Top 5 Offshore Tax Havens in the World

In this article, we take a look at the top 5 offshore tax havens in the world. For a detailed overview of the top offshore tax havens worldwide, go to the Top 15 Offshore Tax Havens in the World.

5. Luxembourg

FSI Value: 804

The territorial tax system of Luxembourg makes it an ideal tax haven for offshore companies. Non-resident and foreign entities are only taxed on income earned within the country. Moreover, its status as a core EU nation with a sound economic and political environment, as well as a high level of financial secrecy, makes the country highly attractive to foreign businesses. 

However, Luxembourg’s tax environment has enabled numerous foreign corporations to cut huge tax bills, which has led the country to be accused of hosting 55,000 offshore companies and facilitating tax avoidance.