Beyond Territorial Tax: The “Triangular” Standard
Nuno Freitas • January 3, 2026
Maybe you need a foreign entity to legally optimize you taxes
The “Triangular Structure” is now the benchmark for EU-based high earners seeking a balance between local life and global growth. By utilizing a local company for EU expenses and a US LLC for international income, you create a legal firewall that allows for profit deferral. This structure is particularly effective in jurisdictions with high progressive taxes, as it limits your local taxable base to what you actually “draw down” for living. The US entity acts as a treasury vehicle for reinvestment, provided all inter-company fees meet “arm’s length” market standards.




