cards. Your offshore bankcan deduct your monthly credit card charges from your account balance. This allows you to pay billsoffshore, make deposits and pay with your offshore account outside your home country. But as with offshorechecks, never use that offshore credit card in your home country.

The Truth About Banking Secrecy

Bank secrecy has not been "eliminated," as the news media might imply. A realistic way to view banksecrecy today is to think of it as a strong safeguard against prying official or private eyes peering into yourfinancial affairs. This won't work if you're suspected of being involved in a serious crime, most especiallydrugs or terrorism.

Bank secrecy certainly might shield some lawbreakers for a time. But in the vast majority of cases, itserves legitimate purposes such as shielding honest individuals and their families from retribution bycorrupt or totalitarian governments, giving access to investments forbidden or restricted in their own coun-tries or providing strong asset protection that is not available in your home country.

Indeed, bank secrecy laws do exist in many reputable offshore havens. Panama, Nevis, Belize,Liechtenstein, Austria and Gibraltar to name a few have official bank privacy laws, waived only incriminal cases and usually only under court order. Unlike the United States where average bank employeescanand mustreveal your personal financial details, many offshore nations impose fines and prisonsentences on bank employees who violate the privacy of account holders. That's the outstanding hallmarkof an offshore account.

5


8/22

6


9/22

Okay, you're ready to open your offshore bank account. What's the next step?

Location, Location, Location

The first step is to decide where the best place for your account might be. The truth is there aremany different regions around the world that offer perfectly suitable banking solutions. But in order tochoose which jurisdiction is best for you, first consider what you're trying to achieve offshore:

Do you want to set up an offshore account so you can access offshore investments?

Are you really concerned about the U.S. dollar and want to diversify your assets asquickly as possible?

Does privacy concern you at all?

Are you concerned with protecting your assets from contingency lawyers or estrangedrelatives?

Are banking fees a concern (exactly how high can you go, or does it matter)?

Regardless of your objectives, there's a jurisdiction that can offer a solution.

Once you have your list of goals, it should be easier to pick from the three types of offshore havens:

Privacy Havens: These are the big name banking havens you've probably heard about over the years.These havens have laws dating back decades to protect your assets above all else, and hold your financialprivacy sacred no matter what. Many of these havens' bankers would face jail or stiff fines if they revealed

your personal financial information (compare that to the U.S. where sharing financial information isencouraged among government agencies like FinCEN!).

These havens also give you access to the entire financial universe of investments, and offer all sorts ofways to diversify your currencies. However, iron-clad financial privacy, asset protection, offshoreinvestments and currency diversification options are all items you pay for in much higher fees. So you

would select one of these havens, if you're very concerned about your financial privacy, protection fromcreditors (or lawyers) and you want access to the world's top-performing investments, but you don'tmind paying higher fees and keeping higher minimums of US$100,000 or more.

Where Are the Privacy Havens?

- Austria

- Liechtenstein

- Switzerland

- Singapore

- Panama

Investment Havens: Investment havens are offshore jurisdictions that are not known as beingbanking havens per se. That means they generally do not have laws exactly guaranteeing your financial

7

YOUROFFSHOREACCOUNT


10/22

privacy and asset protection, though they do have traditions of stable banking. But these offshoreinvestment havens do offer avenues into the world of offshore investing. Some award-winninginvestment banks are located in investment havens.

You would choose one of these regions, if you want to access the double and triple-digit profits waitingoffshore, but you are not as concerned with financial privacy. These havens also offer some assetprotection, because they are located offshore (which puts distance between anyone who might want to

seize your holdings and your assets). And they have generally offer lower minimums aroundUS$35,000.

Where Are the Investment Havens?

- Denmark

- Sweden

- Hong Kong

Currency Havens: A currency haven could be any country in the world even the U.S. These havenssimply have banks which are allowed to house bank accounts in various currencies. This means the

location is less important than the chosen bank itself. This could be a good option for you if you'reinterested in diversifying your currencies, but you're not as concerned with financial privacy or assetprotection.

