I'm a German citizen, but have been living in various EU and non-EU countries. I usually do remote freelance work. Since I don't live in Germany, I don't see the point why I should pay the high taxes there and am considering to incorporate in another country, e.g. Cyprus (EU member state, 10% profit tax).
What I'm now wondering about, is, what are the pitfalls: do I have to pay taxes somewhere else other than in Cyprus? I don't expect to stay in a country longer than 3-6 months before moving on to the next. My job gives me the possibility to work from anywhere, only requiring a laptop and Internet. Therefor I'm not really a resident anywhere. At least for now. One day I might get sick of traveling, though. But for now it is like that.
My money would basically sit in a bank account in Cyprus, but I would have to move some money to Germany once in a while, because I have a private pension fund there. But it's very little. Other than that I would only need the cash I take out of the ATM in whichever country I currently am.