Re:The Program - Start-Up Chile – Entrepreneurs Welcome
by fierarul on Monday February 21, 2011 @05:20AM
(#2244952)
>The business environment is good.
What do you mean by this?
>* legitimate expenses made to foreign companies are not subject to the fees you describe
If legitimate means there is some bureaucratic mechanism behind to justify those expenses, it would be a problem if the red tape is too much to bear.
>* income earned abroad by new residents to Chile is not taxed for three years (!!!)
This is nice.
>Practically, start a foreign-incorporated business to collect payments internationally and start a Chilean company to hire local staff and cover development costs in country.
This might be subject to some transfer pricing reviews.
>If your Chilean business makes such an embarrassing amount of money that you cannot spend it, then congratulations! You can spend some of your profit to restructure.... :)
I might be old-fashion, but I believe a company is supposed to pay dividends (hence my concern about taxation). But I guess that if you are running a startup, paying dividends is the least of your problems, staying liquid is the name of the game.
What do you mean by this?
>* legitimate expenses made to foreign companies are not subject to the fees you describe
If legitimate means there is some bureaucratic mechanism behind to justify those expenses, it would be a problem if the red tape is too much to bear.
>* income earned abroad by new residents to Chile is not taxed for three years (!!!)
This is nice.
>Practically, start a foreign-incorporated business to collect payments internationally and start a Chilean company to hire local staff and cover development costs in country.
This might be subject to some transfer pricing reviews.
>If your Chilean business makes such an embarrassing amount of money that you cannot spend it, then congratulations! You can spend some of your profit to restructure.... :)
I might be old-fashion, but I believe a company is supposed to pay dividends (hence my concern about taxation). But I guess that if you are running a startup, paying dividends is the least of your problems, staying liquid is the name of the game.