Plus, this is a good investment if you're more interested in diversifying your nest egg in variouscurrencies, rather than offshore investments. It's also a good idea if the offshore banking minimumssimply don't match what you're willing to spend on a bank account.

Just keep in mind, that if choose to make your native country your currency haven, then the nativelaws of your country apply to your bank account. That means you have little or no protection fromcreditors or lawsuits.

Where Are the Currency Havens?Technicallyany where that will allow you access to a multi-currency deposit account. In fact these caneven be in your own country's backyard, even the U.S. or Canada.

Do Your Due Diligence

While selecting an offshore bank may sound exotic or even difficult, the truth is that it's not anydifferent from picking a local banker. You should check out the bank's reputation, financial condition, fees,services and related costs. Also, ensure that the bank welcomes foreigners and is experienced withforeigners' needs. Its staff must speak fluent English. The last thing you want is to open your account only

to find out later that none of the account managers understood your instructions.Also, it is important to understand the fee structure of these banks. Offshore bank fees can be

expensive, more than what Americans usually pay at home. Crunch the numbers and find out what yournet profit (or loss) might be. Offshore havens don't usually tax non-resident bank accounts as such, but afew, like Switzerland, impose withholding taxes on interest earnings paid on the account.

8


11/22

Top 10 Questions to Ask an Offshore Bank

Once you decide on an offshore bank, ask and get answers to these questions before you finally agree todo business with them:

1. What types of accounts are available for international investors?

2. Are there any restrictions on foreigners' investments?

3. What taxes will be withheld from my investment income?

4. What investments are considered part of the bank's balance sheet and available to the bank'screditors (including depositors) in the event of the bank's insolvency?

5. What are the fees for securities transactions and custody?

6. What other fees may apply to the account?

7. Is my account insured by law or otherwise against loss in the event of the bank's insolvency?

8. How do I transact business with the bank? Are telephone, fax or email orders accepted?

9. Is Internet online banking available and secure? If so, is this service available in English?10. Will the bank send U.S. customers a year-end statement showing any taxable interest paid?

Also, invest the time upfront to check the financial standing of the bank and do due diligence. If youaren't sure where to start, visit www.fitchratings.com and www.moodys.com.

Take the Time to Meet Your Banker to Develop a LastingRelationship

It's always a good idea to visit the bank personally or at leastmeet with one of their account managers. Most offshore bankersencourage personal meetings. Like most business relationships, aninitial personal contact is preferred. Moreover, it is important tounderstand that nowadays, most nations have anti-moneylaundering laws similar to the U.S. or United Kingdom whichre q u i re new customers to appear personally when openingaccounts. These know-your-customer rules are now standardpolicy in international banking. Bank officials are keen on devel-oping business but they do not wish to deal with drug merchants,terrorists or crooked politicians - and for good reason.

In addition to a face-to-face meeting, nearly all reputableoffshore banks will require a new account applicant to producepositive identification, a notarized copy of their passport and/orbirth certificate, business and personal references, and a homecountry utility bill in his name. This is an indispensable require-ment considering that banks want proof of your current residence.

Important point: personal contact should be reciprocal. As

9

Let's be clear on one thing: thereis no such thing as a totally secret orn u m b e red account anywhere inthe world. Even in nations with thestrongest bank privacy laws such asAustria or Sw i t zerland, a bankaccount holder's real name is onrecord somewhere. Even if a bankaccount is in a corporate name or inthe name of a trust, there is always apiece of paper (or computer file) thatcan be traced to the real owner, espe-

cially if government agents are inves-tigating alleged criminal finances.You will, howe ve r, be pleased tok n ow that once you open anaccount, some banks will allow youto correspond with them using onlya set of numbers. This adds the ele-ment of privacy to all communica-tionsthe bank will have all detailsrelating to you.

What areNu m b e red Ac c o u n t s ?


12/22

soon as you open your account, get to know your assigned staff contact at the bank. Your banking contactshould speak your language, understand your business and be reliable. Request the name of a back-up con-tact at the bank who knows who you are in case your usual representative is not available.

