Bringing/transfering money from Belarus to US

[viking]

Need some advice here. My wife is going to be selling a flat she owns in Belarus. Other than stuffing dollars in your socks, what is the best/least expensive way to get that money back to the US. Thanks.

[facetrock]

 I have a paypal account you can send it to  
 
I honestly think I would bring as much cash back as I possibly could. No trail for anyone to follow and the cheapest.

[mendeleyev]

Easiest way to lose the money: Crossing into the USA with more than $10K undeclared on your person or per couple. That is an automatic flag for drug trafficking and usually results in seizure of the funds.

You may export any amount out of Belarus as long as amounts over $10K are declared upon exit. Declare it and get a receipt so that upon entry to the USA you have proof that the funds left Belarus legally, otherwise you risk seizure at US Customs. http://gtk.gov.by/en/persons/new_url_1116469505

Exporting cash over $10K requires special permits and you'll want to obtain one thus making it safe to reenter the USA with more than $10K. You must declare the amount at customs when entering the USA. http://help.cbp.gov/app/answers/detail/a_id/195/~/currency-%2F-monetary-instruments---amount-that-can-be-brought-into-or-leave-the


Another way to transfer the money without hiding it in your socks: find a European bank in Belarus that has a "correspondent" relationship with a US bank. That may be difficult.

[Faux Pas]

Need some advice here. My wife is going to be selling a flat she owns in Belarus. Other than stuffing dollars in your socks, what is the best/least expensive way to get that money back to the US. Thanks.

Maybe not the "cheapest" way but certainly the safest would be to have it wire transferred to her/your account in the U.S. while you are still in Belarus. It's not overly expensive and you can make sure it is done before departing. Most any bank in Belarus can wire money to the US I am guessing. Not that big of a deal

[mendeleyev]

FP, that is certainly the simplest solution. Perhaps I'm wrong but are there restrictions on wire transfers between Belarus and the USA now? For some reason I was thinking there were some issues. Hope I'm wrong and you are right.

[ML]

There are problems getting money into and out of many countries of the world.

Even employees of huge multinational firms frequently just carry $9000 or so into and out of . . . to avoid the hassles and time delays (of wire transfers, etc.) that hinder quick trips.

I hear rumors that drug dealers may even do the same.

[Faux Pas]

FP, that is certainly the simplest solution. Perhaps I'm wrong but are there restrictions on wire transfers between Belarus and the USA now? For some reason I was thinking there were some issues. Hope I'm wrong and you are right.

There is minimal paperwork and limits per transaction for any wire transfer (depending on how/what you pay). Different countries have different regulations but most are within a certain parameter to do business internationally. If a bank does not do international business themselves they are generally affiliated with a bank that does. Few banks can survive without such a connection.

I do not know what the restrictions between Belarus and the US are right now. It would be best to approach a non government bank in Belarus to find out. Rest assured, they know how to get the money out without the flags. For a fee I am certain.

edit to add: Depending on the amount of the money, it might even be advantageous to open an account in a country that has less restrictions on Belarus or vice-versa transfer it and move it from there. It really all depends on how much cash we're talking here. The Swiss, Caribbeans, and a few other generally are wide open to such assistance. 100K moves much simpler and cheaper than does 1 mil

[facetrock]

  You start wire transferring money you leave a nice trail. I am pretty sure there are tax consequences when wiring cash into the USA. So if she sells the flat put the money in a Belarus bank and on each trip back load up with about 9K. Might take a few trips but what the hell, no trail no taxes.

[alex330]

Purchase one of the virtual currencies, sit on it for a little until the exchange is good and cash in for a additional profit?

[Faux Pas]

facet, money trails aren't necessarily a bad thing. Just having and moving money doesn't make it taxable. Attempting to hide it and getting caught can be as damming and much more expensive than paying tax on it. No way to give any sage advice without knowing some particulars mainly, how much we're talking.

[Boethius]

If the cash ever hits a US bank account, it will be "discovered" in the U.S.  There may be no tax on it, if its original cost and the sale price are roughly the same.

[Faux Pas]

If the cash ever hits a US bank account, it will be "discovered" in the U.S.  There may be no tax on it, if its original cost and the sale price are roughly the same.

Flags are raised on anything over 10K but, that doesn't mean it's taxable. Millions of international transactions exceeding that happen everyday. This is where a good money man or an accountant are literally worth they're weight in gold. Moving it from a country with a dictatorship though does add some twists and makes it dicey

[mendeleyev]

Figuring that the IRS would not be available by phone as they're busy having million dollar conferences, targeting opposition groups, out buying porn, baby clothing and diet pills on government credit cards, I instead did a "Google" and sure enough the USA has a tax treaty with Belarus (and all former Soviet states) so taxes paid in Belarus should be sufficient to avoid double taxation.

As FP says, a good money expert who has knowledge and experience in dealing with such transfers might be advisable if the amount is significant.

[Boethius]

I looked at that treaty, and it doesn't cover real property as it is the old USSR treaty.  However, if the sale price of the apartment is not significantly higher than the price when Mrs. Viking left Belarus (i.e., its "original cost"), there shouldn't be much, if any tax on the property in any event.

[viking]

The facts. In Belarus all flats are owned by the state. You privitize them ( to become an owner) by buying it from the state. This cost, using round numbers may be as high as $5K. Once owned, she can sell it for around $35-40K.This is an older soviet era style flat. I do not know if taxes are paid up front at the closing of the sale, but at some point there will be taxes paid. The net profit goes into a bank. Now...how to get it from there to here. She can return with $10k cash ( I know she will be very uncomfortable with this), and her son will go there in a few months and he can return with another $10K, but that still leaves a similiar amount sitting there for maybe another year until yet another trip is planned. Would rather have it here in some type of CD ( as poor a return as that may be) rather than sitting in a bank over there.

[Faux Pas]

The facts. In Belarus all flats are owned by the state. You privitize them ( to become an owner) by buying it from the state. This cost, using round numbers may be as high as $5K. Once owned, she can sell it for around $35-40K.This is an older soviet era style flat. I do not know if taxes are paid up front at the closing of the sale, but at some point there will be taxes paid. The net profit goes into a bank. Now...how to get it from there to here. She can return with $10k cash ( I know she will be very uncomfortable with this), and her son will go there in a few months and he can return with another $10K, but that still leaves a similiar amount sitting there for maybe another year until yet another trip is planned. Would rather have it here in some type of CD ( as poor a return as that may be) rather than sitting in a bank over there.

The remaining could be converted to some precious metal or stones and exited on either trip as well. Just a thought

[SANDRO43]

Would rather have it here in some type of CD

Because that money is music in your ears ?

[facetrock]

So.. According to Boethius there will be about 30 to 35K in taxable income. I'm assuming Belarus has some kind of tax. Not sure what the tax consequences would be if it was wired to a US bank account but I would think there is some kind of tax disguised as a fee.  I would also think it would add to your taxable income for the year. I don't think the IRS will care where the money came from. Its in your account and that equals income and income equals taxes. Now maybe there is a way through the tax treaty to get around paying taxes. I don't know what kind of paper work you would need to prove it to the IRS. Might be one huge time consuming bribe filled hassle.
 
For 30K I would play ATM machine on the trip home. Use it for spending money and never let it touch a bank. Some here might not agree with me but to each his own.

Gold might be a good way to bring it back as in coins. Not sure if you can get them in Belarus or take them out. Some countries I think its illegal to take gold out. That might be riskier than cash.

Gemstones. They loose about 80 percent of their value once you walk out of the jewelry store.