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You might be surprised - for example, a very-well-compensated trial lawyer can avoid substantial amounts of tax (and convert it into LTCG) by creating an offshore-registered captive insurance company: http://www.jdsupra.com/legalnews/tax-reduction-and-deferral-...

It's expensive to set up & maintain one of those, so it's not worthwhile in the sub-$1m/year regime.

More: http://www.barthattorneys.com/Publications/Captive-Insurance...

"As part of an asset protection plan, captive insurance helps shield your business while working to reduce your insurance costs. It can even help you save up to $1.2 million a year free of income tax. "

(I love the "oh, and by the way, there might be this other little benefit, though we know you're just doing it to reduce insurance costs" tone of that one. :)




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