Americans Hoping To Hide Cash Offshore Look To Singapore, Hong Kong, Cayman Islands

The days of Switzerland being the secret banking capital for the wealthy appear to be waning, as tax advisers are recommending Singapore, Hong Kong, and the Cayman Islands in light of recent cooperation between Swiss and U.S. officials. While no firm data is available, capital appears to be flowing to these three countries at a quickened pace. In all, the non-profit Tax Justice Network estimates somewhere between $21 trillion and $32 trillion is hidden in overseas bank accounts.

Given the current air of austerity, governments around the world are looking to increase revenue and tracking down these large sums has become a favored method. Since 2009, the U.S. government has recovered $5 billion in taxes from 38,000 individuals after a lengthy investigation in which Swiss officials surprisingly aided. After that landmark event, the Swiss apparently have continued helping the Justice Department.

Since then, U.S. authorities have aggressively pursued Swiss banks they suspect of sheltering American tax cheats. A pending deal described by Justice Department officials on Wednesday between U.S. and Swiss authorities could provoke another surge of recovered tax dollars, [Jeffrey] Nieman said. The agreement would require Swiss banks to disclose records showing outgoing transfers from American account holders. Authorities likely will use that information to pressure financial institutions in other popular offshore destinations, he said.

Despite the recent and looming crackdowns, some $2.1 trillion is suspected to be stashed in Swiss bank accounts, far and away still the most popular by deposit size. According to Boston Consulting Group, Hong Kong and Singapore banks combined hold roughly half that amount.

Floating Path explores economic and cultural phenomena, and hopes to educate, inspire and provoke. Discover their wide range of daily content here.

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

The Best Movie Sountracks Ever

The Highest Grossing Musicals on Broadway

The Most Successful Reality TV Stars

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!