============================================
THE SOVEREIGN SOCIETY OFFSHORE A-LETTER
Your Link to Freedom, Privacy & Prosperity in the Offshore World
Friday, August 1, 2003 - Vol. 5 No. 91
============================================
In This Issue:
* COMMENT: More IRS Newspeak
* OFFSHORE: Bermuda Change. Bahamas Survey. Swiss Banks. Asian Money Flow. Hong Kong Leader. Cyprus No Haven. Gibraltar News.
* WEALTH: FLPs in Trouble? Big 5 Upheaval. Yuan Value. EU COL.
UBS Sued. US Deficit. UK: Taxes, ML Rules, Expat Appeal.
* PRIVACY & RIGHTS: Terror Futures Dead. ACLU PATRIOT Act Suit.
Gambling, yen chips, face value, US expat terror warning.
============================================
* ADVERTISEMENT *
The Secret to Common Sense Profits of $20,302 in 42 Days
Safe investing doesn't have to be boring -- and it could lead you to triple-digit profits. Let one of the best investment advisors we know show you how to consistently make home-run profits without abandoning common sense. Join today, and you could triple the value of your portfolio in the next 12 weeks.
LINK: http://www.agora-inc.com/reports/CNS/AbsoluteWealth/
============================================
COMMENT: More IRS Newspeak
Dear A-Letter Reader:
We've said it before and we'll say it again. The old saying is: "Figures don't lie, but liars do figure."
The US Treasury's success at cracking down on alleged offshore tax dodging was called into serious question this week after it was revealed that a much-touted amnesty program has recovered less than $1 million in unpaid taxes.
Equally embarrassing to the Internal Revenue Service, in 2000 the agency officially estimated that 505,000 US persons had unreported offshore bank accounts. But only 1,299 taxpayers fessed up as of June 30, and of
$3.3 million assessed in unpaid taxes, the IRS has collected just $744,546 -- at a huge cost of $56 million in administrative expenses.
Deja vue all over again; the usual effective government, IRS style.
It hardly inspires confidence when America's tax collection agency consistently plays fast and loose with numbers in their phony PR campaigns to scare taxpayers. Example: the IRS admitted in testimony before Congress last November they were able to show only 82,100 taxpayers had unreported offshore accounts, not the 505,000 claimed.
The IRS numbers game is exposed further when one compares the less than $1 million amnesty collection with spurious IRS past claims,to wit: in May 2001 the IRS, demanding federal subpoenas for thousands of offshore credit card accounts, claimed offshore tax evasion costs the government $20 billion to $40 billion in 2000 alone!
This entire propaganda exercise in Big Brother newspeak is aimed at curbing the legal rights of Americans to have offshore bank and investment accounts. The IRS hates to have anyone beyond their greedy grasp. Thus "offshore" has become the IRS punching bag, and a juicy source of publicity from a complicit, unquestioning news media.
That's the way that it looks from here.
Bob Bauman, Editor
============================================
COMMENT LINKS:
* US offshore tax amnesty recovers only $1m. LINKS:
http://news.ft.com/servlet/ContentServer?pagename=FT.com/StoryFT/FullStory&c=StoryFT&cid=1059478565798
http://accounting.smartpros.com/x39852.xml
* The IRS propaganda point of view.
LINK: http://www.irs.gov/newsroom/article/0,,id=110092,00.html
* More IRS indictments for sham trusts used for tax evasion. LINK:
http://www.signonsandiego.com/news/metro/20030729-1804-taxindict.html
============================================
* OFFSHORE *
NEW BERMUDA CABINET TAKES OFFICE
HAMILTON: Cast of characters changes after PLP party revolt. LINK:
http://famulus.msnbc.com/FamulusIntl/reuters07-30-120816.asp?reg=AMERICAS
* Bank Of Bermuda Launches South African Joint Venture.
LINK: http://www.tax-news.com/asp/story/story.asp?storyname=12800
* IMF survey: $280 billion in foreign assets under BAHAMAS management.
LINK: http://www.tax-news.com/asp/story/story.asp?storyname=12817
-----
SWISS PRIVATE BANKS UNDER PRESSURE
But Swiss still control 1/3 of all offshore wealth & assets.
LINK: http://www.reuters.com/newsArticle.jhtml?storyID=349709
* Private banking, offshore funds seen shifting to Asian banks.
LINK: http://www.reuters.com/newsArticle.jhtml?storyID=349710
-----
HONG KONG STILL ASIAN LEADER
China's window on the West is still the major Asian fund center.
LINK: http://www.tax-news.com/asp/story/story.asp?storyname=12816
* SINGAPORE steps up fight against dirty money. LINKS:
http://www.forbes.com/business/newswire/2003/07/31/rtr1044340.html
http://www.bday.co.za/bday/content/direct/1,3523,1400721-6078-0,00.html
-----
MORE PROOF CYPRUS IS NO LONGER A TAX HAVEN
Island abandons tax haven status to please EU, OECD demands.
LINK: http://www.tax-news.com/asp/story/story.asp?storyname=12794
-----
NEWS ABOUT GIBRALTAR
* LONDON: UK parliamentarians urge abandonment
of any Gibraltar/Spanish joint sovereignty plans. LINKS:
http://www.chinapost.com.tw/detail.asp?onNews=1&GRP=A&id=19952
http://www.tax-news.com/asp/story/story.asp?storyname=12799
* Growing up in Gibraltar; a UK expat kid's memories. LINK:
http://www.guardian.co.uk/arts/features/story/0,11710,1009311,00.html
============================================
* ADVERTISEMENT *
* Last month, I strolled into my boss's office and quit a job that pays
$81,000 and offers great benefits.
