Secrets of Swiss Banking

HOYT BARBER is a renowned specialist in tax havens and offshore banking and has served as a financial consultant to clients worldwide. He has authored ten books, including Tax Havens Today, also published by Wiley. Barber is President of Barber Financial Advisors in Vancouver, British Columbia, Canada, a provider of offshore financial services, and the popular Offshore Evaluation Service. Visit the author's Web site at www.hoytbarber.com to learn more.

Preface ix

Chapter 1 Challenges and Threats 1

The Economic Front 3

Political Landscape 14

The Un-Patriotic Act 22

The New America 25

Personal Sovereignty and the

Urgency to Act 27

Chapter 2 Switzerland—Alpine Financial Oasis 29

Roots of Political and Monetary Stability 30

The Swiss Reject the European Union 32

Armadillo-Tough Asset Protection 33

Twin Democratic Republics 34

Bankers to the World 35

Bank Secrecy in a World of Transparency 36

Cloak and Dagger 40

Swiss Franc 41

Chapter 3 Where to Begin: Opening a Swiss Bank Account 49

Types of Swiss Banks 53

How to Select a Swiss Bank 58

Types of Swiss Bank Accounts 62

Other Swiss Banking Facilities 70

Opening Your Swiss Bank Account 71

Online Banking 78

Written Instructions to Your Bank 79

Perfectly Legal Secret Account 80

Tax Evasion or Tax Fraud? 81

Worried about an Audit? 82

Chapter 4 Investing through Your Swiss Bank 85

Stocks and Bonds 87

Swiss Bank Bonds 88

Forward Contracts and

Margin Accounts 89

Precious Metals 91

Foreign Currencies 105

Commodities 112

Warrants and Options 113

Mutual Funds and Electronic

Traded Funds 114

Real Estate Investment Trusts 115

Real Estate 116

Your Own Private Monetary Policy 118

Chapter 5 Banking Policies and Regulations 127

Swiss Regulators 128

Financial Actions Task Force 130

Money Laundering 130

Qualified Intermediaries 131

U.S. Taxpayer Requirements 133

Structuring 134

Tax Treaties 135

Chapter 6 The Ultimate Investment Plan 137

Secrecy Factor 139

Investment Safety 140

World’s Best Asset Protection 140

Swiss Legal Proceedings 142

Swiss Franc 143

U.S. Tax and Reporting Requirements 144

Tax-Deferred Earnings 144

1035 Tax-Free Exchange 145

Swiss Taxes 145

Compound Earnings and Interest 145

Swiss Portfolio Bond 146

Swiss Annuity 147

Swiss Life Insurance 151

Blacked-Out, Forbidden, and Little-Known Investment Opportunities 153

Chapter 7 Alpine Retreat for Business and Pleasure 155

Business Practices 156

Travel 158

Tax-Advantaged Residency 161

Immigration 163

Swiss Real Estate 164

Swiss Real Estate Investment Companies 165

The Swiss Company 166

Doing Business in Switzerland 167

Back Door to Switzerland 169

Chapter 8 The Best Alternatives to Switzerland 171

T-7 Tax Havens 172

Liechtenstein 175

Andorra 176

Austria 177

Panama 178

Belize 179

Saint Kitts and Nevis 181

Tax Information Exchange Agreement 182

Mutual Legal Assistance Treaty 184

Appendix A Swiss Banks 189

Appendix B Other Swiss Service Companies 249

Appendix C Resources 257

Appendix D Suggested Reading 261

About the Author 265

Index 267