thinking about moving my business to Czech Republic or Cyprus
 

I'm thinking about moving my business to a low(ish) tax jurisdiction.

I am European and I am considering Prague and Nicosia.
I know there are a lot of adult affiliate marketers living there and I have a couple of questions, that I hope some of you guys can answer, before I start talking to accountants.

Can you give me a rough breakdown of tax liability and cost for social security and health insurance?

I read an excellent explanation by MaDalton about the CZ system the other day. But paying a total of 19% in tax seems like aggressive tax planning, or is this common in CZ?

And the second thing would be regarding Cost of Labor.
How much would I roughly have to pay for an employee to do simple work that needs no higher education, and will be taught on the job. (Wages and payroll taxes)

thx

What is your business? just affiliate marketing or something else?

why not having company on both sides?

We are based in Prague but also with open company in Cyprus.

If you need more info and help contact me via icq or skype

Yes i know one company which doing in it Prague and Gibraltar.

just affiliate marketing

thanks for the offer :)
i`ll get in touch with you tomorrow

The costs or labour in Czech - if you want to employ somebody full time you have to pay about the same amount as what you want to pay as a salary for social and health insurance. So a $ 1000 salary would cost you approx. something below $ 2000.

I strongly encourage that you hire somebody (who has a business registration) on case by case basis instead.

Since when is CZ lowish tax jurisdiction? Pretty average comparing to other European countries.
Ps: if what Carlos says is true, than - even above average. Usually in EU it would be something like 1000 and 1600.

I dont know for other EU countries,but it is cheaper then Croatian worker.Plus you can use trick with hiring someone who have trade licence as Carlos said and problem solved.

then you don't need company. Just personal account. At least in Serbia (not Eu memeber).Split revenue to several people and don't pay taxes :)

Wow bro Wow!!!

up to the day when you get caught...

I always find it amusing when people complain about their politicians and their country but on the other hand do everything to avoid paying their share

you again don't know what you are talking about. You don't have to report revenue up to some,precisely defined amount. Nothing illegal in that. For now, I guess it will be changed if serbia is forced in EU. There are also advantages, I think if you open company and hire 10 people you are paying only for three of them. Something like that.

You do not need a company in many EU countries for that. There are things like "self employed" or something like that. You just pay taxes on your income :)

precisely.

again?

maybe I understood that wrong but to me it sounded like you are suggesting to avoid paying taxes by dividing your revenues among several people to stay under the individual threshold. and that would be cheating - in case those people have nothing to do with the money you earn.

anyways - what do i know - i only run my own companies for 10+ years and of course you guys understand much more about making so little money that not even taxes apply than me

for the rest I refer to my post the OP has cited

LOL @moving biz to cz, that's not Costa Rica :))))

Again, yes...you probably don't remember what is not strange since you are posting every day on tons of various themes (where do you find time for that I don't get it but it is not my problem when I look better). Anyway, guy is trying to save money. I've just gave him one option. If you call it cheating, that is up to you. I guess you are also calling cheaters everyone that are doing business in tax heaven or trying to save own money.

It is your choice, there are always servile part of population that will always do as ordered. And when you are mentioning 10 years and companies, If you want (and have time), send me PM to show you some project to get a better picture about doing business . It is not for public writing.