Big Move for Peter Schiff; He's Heading to Puerto Rico

By Chris Rossini

Bloomberg BusinessWeek reports:

“I’m worried about the shifting mentality among the electorate, people blaming problems on the rich, on business, and on capitalism,” says Peter Schiff, a onetime candidate for the U.S. Senate from Connecticut and a former economic adviser to libertarian presidential hopeful Ron Paul. “I’m afraid that the tax rates that are already high will get higher in the years ahead,” maybe up to 60 percent or 70 percent, he added.

Schiff, who runs Westport (Conn.)-based brokerage Euro Pacific Capital, relocated his $900 million asset management arm from Newport Beach, Calif., to San Juan in 2013. He plans to move to the island within the next several years. (For now, a son from a first marriage is keeping him in Connecticut.)

Several months ago, Robert Wenzel wrote in The EPJ Daily Alert:

I have for decades felt that PR (Puerto Rico) was an undervalued opportunity, given its great climate, its proximity to the continental U.S. and its natural beauty. But I have also felt that the PR government has always been heavy handed and bureaucratic, if that ever changes watch out.

The BusinessWeek piece continued:

Under Puerto Rico’s new rules, an individual who moves to the island pays no local or federal capital gains tax (capital gains are charged based on your tax home rather than where you earn them) and no local taxes on dividend or interest income for 20 years.

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Chris Rossini is author of Set Money Free: What Every American Needs To Know About The Federal Reserve. Follow @chrisrossini on Twitter.