Some offshore banks demand that depositors sign a letter allowing the bank to release account details toforeign investigators, hence waiving the depositor's rights under bank secrecy laws. If an offshore bank youare considering makes such a request, take your business elsewhere.

Choose the Right Type of Bank for Your Needs

Like domestic U.S. or Canadian banks, international banks specialize in the following areas:

1. Taking money deposits and lending to businesses (commercial banks)

2. Taking money deposits and lending to private individuals (savings and loans)

3. Buying and holding investments for private individuals (private banks)

Know what type of account you need. If you want only a small international nest egg and don't plan to

actively trade and invest with your account, your best option is an international building society, savings andloan, or a commercial bank. Interest rates are usually higher and fees much lower. Unfortunately most ofthese banks such as Abbey National in the U.K., will not accept accounts directly from Americans unlessthey live in the United Kingdom, offering their savings and mortgage business only to British citizens. Otherjurisdictions will allow non-residents to open accounts.

If you want to do business internationally, you will need an international commercial bank thatspecializes in business financing, multiple currency dealings and merchant payment solutions. If you are anactive investor, or you wish to open a larger account, chances are that you would be better served by aprivate bank.

Private Customized Bank Service Just for YouOffshore banking services are often handled by the private banking departments of offshore commercial

banks or by private banks that cater solely to a private banking clientele. Havens such as Switzerland havebeen in this type of specialized banking for centuries and many other havens have been doing the same fordecades. Only recently have U.S. banks caught up with this trend, trolling for wealthy clients who demandpersonalized treatment.

The private banking department of a commercial bank functions as an exclusive bank within a bank,with separate books and records and special operating procedures. Each private bank account holder can relyon account managers or marketing officers who have access to specialists around the world who are able to

provide personal money management, financial advice and investment services to their high net worthclients.

Very good private bankers are unique in that they have knowledge and understanding of their client'spersonal and business backgrounds, sources of wealth and how they want to use their private bank accounts.They also understand international clients and know how to meet their growing needs. They often workU.S. hours, speak fluent English and aim to help you accomplish your personalized goals, be it wealthaccumulation or protection.

10


13/22

Opening and Funding Your Account

Under internationally accepted know your customer policies, banks worldwide now require customersto fully identify themselves. Before they open a new account for you, the bank must know who you are andwill request documented proof regarding the source of the funds you plan to deposit. To illustrate: let's sayyou sold your vacation home in Turkey for the equivalent of $210,000 and you plan to deposit those fundsin a private bank in Denmark. The bank will require proof that the money to be deposited comes from the

sale of a property. If you are unable to furnish this proof, they may refuse to open the account. Understandthat they aren't being difficult, nor are they refusing your business. It's more a question of vigilance on theirpart about accepting suspicious funds.

When applying for your account at a private bank, have the following information ready:

* A detailed application showing your name and address, type of account you wish to open, thecurrency in which you want your funds to be denominated, request for a debit/credit card. To satisfy

know your customer rules, you must prove your identity and nationality (usually with a notarizedcopy of your passport or certified birth certificate) and a utility bill to confirm your residential address.

* Investor profile.A statement of your investment objectives, investment experience and the investment

risk approach you prefer.

* Source of funds. Specify the source of your funds, and in some cases, obtain a reference letter from abank in your home country stipulating that the funds are legitimate.

* Choose your beneficiary. It is possible that in the event of death, your account and other relatedinformation will not be released to your loved ones without costly legal proceedings. To avoid this, youmust designate your spouse, partner or other person as an account beneficiary. This designation isrevocable, so you can always add a new beneficiary or change beneficiaries. For banks that don't offerthis option, the alternative is to make your intended beneficiary a co-owner of the account which givesthis beneficiary survivorship rights in case of your death.

11


14/22

12


15/22

Offshore banks offer a greater variety of account types than most domestic banks. The terms describing

the same type of accounts may vary from one bank to another.

Current Account. The most common type provides a check book, debit card and a credit card.Starting balance is low, but interest paid is also low. Some banks allow multi-currency accounts; youcan deposit and withdraw funds in many currencies.

