Singapore is the tax haven increasingly favoured by the super-rich as traditional European venues buckle on bank secrecy.
The sweaty Asian metropolis was the setting for 'Rogue Trader' starring Ewan Mcgregor, an embellished history of Bearings Trader Nick Leeson's incredible 17Bn fraud.
Singapore also has the highest density of millionaires in the world.
More here
Monday, 15 December 2008
Tuesday, 9 December 2008
Professionals Dodging Taxes According to MP's Report
Although the black economy is not usually associated with 'professionals' - it seems they are well used to getting their hands dirty.
UK Revenue and Customs has disclosed that 57 barristers have been caught evading tax. Thirty-six reached a private settlement with Revenue and Customs and agreed to return £605,000 between them in unpaid tax and fines.
More here
UK Revenue and Customs has disclosed that 57 barristers have been caught evading tax. Thirty-six reached a private settlement with Revenue and Customs and agreed to return £605,000 between them in unpaid tax and fines.
More here
Monday, 8 December 2008
Offshore Financial Centres Not at Fault - Say Law Experts
According to American Law Professors, the roots of the financial crisis lie in the developed West.
Attacking the offshore sector may be politically popular in Paris, London and Washington, but it has nothing to do with resolving the global financial crisis.
More at FT
Attacking the offshore sector may be politically popular in Paris, London and Washington, but it has nothing to do with resolving the global financial crisis.
More at FT
Divine Wrath Directed at Tax Havens in Vatican Report
Pope Benedict attacks tax havens in a Vatican report - 'They have given support to imprudent economic and financial practices and have also played a significant role in the imbalances of development, allowing a gigantic flight of capital linked to tax evasion,' says the report. 'Offshore markets could also be linked to the recycling of profits from illegal activities.'
Does this mean good Catholics should abstain from investing offshore?
Does this mean good Catholics should abstain from investing offshore?
Thursday, 4 December 2008
Liechtenstein lifts bank secrecy in U.S. deal
FRANKFURT/BRUSSELS, Dec 3 (Reuters) - Offshore haven Liechtenstein has agreed a landmark deal with the U.S. to drop bank secrecy in cases of tax evasion and could make similar concessions in the European Union, a diplomat from the Alpine nation said.
Prince Nikolaus, a member of Liechtenstein's ruling royal family who brokered the deal, told Reuters on Wednesday the tiny principality had agreed a "significant" change to bank secrecy rules that entitles the U.S. to bank account information when probing a tax dodge.
Guardian article
Prince Nikolaus, a member of Liechtenstein's ruling royal family who brokered the deal, told Reuters on Wednesday the tiny principality had agreed a "significant" change to bank secrecy rules that entitles the U.S. to bank account information when probing a tax dodge.
Guardian article
Wednesday, 3 December 2008
Austrian Tax Evaders Prosecuted
Original Tax News article
Almost half of the 160 Austrians on trial for hiding funds in Liechtenstein are to be prosecuted.
It still remains to be seen what will happen to the Germans also caught in Lichtenstein. Germany is arming itself for further crackdowns on tax evaders, and is even calling for Switzerland (its main target)to be labeled an uncooperative tax haven by the OECD.
Almost half of the 160 Austrians on trial for hiding funds in Liechtenstein are to be prosecuted.
It still remains to be seen what will happen to the Germans also caught in Lichtenstein. Germany is arming itself for further crackdowns on tax evaders, and is even calling for Switzerland (its main target)to be labeled an uncooperative tax haven by the OECD.
Tuesday, 2 December 2008
Man loses £230k in Icelandic bank crash
A MAN believes he has lost his life savings of £230,000, which he fears have been wiped out by the Icelandic bank crash.
Brian Lewis (67), of Eider Close, Barton-Upon-Humber, had his money in an offshore account with Kaupthing Stringer & Friedlander bank (KSF) on the Isle of Man.
"My wife and I opened an account with Derbyshire Building Society's offshore bank over 16 years ago," he said.
"As I have worked away for 44 years the offshore bank made it easy for me to transfer my monthly salary payments from different parts of the world.
"Derbyshire was taken over by the Icelandic Bank Kaupthing Stringer & Freidlander."
Mr Lewis, who is an engineer, has been working in the Indonesia province of West Papua for three months and returned home last Tuesday, when he had planned to retire.
He said he had been looking forward to spending his savings with his wife Shelia (64).
"This was supposed to be my last working trip, but with all our savings gone, we only have two months' salary to live on," said Mr Lewis.
"I had planned to pay for my daughter's wedding next year, which at the moment just is not possible.
Mr Lewis learnt that because his savings were held on the Isle of Man, they were not covered by the rescue package offered by the British government.
