There is so much conflicting information out there about Digital Nomads and tax. Why is it important to not believe everything hear about this? An explanation requires us to dissect the topic thoroughly.
Throw all your assumptions about tax out the window. Get up to speed with all things tax. Rise above the rest quickly and become the top dog of Digital Nomads.
Every key aspect of tax has been carefully considered before writing this. The challenge is laid down to us to leave you even more curious after reading this post.
Recent figures have shown a large spike in users researching tax with the Digital Nomad lifestyle, so let's dive into it.
Tax is something we all dread. It is money that we earn that doesn't stay in our pocket. It is money we pay to a government body so society can operate.
A close analysis of tax and Digital Nomads will reveal some fascinating insights that you may not be aware of.
Envisage how tax currently appears to you. Roll off a few words that resonate with you about tax.
Trying to avoid paying tax is a no-no. Trying to minimise your tax is a better strategy. Yet why do so many people get it wrong?
Exposing your own bias about tax is important to reaching an objective view.
Reach maximum enthusiasm? Perfect.
Without further delay, let's get stuck in.
Here is the first major consideration.
It is essential to claim deductions that minimise your tax payments.
There's no substitute for spending time on documenting your expenses when it comes to file your tax returns. It is essential to the Tax Office that proof be provided if they request it .
And like that, you already know more than most people. The next point is also key.
Some of the best Digital Nomad places to work in the world are in the Middle East and South America.
An important ingredient in this is that because they have Tax Free Zones, all your income stays in your bank account. In any event, a TFZ can seriously help you make big income as a Digital Nomad compared to other countries with a higher income tax rate.
And like that, you are learning more and more about tax. To the next point.
If you stay ahead in your tax then you may not be forced to face nasty surprises during tax time. It can be hard work out when you are ahead and when you are behind in the numbers.
However, the more you invest time in keeping on top of it and making sure your numbers are on track, the less pain you'll encounter late .
Considering the whole picture, it's clear there is more to learn. A sound understanding of the major considerations should now be cemented in your head.
And now you've doubled what your know.
You've reached the end of the line.
Any worries you maintained in the area of tax have subsided.
The main issues to retain are leveraging tax deductions, working in a TFZ (tax free zone) and staying ahead of your tax. Those basics will hold you in good stead.
Taking a moment to let this post set in will assist with information retention. At the moment, this stands as a nice little introduction in tax for you to ponder. What a pleasant topic it is.
Can you forecast the next big issue for tax? The answer is like trying to find a needle in a haystack. There's no doubt we will take a look at it.
You've done a fine job at obtaining these interesting insights.
We request one thing further. Don't be afraid to tell us what you think about it all.
There are plenty of other posts about Digital Nomads so have a look around.
Prepared by Work Play Nomad