Monetary disclosure means that multinational employers who used a Trust structure labeled as a Retirement Plan are now recognized by the IRS as non compliant and their U.S. employees are subject to back taxes, late filing fees and tax penalties.
Old methods of offshore investing no longer function
FATCA defines the difference between a savings account with a ”retirement plan” label on it and a government regulated, registered and recognized occupational retirement plan.
The old method of opening an offshore account and putting a ”retirement plan” label on it is not a government regulated, registered and recognized occupational retirement plan.
The comparison chart attached provides a list of the employee benefits a Multinational company achieves along with non disclosure reporting and government regulatory compliance globally.
Money Managers Market Size
Total AUM in retirement plans globally is 38 Trillion and of that sum U.S. retirement plans hold over 20.8 Trillion.
To capture globally multinational employees, U.S. and 3rd Country National retirement plan AUM.
- Securities Law Free; No territorial restrictions to investment choice. No restrictions, restraints or blockage of an in country broker / dealer or Securities Regulator.
- Tax Law Free: which is why I am telling you about this solution rather than your tax attorney or tax filer. No territorial restrictions to deferred income investing.
- Foreign Employer Deductible Contributions: No limit to the size of contributions transferred as a foreign company business expense deductible contribution to an employee benefit service agreement held by a 3rd party Hong Kong government regulated, registered and recognized retirement plan administrator.
- Exempt at the Foreign Financial Account exchange of information reporting level because it is W-8BEN-E box 29e registered and FATCA Identification Number regulated deemed compliant.
- Exempt at the individual reporting level because it is a deferred income regulated IRC 402(b) funded as a non vested retirement plan.
- Privacy & Secrecy by Hong Kong ORSO Section 77. Privacy & Secrecy in Statutory Law. Privacy & Secrecy occupational retirement plan registration IRS Form 8957 Foreign Account Tax Compliance Act and IRS W-8BEN-E box 29e exemption from reporting means no disclosure of beneficiary on U.S. Dollar transactions.
For the Foreign Financial Institution their client is this Foreign Retirement Plan Administrator which is has an exempt from reporting registration in the Foreign Account Tax Compliance Act
For the Employer this solution requires no Employer administration, fiduciary, regulatory, disclosure nor compliance responsibility.
For Employees it is flexible, accessible, portable, transferable and is internationally recognized as free from tax law and securities law.
One Plan, One Total Solution for Money Managers
We can effectively offer a one-stop-shop to address all employees pension issues.
This one plan delivers transparent compliance with regulatory disclosure required in the USA and all O.E.C.D. countries to include Canada, Mexico, European Economic Area and throughout Asia.
The 402(b) Administrator opens the Investment Account Platform, is deemed a professional investor, is the account holder and is exempt from FATCA withholding and reporting.
The wealth manager organizes the investment strategy with the Administrator and talks to the members as many times as necessary to manage the assets successfully.