He may eventually get some money back through a scheme on the Isle of Man.
Brian Lewis (67), of Eider Close, Barton-Upon-Humber, had his money in an offshore account with Kaupthing Stringer & Friedlander bank (KSF) on the Isle of Man.
"My wife and I opened an account with Derbyshire Building Society's offshore bank over 16 years ago," he said.
"As I have worked away for 44 years the offshore bank made it easy for me to transfer my monthly salary payments from different parts of the world.
"Derbyshire was taken over by the Icelandic Bank Kaupthing Stringer & Freidlander."
Mr Lewis, who is an engineer, has been working in the Indonesia province of West Papua for three months and returned home last Tuesday, when he had planned to retire.
He said he had been looking forward to spending his savings with his wife Shelia (64).
"This was supposed to be my last working trip, but with all our savings gone, we only have two months' salary to live on," said Mr Lewis.
"I had planned to pay for my daughter's wedding next year, which at the moment just is not possible.
Mr Lewis learnt that because his savings were held on the Isle of Man, they were not covered by the rescue package offered by the British government.
He may eventually get some money back through a scheme on the Isle of Man.
How to Buy Gold Anonymously
The financial crisis has put the spotlight on gold as a secure investment during rough times. When all else fails, gold has proven its ability to maintain its value. For this reason many people prefer to purchase and store their gold anonymously. After all, if it’s the last vital reserve left, why let anybody else know about it?
Original anonymous gold article
Original anonymous gold article
Tuesday, 18 November 2008
EU Broadens Scope of Savings Tax Directive
As the EU seeks to further expand the Savings Tax Directive to jurisdictions like Honk Kong and Singapore - is there anywhere left offshore?
http://www.tax-news.com/asp/story/European_Commission_Unveils_New_Savings_Tax_Directive_Proposals_xxxx33543.html
Tip: Non tax havens outside of the EU.
http://www.tax-news.com/asp/story/European_Commission_Unveils_New_Savings_Tax_Directive_Proposals_xxxx33543.html
Tip: Non tax havens outside of the EU.
Brazil Trader Attempts Suicide on Exchange Floor
The sad results of hype and over-speculation in the financial crisis.
Nov. 17 (Bloomberg) -- A 36-year-old trader at Brazil's securities exchange shot himself in the chest in an attempted suicide on the trading floor, BM&FBovespa SA said.
The trader, who works for Itau Corretora, the brokerage unit of Banco Itau Holding Financeira SA, was taken to Santa Casa hospital in Sao Paulo and listed in critical condition, a hospital spokeswoman said. No one else was injured in the incident, an exchange spokesman said.
http://www.bloomberg.com/apps/news?pid=20601086&sid=aKAfldyrjISw
Are you affected by the crisis? Heres some benefits of protecting your assets if you fall on hard times.
Nov. 17 (Bloomberg) -- A 36-year-old trader at Brazil's securities exchange shot himself in the chest in an attempted suicide on the trading floor, BM&FBovespa SA said.
The trader, who works for Itau Corretora, the brokerage unit of Banco Itau Holding Financeira SA, was taken to Santa Casa hospital in Sao Paulo and listed in critical condition, a hospital spokeswoman said. No one else was injured in the incident, an exchange spokesman said.
http://www.bloomberg.com/apps/news?pid=20601086&sid=aKAfldyrjISw
Are you affected by the crisis? Heres some benefits of protecting your assets if you fall on hard times.
Monday, 17 November 2008
US Determined to Unlock Switzerland's Banking Secrets
Prosecutors have accused UBS, the country's biggest bank, of cloak-and-dagger activities
See guardian article
http://www.guardian.co.uk/business/2008/nov/14/ubs-switzerland
See guardian article
http://www.guardian.co.uk/business/2008/nov/14/ubs-switzerland
Are Swiss Banks Safe?
Switzerland is famous for being the original offshore tax haven. Aside from being technically landlocked, it is STILL an official tax haven and that’s the problem. Here’s five secrets the Swiss would prefer you didn’t know.
1. Switzerland, once bastion of secrecy, now regularly caves in to international pressure. A Swiss bank account isn’t secret anymore. Executives from Swiss giant UBS operating out of their lakeside Headquarters have been indicted by the US government for helping 17,000 high net worth clients from the US avoid taxes. It is also alleged that the US treasury has been secretly tracking transactions between Swiss financial institutions. Using tools designed to combat terrorism, they have apparently tapped into ‘remotegate’, a system used for international transaction clearances.
2. Switzerland is part of the EU Savings Tax Directive. What does this mean? It means if you are an EU citizen with a Swiss offshore bank account, the Swiss government will impose a 35% tax on interest or hand over account details to the home government.
