Going off grid! Disappearing requires a lot of paperwork!
I've been working on my plan to become a perpetual traveller and I thought I would share a little of my progress with you.
First I'll try to explain the plan in it's current state...
I have found a place to live for the majority of the time. Campione seems to have the most of what I'm looking for. It combines the best of both Switzerland and Italy and is pretty much left alone by both countries.The currency is the Swiss Franc and most services are Swiss. Lugano is just across the lake where I have access to the best Swiss banks. Italy is a mile away as the crow flies, (but about a 15 mile drive on winding hilly roads) and Milan is a short drive further. Income and capital gains taxes do not exist unless I decide to become an Italian citizen, and even if I do, they are half of what most Italians pay for the first 200,000 francs. Residency is as easy as buying property there (although property is very expensive) and there is no corporate tax, provided that I do not do business in Italy. If I want to do business in Italy, I just have to set up a second company in Switerland to avoid tax.
Most of the rest of the plan is still in limbo. I'm leaning towards St Kitt's as my plan B residency and primary citizenship, but I have a few concerns. The main concern is that I would have to make another significant real estate investment. In Campione, real estate is on par with Tokyo. I could buy the equivalent of a 1 bedroom apartment for about $300,000 and then have to pay another $30,00 for a place to park. Just to become a citizen of St Kitts, I would have to make another real estate investment of $250,000 plus about another $100,000 in fees. Now I could finance one or both places, but that interferes with my plan of individual sovereignty. The best thing is to have liquidity in a country in case you have to cut it loose. Also I have a couple of risks with my real estate in St Kitts. A risk of hurricanes and a risk of volcanoes. I'm not really worried about the hurricane risk, because houses there are built to withstand them to a point, but the volcano risk is a real risk. St Kitts has 1 active volcano that is overdue to erupt, but there is a small part of the island that is out of the danger zone. Unfortunately, that part of the island would be devastated by an eruption of the volcano on Nevis which is more overdue to erupt than the one in St Kitts. You don't always get a warnining with volcanos like you do hurricanes. St Kitt's will not tax me anything on foreign income either. If I go with St Kitts, I'll probably spend my winters there, and my summers in Campione. It get the best weather of both countries that way, and it keeps me away from St Kitts in the hurricane season. I can make a signicant rental income on both properties while I'm away, but both places will tax me on that rental income. I'm also thinking about investing in a small 30 room hotel in St Kitts. I could get year round income on 29 of the rooms and I have a feeling that real estate prices are only going to increase given the economic turmoil coming in the US and Europe. Also if I go with St Kitts, I have easy access to banking in Nevis.
The third part of the plan is a passport portfolio. This is going well, and I have a lot of options, but all routes will include a lot of paperwork, and a lawyer from that particular country. I'm really looking into making another investment of $150,000 and getting a diplomatic passport from a third world country. I have a lawyer working on this right now and although the passport isn't worth much as far as visas go, if I'm able to negotiate appointments to the US, (after renouncing citizenship) Italy and St Kitts, in the deal, it will be worth it's weight in gold for my indiviual soveriegnty. Diplomatic immunity would be huge!
Part 4 is a separate banking existance from both Nevis and Switzerland and I have a ton of options here, and only have to pick what I want.
Part 5 is another corporate presence and I think Panama will be my choice, due to anonymity. (Believe it or not a New Mexico LLC is running a close second when I renounce citizenship! They won't even ask me my name!)
Part 6 is the miscellanious stuff. I need a boat registered anonymously, and a Panama corp will take care of that. (If things get really bad and a country is trying to hunt me down, they are gonna have to play "Where's Waldo" while I'm on the ocean!) If I it in Vanatu, I won't have to pay any tax on it. I'll get Swiss plates for the car I buy in Campione. I haven't looked into health insurance yet, but I assume I'll need to buy something extra to cover me globally. The kids will be going to very good Swiss schools. I'll also need to spend some money on Rosetta Stone. I'll need to learn German and Italian and French would help as well.
Part 7 is a huge hurdle that I'm at an impass in right now. It's the transistion on my income. I'm totally determined to pay the US every dime of tax that I owe them when I walk out the door. The problem is that given a significant investment in real estate, passports, lawyers and relocating, the coffers will be running dry, and I have to make my income differently when I move, but I have a good business plan, (actually 4 business plans) to make money once I'm gone. The problem here is that if I establish this income before I leave, the US, the government could view it as an established US corporation that moved to dodge taxes. (Even if I opened up the company in another country) If I wait to establish income until after I renounce citizenship, I face a the chances of a slow cash flow while I'm overextended. I could use a little advice here, if anybody has any. For those of you that are about to post how I could dodge the government by not telling them about the offshore company, save your breath. I know how to do that, but choose not to. Part of my plan for individuak soveriegnty is that I don't become part of the problem before I leave. I refuse to be one of those people taking advantage of the the system enough to force someone like me to leave.
Obviously, this is still a work in progrees, but if any of you have comments or suggestions, I would be happy to hear them.