* What can I say? I received a better offer.
* Not a traditional offer from a company to work as an employee. But
it's an offer all the same. One that gives me the two things I've
always wanted: Freedom and Limitless Income.
* Now I live my dream, instead of somebody else's. I work in sweats and
slippers at home, the beach, or wherever I happen to be. And I choose
the hours I work.
* In my new business, everyday people earn $50,000 to $250,000 a year;
some earn much more. Here's how:
LINK: http://www.thewriterslife.com/kj/sovsoc1
============================================
* WEALTH *
FAMILY LIMITED PARTNERSHIPS QUESTIONED
Court ruling casts doubt on major US estate planning tool. LINK:
http://www.businessweek.com/smallbiz/content/jul2003/sb20030724_8932.htm
-----
THE BIG 5 ACCOUNTANTS UPHEAVAL
Scandal, fraud, tax evasion, new laws revolutionize accounting firms.
LINK: http://accounting.smartpros.com/x39854.xml
------
SHOULD CHINA REVALUE ITS CURRENCY?
Debate over revaluing the Chinese yuan is gathering steam. LINK:
http://www.businessweek.com/magazine/content/03_31/b3844078_mz014.htm
-----
COST OF LIVING IN EUROPE SOARS
LONDON: Strong euro drives up prices across continent. LINK:
http://news.ft.com/servlet/ContentServer?pagename=FT.com/StoryFT/FullStory&c=StoryFT&cid=1058868228710
-----
U.B.S. SUED FOR FRAUD BY TEXAS INVESTORS
SAN ANTONIO: InverWorld investors target Swiss bank in suit. LINK:
http://news.mysanantonio.com/story.cfm?xla=saen&xlb=180&xlc=1032714
-----
HUGE U.S. GOVERNMENT DEFICIT LOOMS
Tough choices and dramatic action need ASAP. LINK:
http://www.washingtontimes.com/national/20030729-093942-6675r.htm
-----
THE UNITED KINGDOM:
* Increased taxes are now certain. LINK:
http://www.thisislondon.co.uk/news/business/articles/timid65991
* Life insurance is one way to cut UK tax bills. LINK:
http://www.telegraph.co.uk/global/main.jhtml?xml=/global/2002/09/09/fjers409.xml&sSheet=/global/2003/07/29/fin_home.html
* Expat pensioner appeals to House of Lords.
LINK: http://news.bbc.co.uk/2/hi/business/3110479.stm
* UK anti-money laundering rules are a major mess. LINK:
http://news.ft.com/servlet/ContentServer?pagename=FT.com/StoryFT/FullStory&c=StoryFT&cid=1059478567596
============================================
* PRIVACY & RIGHTS *
PENTAGON FORCED TO KILL TERROR FUTURES MARKET
Idiotic futures market idea dead in the water. LINKS:
http://www.nytimes.com/2003/07/30/politics/30TERR.html
http://www.boston.com/dailyglobe2/211/editorials/Poindexter_s_policy_bracket+.shtml
-----
A.C.L.U. FILES SUITS AGAINST PATRIOT ACT
Seizure of Business Records Is Challenged. LINKS:
http://www.cnn.com/2003/LAW/07/30/patriot.act/index.html
http://www.washingtonpost.com/wp-dyn/articles/A4699-2003Jul30.html
* FBI wants more wiretapping power over Internet phone calls. LINK:
http://news.com.com/2100-1028_3-5056424.html?tag=fd_lede1_hed
* RUSSIAN government takes eavesdropping into digital age. LINK:
http://www.russiajournal.com/news/cnews-article.shtml?nd=39722
-----
* US anti-Internet gambling bill aimed at offshore betting. LINK:
http://cbs.marketwatch.com/news/story.asp?guid=%7B9BCFA96B-FA55-4EF4-98AD-18CAB4506434%7D
* Paypal fined $10 million in offshore payments dispute. LINK:
http://www.businessweek.com/technology/cnet/stories/5055237.htm
----
* JAPAN's yen will have radio chips in currency.
LINK: http://www.theregister.co.uk/content/55/32061.html
-----
* New passports may be taken at face value. LINK:
http://straitstimes.asia1.com.sg/singapore/story/0,4386,202218,00.html
-----
* US expats in fresh terrorist threat warning. LINK:
http://www.expatica.com/france.asp?pad=278,313,&item_id=33128
============================================
THE SOVEREIGN SOCIETY OFFSHORE A-LETTER. *
Bob Bauman, Editor. * SUBSCRIBE FREE or send to a friend at
LINK: Home
Please DO NOT respond DIRECTLY to THE A-LETTER.
Send E-mail to: INFO@THESOVEREIGNSOCIETY.COM
============================================
We cannot certify the absolute accuracy of articles referenced nor do
we necessarily endorse products advertised herein. LINKS to sources
are active as of this date; however, not all sources maintain LINKS to
stories indefinitely. Some LINKS may require free registration or paid
subscriptions for access.
============================================
THE SOVEREIGN SOCIETY Ltd., 5 Catherine St., Waterford, Ireland
TEL: 353-51 844 068 FAX: 353-51 304 561
Copyright (C) 2003. All domestic & international rights reserved.