a person gives up his residence, and the different qualification of such income in different countries, may yield tax savings through the carefully chosen timing of a change of residence. The same goes for vesting of shares and share options, the receipt of commissions, proceeds from the sale of certain assets such as the main family home, where in many countries special tax exemptions apply, the date of signing of agreements which have significant value, the timing regarding the establishment of trusts and foundations, and so on.
Health insurance
Arranging adequate health insurance is an important element in international residence planning – yet it is often overlooked. If someone moves abroad, their current health insurance policy will normally expire. One is then usually left with a choice of finding another local insurer in the new country of residence or turning to an international health insurer. It is highly advisable to take out an appropriate health plan at a younger age and before the first signs of ill health manifest. Even if you are very wealthy and think you do not need health insurance at all, you need to think again: a private health policy with an internationally recognized insurer and arranged through a competent specialized consultant,7 which gives you access to a 24 hour assistance service and a kind of medical family office can be extremely useful. It can even be critical if you have an accident in a remote part of the world and if the closest adequate hospital needs to be found in an instant, or to help you find and select the best doctor or clinic for a particular medical problem. Indeed, one of the first steps in a planned change of residence should be to obtain worldwide health cover which ensures the necessary international flexibility.
Checklist: Moving to another country
The following table provides an overview of some of the questions to ask when moving to another country.
Infrastructure
Transport and accessibility
How good is general accessibility in the country including public transportation, train connections, domestic air travel, and condition of the roads?
How good are the travel connections by road, air, rail or sea to other countries?
Utilities
Are the cost, access, quality and reliability of electricity, gas, water and waste services satisfactory?
Is public water clean/safe to drink?
Telecommunications, IT, Internet
Are the telephone systems, mobile phone networks, broadband internet access up to date? Are the quality and availability of IT-support services acceptable?
Access to services
How good is access to standard services such as local banks, post office, grocery stores, shopping malls, etc.?
Medical facilities
Are there reliable and modern hospital facilities?
Is there free access to medical services? Are there any waiting times? What is the access to medical specialists? Are private medical facilities available and is access restricted?
Social security
Is there a mandatory social insurance scheme? What is the contribution level and is it in fact an additional tax? Is there a mandatory health insurance scheme?
Infrastructure
Civic facilities
Are there civic facilities such as parks, playgrounds, city halls or public libraries available?
Entertainment
What entertainment, cultural, sport and outdoor activities are available? Is there a good choice of cinemas, restaurants, bars, clubs etc.?
Are there recreational clubs such as golf, sailing, polo and tennis?
Education
What is the reputation of local schools and universities? Is private education readily available? Are there international schools? How do the education system and the schools rank globally?
Child care
Are there good public day nurseries/after-school care facilities? Are private nannies and au-pairs easily available?
Physical Environment
Geographic location
Is your new home centrally located in the region; is there a larger city in the vicinity? If your home is in a large city, are green spaces and recreational areas easily accessible? Are there any issues/problems with neighboring countries that could lead to conflict or war?
Climate
Is the climate to your liking? Number of sunshine hours per year? Average temperatures (summer/winter)? Is the area prone to winds and changeable weather?
Pollution
How clean is the environment and what are the levels of pollution of air, water, soil etc.?
Natural hazards
Is the place susceptible to flooding, hurricanes, tornadoes or other storms, earthquakes, heat waves, avalanches, landslides or heavy snow?
Industrial hazards
Are there any nuclear power or chemical plants in your area? Are there other factories or production sites that may affect you? (Industrial smells, dust, hazardous products etc.) Is your new home located in the flight paths of nearby airports?
Business and Economy
Currency and capital restrictions
Stability of local currency, exchange controls? Are there export-of-capital restrictions?
Government and political stability
Is there a stable government and political environment?
What is the political culture like? Are there frequent protests? Strikes?
Cost of living
What is the cost of living? Are import duty exemptions possible?
Business and Economy
Banking and financial services
Are high-level banking services easily available?
Can the local banking and financial services industry support your personal investment and business requirements?
Trade restrictions
Are there trade restrictions that could hamper international business dealings (i.e. repatriation of capital restrictions)?
Copyrights and patents
Is there a robust protection for copyrights and patents?
Company governance
Is it easy to incorporate and operate a company? Are corporate laws, regulations, taxes etc. mature and efficient? Are minority shareholders’ rights protected?
a person gives up his residence, and the different qualification of such income in different countries, may yield tax savings through the carefully chosen timing of a change of residence. The same goes for vesting of shares and share options, the receipt of commissions, proceeds from the sale of certain assets such as the main family home, where in many countries special tax exemptions apply, the date of signing of agreements which have significant value, the timing regarding the establishment of trusts and foundations, and so on.
