So you think Chinese investors using ill-gotten cash intentionally over-build units in Cambodia and fallaciously inflate their actual hotel/apartment occupancy rates only to then increase their tax liability in China when they legally repatriate their foreign-earned income?testytesty wrote:Second is if the money is genuinely illegally gained, the illicit cash or money-wished-to-be-removed-from-China is then funnelled in with the regular earnings. Same goes for apartments in the sense that the rent collected will be lower than the claimed income. TEFOL teacher grumbles into his beer and pays his $300 pm cash in hand and then the official rent of $400 is taxed, the extra hundred coming from China. Or they fake some TEFOL tenants, so there are 120 people renting in an apartment block with 150 "occupants". Now the Sino-expatriate can go back to China and says that income is all above board in Cambodia, you can only touch me if you institute extraterritorial US tax laws. The oversight in Cambodia will be significantly less if you were to pull a scheme than it would be with a Canadian apartment block.
I don't see that happening, but who cares.