[senorjazz]

Things have changed a lot in the last year with FATCA and other tax laws. Regardless of where the company is incorporated you will be taxed on where you do business (so if you live in Europe then your local tax office with ignore the fact the company is incorporated in an off shore tax haven and tax you as if it was local.

The next problem is getting a bank account, if you get a bank account in the offshore tax haven, it is hard for people to go business with you (paypal, payment processors). You could try and get a merchant account with your tax haven bank but this can be complicated and payments you put through may be rejected by the customers bank.

Thus you can try and get a bank in a better jurisdiction , however still paypal / payment processors won't touch you as want to know why your business / bank and you are all in different countries.

There are ways around this, but you need serious money to make it worthwhile.

As well, if you are from the US, things get even more complicated due to the IRS taxing US citizens in any way they can find out how to :)