Have you ever wondered where the biggest tax havens in the world are located? Tax havens are places in the world where money is largely shielded from taxes. You could think of them as secret jurisdictions, which have international mandates aimed for the primary benefit of non-residents. These jurisdictions create regulations designed to undermine the regulations of other jurisdictions, and develop legally-backed veils of secrecy to protect the identity of people within their regulatory system. Moreover, money movements can be done in large quantities, with total discretion and privacy.
When it comes to people’s savings, some prefer to keep money stashed under the bed, or save it for retirement, while other people prefer to invest it and maybe start a business. There is no doubt some businesses are more profitable than others. Taking a look at The 7 Most Profitable Businesses You Could Start, it is clear that a successful business plan includes choosing the right industry, at the right time, and indeed, making an accurate market analysis. Yet some businesses have higher net profit margins than others. An outpatient care center or payroll service has the highest net profit margins within their industries.
In this list we’ve gathered information regarding the biggest tax havens in the world. Over the past years, numerous governments have tried to tighten their regulations, seeking to control tax evasion within their territories as public outcry has risen over major corporations not paying their fair share of taxes. Nevertheless, these regulations, despite introducing some strict dispositions in numerous countries, weren’t able to keep people from choosing other financial havens to evade taxes and use offshore accounts.
This list on the biggest tax havens in the world was created using the criteria developed by the Financial Secrecy Index, of the Tax Justice Network, which takes into account different key indicators of opacity, from formal banking secrecy, to the characteristics of bank accounts. This index reveals that some of the world’s most important “tax havens” are not small islands in the middle of nowhere, but rather some of the world’s biggest and wealthiest countries. Take a look at our list and find out about these financial paradises!