Owning an Offshore Company is totally legal, it is like owning a Gun - a gun may be used for legal purposes such as Self-Defense, or for illegal purposes like robbery or illegitimate killing - so what is illegal is how you use it.
Offshore companies have plenty legal uses, including, but not limited to, asset protection, tax avoidance and international tax planning, access to foreign investments and business opportunities, bypassing capital controls, or carrying any legal business activity.
Some countries, depending on their tax law, might require tax residents to disclose the ownership of foreign entities, regardless if these are formed in a tax haven or in a high-tax country. So for example, if you are from the USA, and you own a company in Spain, as you are required to report interest in foreign entities / offshore entities, you are supposed to report the ownership of these entities. Factor to determine if you are supposed to report this ownership will depend on aspects like ownership percentage.
So the crime would reside in not reporting the ownership of these entities if you are required by law and how you use them, but it is legal to own it and use it in the correct way, even if for reducing your taxes.
Jean Franco Fernandez Clark
Founder & CEO
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