Category Offshore Banking

EU Banks Booking Profits in Tax Havens

March 27, 2017 International Tax CooperationOffshore Banking

Taxes on banksOXFORD – EU’s biggest banks are seeing millions of dollars being made in profits, in countries where they have no branches or staff.

According to the information contained a in a new report released by Oxfam International on March 27th, approximately a quarter of all profits and activity booked by the 20 biggest banks in Europe is booked through entities located in tax havens.

Oxfam suggested that the activity which is said to transpire in tax havens is actually booked through locations which have few, if any, any bank staff, and, therefore the proportion of profits moving through tax havens is well out of proportion to the economic realities of the bank’s business.

However, if the activity in the tax havens is real, then it would mean that the employees located in tax havens are, on a...

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Data Leak Exposes Offshore World

April 5, 2013 International Tax CooperationOffshore Banking

offshore jurisdictionsWASHINGTON D.C. – New documents and data have show the size and scale of the “offshore industry” around the world, shedding light on the vast and common use of offshore companies by individuals in over 170 countries.

On April 4th, following a 15 months long investigation, the the International Consortium of Investigative Journalists (ICIJ) unveiled the initial results of its analysis of over 2.5 million documents related to more than 120 000 companies, trusts and other business entities registered in jurisdictions that the group labels as “offshore”.

The documents, which were considered to be private, were leaked to the Consortium by an anonymous source, and primarily revolve around entities registered in the British Virgin Island and the Cook Island.

Within a day of the announcement by th...

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21 Trillion Stashed in Offshore Accounts

July 23, 2012 International Tax CooperationOffshore BankingTax Havens

Money hidden in offshore accountsLONDON – Taxpayers around the world have hidden away at least USD 21 trillion in tax havens, evading taxes of approximately USD 280 billion per year.

On July 22nd the international tax research group the Tax Justice Network released The Price of Offshore Revisited, a new report detailing the extent of undisclosed financial assets which are currently held in banks and financial institutions in offshore jurisdictions.

According to the Tax Justice Network, wealthy taxpayers from around the world have hidden at least USD 21 trillion of financial assets in accounts in tax havens, and the total amount could be higher than USD 32 trillion if the tally includes non-financial assets such as property and vehicles.

The Tax Justice Network suggested that the hidden wealth is having a significant negat...

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IRS Offers Tax Cheats the Chance to Come Clean

January 10, 2012 Offshore BankingOffshore TaxationTaxation in USA

Douglas ShulmanWASHINGTON D.C. – Following the success of previous US offshore voluntary disclosure programs, the US tax authorities are once again offering taxpayers an incentive to reveal information about any bank accounts they have hidden overseas.

On January 9th the US Internal Revenue Service (IRS) announced that it has initiated another Offshore Voluntary Disclosure (OVD) program for taxpayers to declare their hidden offshore assets in exchange for lowered penalties.

The new program started on the day of the announcement, and will continue indefinitely. Taxpayers making use of the OVD will be required to reveal detailed information regarding their previously undisclosed assets and capitals hidden in offshore bank accounts.

In exchange for revealing the information, taxpayers will avoid the possib...

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Swiss Bank to Disclose Client Data

November 11, 2011 Offshore Banking

Switzerland taxationBERN – Switzerland is set to feel another blow to its lauded banking secrecy rules, as the country’s second largest bank gets ready to release details of some of its clients to US tax authorities.

On November 8th, Swiss media revealed that Credit Suisse has sent out letters to a number of its American clients, stating that the bank will cooperate with US demands to release data of a number of US taxpayers with Swiss bank accounts.

The letters, which are reportedly dated November 2nd, indicated that the bank will disclose the names and bank details of clients who are under suspicion by US tax authorities of evading their US based tax obligations through undisclosed bank accounts with Credit Suisse...

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