what are tax havens - please explain to me?

[ghostbuster]

Please explain to me what are tax havens ? I have read and read about many different offshore countries and jurisdictions all of them seem to be similar to each other. They offer 0% tax and some total privacy while others don't have any privacy any longer according to the OECD at least.

So my question is what makes a country or jurisdiction an tax ave and what are tax havens?

hope someone can shed light on this question.

 

[JohnLocke]

It's an synonym for Offshore companies and is covering lot's of offshorej urisdictions around the globe i.e. Belize, Seychelles, Mauritius, Cayman Islands, Bermuda and so forth.

 

[negon]

There is lots of information to be found already on Google Tax haven - Wikipedia, the free encyclopedia I think the number of tax havens in future will be more or less decreasing since more offshore jurisdictions as we know them today will comply with the OECD power body in fighting tax evasion.

 

[ghostbuster]

Thank you I just wanted it confirmed

 

[JohnLocke]

@auric explained it already very well. You will see the term tax haven used almost always when you discuss Seychelles, Belize, Panama and offshore jurisdictions similar. Also when it comes to offshore banking the term tax haven is used since most often all this is connected to avoiding tax or hide funds from governments and other authorities.

 

[aage]

Tax Havens will soon be history at least as we have known them so far!

 

[neilbhabuta]

Tax Heavens are countries that offer a 0% tax rate aswell as of shire banking. An example to Panama. Recently there was a big scandal in The UK with it being reviewed that David Cameron late father having an offshore bank account and avoiding tax on many millions of pounds.

 

[Jack Dui]

I think in recent future the term 'tax haven' will be an history. Worlds civil society took side against it.

 

[neilbhabuta]

I think in recent future the term 'tax haven' will be an history. Worlds civil society took side against it.

Yes... agreed. Tax Heavens will slowly die out.

 

[myshufflemix]

Tax Heavens are countries that offer a 0% tax rate aswell as of shire banking. An example to Panama. Recently there was a big scandal in The UK with it being reviewed that David Cameron late father having an offshore bank account and avoiding tax on many millions of pounds.

Is there a country that offers 0% corporate tax? Cyprus and Ireland offers it at 12.5% but not 0%.

 

[johnskywalker]

Tax Heavens are countries that offer a 0% tax rate aswell as of shire banking. An example to Panama. Recently there was a big scandal in The UK with it being reviewed that David Cameron late father having an offshore bank account and avoiding tax on many millions of pounds.

From what I've read, some countries doesn't offer a complete 0% tax rate but its also at an incredibly low rate. I don't think a country can survive with 0% tax rate since most of the government uses these Tax money for their needs such as building structures and etc. I mean who's insane enough that will use his own money for a government project?

 

[Sansa]

Yes... agreed. Tax Heavens will slowly die out.

I believe some part of it. But as the market of these tax havens continue to grow, I think they can still manage to grow rather than dying slowly. Just my opinion.

 

[deadpool]

As admin pointed it out, terms like tax havens or offshore is used interchangeably.

 

[SasxInc]

From what I've read, some countries doesn't offer a complete 0% tax rate but its also at an incredibly low rate. I don't think a country can survive with 0% tax rate since most of the government uses these Tax money for their needs such as building structures and etc. I mean who's insane enough that will use his own money for a government project?

Government can't run without tax as tax is the main source of government income.
Actually, investment is also necessary as tax for a government thats why, many government declared their jurisdiction as tax haven for foreigners.

 

[RamsayB]

Here is a good article to give you more information about what is a tax haven and why people are choosing these countries for their offshore business What’s a tax haven?

 

[infotrader]

A tax haven should essentially tick three important boxes

• It should offer foreign individuals minimal tax liability
• It should be a stable economical and political environment
• Little or no financial information should be shares with tax authorizes

 

[allan]

Total protection against revealing personal information towards 3rd party!

 

[MisterFree]

In short, TAX Heavens, as the name itself at the countries which have very low tax rate or none at all. These are the favorite spots of businessmen as they can incorporate their business in these countries because their profit will be much better than other countries.

 

[SirTycoon]

Tax havens can be describe as one of the stronghold of some big corporations and businessmen behind closed doors. As they can escape from taxes and financial regulations, they can continually grow their money with less loss.

 

[negon]

Tax havens can be describe as one of the stronghold of some big corporations and businessmen behind closed doors.

that's an possible explanation