Deposit Account. For saving money over a longer term. You get higher interest rates but there are earlywithdrawal restrictions and penalties. Higher starting balances, minimum deposit of US$10,000.Interest paid depends upon deposit amount.

Twin Account.A combination of high interest deposit account with a smaller balance current account.

Overdraws are covered from the deposit account into the current account.

Fiduciary Account.Allows you to invest anonymously using the bank as proxy investor. On the recordthe bank appears to be acting on its own. Bank charges are usually 1/4 of 1% of principal. Lowerinterest.

Certificate of Deposit. CDs earn higher interest rates than deposit accounts. You lend your cash tothe bank at the current rate for the currency in which the CD is denominated. CDs vary in terms ofmaturity, ranging from almost overnight to up to five years. Banks don't withhold taxes on the CDsthey issue.

Precious Metals Account.You can invest in precious metals through the bank that will store them in

its vaults on your behalf. The combined resources of bank clients allow buying precious metals at lowerprices. The bank charges an annual storage fee.

Investment Account. Allows you to invest in the bank's chosen investments, mutual funds, stocks,bonds and commodities with the bank's assistance and management. The starting balance is usuallyat least US$50,000 with high front-end costs and management fees.

Managed Account. Similar to an investment account, but you choose your investments. Buy and sellinstructions are phoned or faxed to your bank representative. You can also hold commodities in thebank's name for the sake of privacy. This convenience requires a minimum deposit of approximatelyUS$250,000.

Safekeeping Account.Allows you to deposit bonds, stocks and other valuables in your offshore bankthat the bank manages for you, redeeming mature bonds and the like. The fee is approximately .015%of the market value of the portfolio.

Your Money Needs a Passport, Too -- How to Transfer Money Offshore

In the U.S., there is virtually no way that funds amounting to US$10,000 or more can be transferredwithout some federal cash reporting law coming into play. By law, funds in that amount or higher are auto-

13

OFFSHORE BANKACCOUNTS YOUROPTIONS


16/22

matically reported by electronic means to the U.S. Treasury by the bank on which they are drawn. Thisshould not concern you because as we mentioned earlier, you should never move money offshore for thepurposes of avoiding legal reporting requirements or tax obligations. This is the wrong reason for movingyour funds to an offshore location, and you run the risk of getting caught.

Still, a major concern for first-time offshore bank account clients and investors is: How do I safely andlegally transfer my cash and assets to my new bank? Let's look at the options:

Wires.Wires are the easiest way to move funds to your offshore bank from your home country bank.However, not all U.S. banks are good at handling international wire transfers and it may take severaldays for the transfer to be completed. When wiring money to your new offshore account, you shouldwire the money in your home currency. When the funds arrive at bank you can opt to transfer themto a different currency of your choice. For example, if your home currency is the U.S.dollar, but youwish to fund your offshore account in Swissfrancs, you should wire your deposit in U.S. dollars andthen authorize the off shore bank to convert those U.S. dollars to Swiss francs. In many cases, this cansave you foreign exchange transaction fees.

Checks.Write a domestic check to move funds offshore. But bear in mind that this creates a direct tiebetween your offshore and U.S. accounts. You will need to report the offshore account on your taxforms. This doesn't need to be a big deal. Remember that it can take many days, if not weeks, for aforeign check to clear the international banking system.

Cash. If you physically move US$10,000 or more, you must file the appropriate forms with the IRS orthe U.S. Customs and Border Protection Agency. In almost all instances, the bank or tranferring agency

will automatically file the forms for you. Failure to report this is a very serious matter: the cash can beconfiscated on the spot at the airport. Be aware, too, that this reporting requirement also applies to thetransport of cash equivalents including traveler's checks, bearer bonds and other negotiable securities. Inaddition to the necessary U.S. reporting requirement regarding cash, most reputable offshore banks willnot accept cash deposits; the reason being that they need to know the source of the funds. Because cashis not easy to document, they just say no. The days of investors arriving on a small Caribbean air strip

with a suitcase or two of cash are gone.