3. Swiss banks, despite their good reputation, have frighteningly low cash reserves – much lower for example than most US banks. The US financial crisis was managed with a bailout. Due to the size of the banking industry compared to the size of its economy, the Swiss government could not hope to finance such a bailout if a similar set of circumstances were to occur.
4. A Swiss bank account is expensive. Private banking starts upwards of 500,000 USD and the charges don’t make sense for anyone investing less than 1,000,000 USD. Wire transfers, stock purchases, currency trading, precious metals and other investments are all obtained at a premium in this notoriously expensive country.
5. Numbered bank accounts exist, but you have to turn up and identify yourself in Switzerland in person. The bank still has your name and details, and will turn them over if the authorities come after you.
Smart investors are fleeing Swiss banks in droves, and putting their money in cheaper, more confidential banks and countries. In a country that has spent the past 5 years tearing up all the rules by which it has spent almost a century swearing, is this a surprise?
Fortunately, it is still possible to open a tax-neutral offshore bank account that will protect your privacy. It’s always a good idea to do you research before making a decision. To find out more about opening an offshore account, how it works, and if it’s the right option for you, visit http://www.capitalconservator.com/
Full article on dangers of swiss bank accounts
1. Switzerland, once bastion of secrecy, now regularly caves in to international pressure. A Swiss bank account isn’t secret anymore. Executives from Swiss giant UBS operating out of their lakeside Headquarters have been indicted by the US government for helping 17,000 high net worth clients from the US avoid taxes. It is also alleged that the US treasury has been secretly tracking transactions between Swiss financial institutions. Using tools designed to combat terrorism, they have apparently tapped into ‘remotegate’, a system used for international transaction clearances.
2. Switzerland is part of the EU Savings Tax Directive. What does this mean? It means if you are an EU citizen with a Swiss offshore bank account, the Swiss government will impose a 35% tax on interest or hand over account details to the home government.
3. Swiss banks, despite their good reputation, have frighteningly low cash reserves – much lower for example than most US banks. The US financial crisis was managed with a bailout. Due to the size of the banking industry compared to the size of its economy, the Swiss government could not hope to finance such a bailout if a similar set of circumstances were to occur.
4. A Swiss bank account is expensive. Private banking starts upwards of 500,000 USD and the charges don’t make sense for anyone investing less than 1,000,000 USD. Wire transfers, stock purchases, currency trading, precious metals and other investments are all obtained at a premium in this notoriously expensive country.
5. Numbered bank accounts exist, but you have to turn up and identify yourself in Switzerland in person. The bank still has your name and details, and will turn them over if the authorities come after you.
Smart investors are fleeing Swiss banks in droves, and putting their money in cheaper, more confidential banks and countries. In a country that has spent the past 5 years tearing up all the rules by which it has spent almost a century swearing, is this a surprise?
Fortunately, it is still possible to open a tax-neutral offshore bank account that will protect your privacy. It’s always a good idea to do you research before making a decision. To find out more about opening an offshore account, how it works, and if it’s the right option for you, visit http://www.capitalconservator.com/
Full article on dangers of swiss bank accounts
Offshore Trusts - Secrets of Asset Protection
How can you keep your assets secure and tax-free?
Keeping your assets safe from creditors and the government has become progressively more difficult since 9/11. Under the pretext of countering terrorism, governments and their tax authorities have aggressively targeted offshore havens and made an effort to link offshore banks with money-laundering and serious criminal activity. The OECD published an offshore blacklist of countries that they consider 'un-cooperative' in the collection of taxes and is planning to issue a new report sometime in 2009. Many jurisdictions no longer offer the same protection they once did, and some have gone as far as to say that it is no longer possible to benefit from offshore structures.
While you should certainly exercise caution, there are still methods of practicing legal tax avoidance while keeping maximum privacy. Offshore does not necessarily have to mean a 'tax-haven', and some of the best structures are to be found are in traditionally high-tax countries. One of the best ways of maintaining your privacy while still having control over your money is by placing it in an offshore trust.
Here we take a look at why and how offshore trusts are used.
Why put your money in an offshore trust?
1. Asset Protection. If you truly want make sure that no one can get to your nest-egg it's always good to distance yourself from your assets. Offshore trusts do exactly that by removing the burden of legal ownership, while keeping you in a position of control.
2. Privacy. Trusts are good alternatives to wills because the terms of a trust are private. Not everyone wants their financial status to be public knowledge. Privacy also goes hand in hand with asset protection and keeping your taxes to a minimum.
