I was just wondering if anyone here have any knowledge in regards to the tax issues on offshore capital gain tax on Australian controlled foreign company?
That is, if I control a foreign company in one of many tax haven countries and use it to manage, invest and trade the cash asset, do I, as the "controller" or "sole director" of the foreign company, be liable to pay any unrealised or realised capital gain tax on any income the company earned?
Please be aware of that I am not advocating any tax avoidance strategies here as I am fully aware of the Australian anti-tax avoidance laws. I am merely asking if the director of an Australian controlled foreign company, or the company itself, is liable to pay any CGT on any shares/currencies/whatever that it "trades" in the international market. I.e active business trading
I am aware of the New International Tax Arrangements (Participation Exemption and Other Measures) Act 2004
But it's all a bit complex to me so I am wondering if anyone here have prior knowledge and understanding of it could assist me.