The Sovereign Societys Select Bank AccountPartners

Over the years, The Sovereign Society has discovered severalbanks around the world, which may suit your particular offshoregoals. These include

1. EFG Investment BankStockholm/huvudkontor

Engelbrektsgatan 9-11114 32 Stockholm

Sweden

Tel: +46-0-8-459-64-00

Fax: +46-0-8-662-21-50

Email: [email protected]

Website: www.efgfk.com/english/about/index.html

Minimum Balance: US$100,000 or equivalent

14

Don't StructureYour Deposits!

It is a crime to break up cashtransfers into smaller amounts withthe intent of avoiding theUS$10,000 reporting requirement.

It's called structuring. A series ofsmaller transfers under US$10,000will attract the bank's attention. Infact, most U.S. banks now haveautomatic software programs thatconstantly review banking accountuse patterns.


17/22

2. European American Investment Bank AGContact: Mr. Andrew Griebl

Palais Esterhazy

Wallnerstrasse 4

1010 Vienna

Austria

Tel: +43-1-512-38 80-430Fax: +43-1-512-38 80-888



3. EverBank11 Oval Drive, Suite 107

Islandia, NY 11749

U.S.A.

Tel: +1-800-926-4922Fax: +1-888-882-6977


Website: www.everbank.com

Minimum Balance: Each currency has a minimum of US$2,500, except the Chinese Renminbiaccount requires a US$10,000 minimum balance.

4. Jyske BankContact: Mr. Thomas Fischer

Vesterbrogade 9

DK-1780V Copenhagen

Denmark

Tel: +45-33-787-812

Fax: +45-33-787-833


Website: www.jbpb.dk


5. LGT Bank

Contact: Mr. Marcel Feurer3 Temasek Avenue

#30-01 Centennial Tower

Singapore 039190

Tel: +65-6415-3829

Mobile: +65-9119-6930


Website: www.lgt-bank.com/pba/en/lgt_in_asia/singapore/

Minimum Balance: US$250,000, in addition client must have a total net-worth of S$2 million.

15


18/22


19/22

Christoph Zollinger, JD

Managing Partner

Mossack & Fonseca Co. Attorneys at Law

Panama City, Panama

Website: www.mossfon.com

Tel: +507 263 88 99Ritza Rodrguez, Asst. to Mr. Zollinger


NOTE: In order to open an account at most banks, you must go to the bank to meet with the account open-ing manager. In some cases you will need to go to the exact branch in the country in which you wish to openthe account or you may be able to make an appearance at a representational office of that bank where a staffmember can verify your documents and your identity. Most banks will not allow you to open and fund anaccount without a face to face meeting with someone on their staff or with a qualified intermediary that thebank approves.

A Few Caveats Before You Race Off to Open Your Account

Reporting Your Offshore Account.

Under no circumstances should you hide reportable income in your offshore account! Nor should youuse an offshore bank credit card as an unreported piggy bank to conceal income or personal expenses. It'sillegal - that's the plain and simple truth. The IRS has targeted the abuse of offshore credit cards and theirholders and many have been prosecuted.

If you are a U.S. citizen, you must tell the IRS about any offshore account over which you have director indirect control. This includes any international business bank accounts for which you are an authorizedsignatory. Under pain of perjury, you must reveal your account on your annual U.S. income tax return (IRSForm 1040), and you must complete form TD F90-22.1 by June 30th of each year. The TD F90-22.1should be mailed to the U.S. Department of Treasury, P.O. Box 32621, Detroit, Michigan 48232-0621.

Offshore banking solutions are not about avoiding your legal reporting obligations or evading taxes inanyway. Don't even consider it!

Make Sure You Speak to a Tax Professional First.

We can't say this enough, before you choose your offshore bank, make sure you speak to a qualifieddomestic tax attorney about your tax situation first. Make sure you ask how will your investments be taxedand what investments, if any, should be avoided because of the harsh tax consequences in the United States?Can you afford the fees and any onerous taxes that might occur? Also, ask your attorney about all yourreporting requirements and about any additional taxes.

17


20/22

18


21/22

19


22/22

Sov Soc Offshore Account 07

Documents

Transcript of Sov Soc Offshore Account 07