3. Estate Planning. Offshore trusts are often used for estate planning to make sure assets go to the people who you intend to be the beneficiaries. In your home country forced heirship rules may apply, which ensure that assets go to a certain person no matter what you say. Most offshore trusts specifically exclude forced heirship rules, and can be set up to include other very specific instructions. For example, you could stipulate that if your wife remarries, her share of assets will be transferred to your children instead.
4. Tax Planning and Avoidance. Since trusts have their own special tax laws, they are often used as holding companies for legal tax avoidance. Most offshore trusts will not charge any inheritance tax, or capital gains tax on income sourced outside the country.
Which offshore trust and jurisdiction is best for me?
It can be hard to choose from between the multitude of products, jurisdictions and services on offer. Trusts are most definitely not a one-size fits all policy. The choice of trust will be determined by the size and type of investment, your own country of residence, and what your priorities are (privacy, asset protection, tax-avoidance). If you are looking for a trust with a low-profile that will not be tainted with offshore connotations, the best on offer today is the New Zealand Foreign Trust.
This trust is very popular because it will provoke few questions - New Zealand is a full member of the OECD, FATF and World Trade Organization. Its regulatory environment has been consistently ranked either No 1 or No 2 by the World Bank, and it is absolutely not a tax haven. Nonetheless anyone who is not a New Zealand or Australian resident can get a tax free trust with minimal disclosure. Only the trustee (who can be a nominee or a trustee company) has to be named on any public register, and the trust itself can be denominated with a numbered code. All income sourced offshore is totally tax free, and there are no capital gains, inheritance taxes or forced heirship rules.
This brief overview will give you a starting point from which to begin your own research. For more information on this and other offshore trusts visit http://www.capitalconservator.com/trusts/
Keeping your assets safe from creditors and the government has become progressively more difficult since 9/11. Under the pretext of countering terrorism, governments and their tax authorities have aggressively targeted offshore havens and made an effort to link offshore banks with money-laundering and serious criminal activity. The OECD published an offshore blacklist of countries that they consider 'un-cooperative' in the collection of taxes and is planning to issue a new report sometime in 2009. Many jurisdictions no longer offer the same protection they once did, and some have gone as far as to say that it is no longer possible to benefit from offshore structures.
While you should certainly exercise caution, there are still methods of practicing legal tax avoidance while keeping maximum privacy. Offshore does not necessarily have to mean a 'tax-haven', and some of the best structures are to be found are in traditionally high-tax countries. One of the best ways of maintaining your privacy while still having control over your money is by placing it in an offshore trust.
Here we take a look at why and how offshore trusts are used.
Why put your money in an offshore trust?
1. Asset Protection. If you truly want make sure that no one can get to your nest-egg it's always good to distance yourself from your assets. Offshore trusts do exactly that by removing the burden of legal ownership, while keeping you in a position of control.
2. Privacy. Trusts are good alternatives to wills because the terms of a trust are private. Not everyone wants their financial status to be public knowledge. Privacy also goes hand in hand with asset protection and keeping your taxes to a minimum.
3. Estate Planning. Offshore trusts are often used for estate planning to make sure assets go to the people who you intend to be the beneficiaries. In your home country forced heirship rules may apply, which ensure that assets go to a certain person no matter what you say. Most offshore trusts specifically exclude forced heirship rules, and can be set up to include other very specific instructions. For example, you could stipulate that if your wife remarries, her share of assets will be transferred to your children instead.
4. Tax Planning and Avoidance. Since trusts have their own special tax laws, they are often used as holding companies for legal tax avoidance. Most offshore trusts will not charge any inheritance tax, or capital gains tax on income sourced outside the country.
Which offshore trust and jurisdiction is best for me?
It can be hard to choose from between the multitude of products, jurisdictions and services on offer. Trusts are most definitely not a one-size fits all policy. The choice of trust will be determined by the size and type of investment, your own country of residence, and what your priorities are (privacy, asset protection, tax-avoidance). If you are looking for a trust with a low-profile that will not be tainted with offshore connotations, the best on offer today is the New Zealand Foreign Trust.
This trust is very popular because it will provoke few questions - New Zealand is a full member of the OECD, FATF and World Trade Organization. Its regulatory environment has been consistently ranked either No 1 or No 2 by the World Bank, and it is absolutely not a tax haven. Nonetheless anyone who is not a New Zealand or Australian resident can get a tax free trust with minimal disclosure. Only the trustee (who can be a nominee or a trustee company) has to be named on any public register, and the trust itself can be denominated with a numbered code. All income sourced offshore is totally tax free, and there are no capital gains, inheritance taxes or forced heirship rules.
This brief overview will give you a starting point from which to begin your own research. For more information on this and other offshore trusts visit http://www.capitalconservator.com/trusts/
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