A tax-free haven happens to be a place that provides a minimum or, sometimes, zero tax liability. Such havens share negligible or no financial information with foreign tax personnel. Also, it is not mandatory to stay or conduct business in such places to enjoy their tax sops. For quite some time, these places have been becoming very popular among the Richie-rich across the globe due to the flexible tax policies on offer. So, let us find out the names of 4 renowned tax-free havens in the world and the hospitality they provide to foreign investors or businessmen.
Switzerland
The country in question is not only popular for its scenic locales and mouth-watering chocolates but also for its highly relaxed tax regulations. Due to its utmost reliability as a tax-free haven, it has been frequented by people from Europe and other countries across the globe. This apart, the country is well-known across the world for its exemplary services in the banking sector. Significantly, bankers in the country are barred from giving out any details of any clients to anyone and this is the reason Swiss has attracted clients from myriad countries in droves over the years.
Panama
In this country income generated internally is taxed whereas the ones earned outside are spared the tax net. To be precise, it has a territorial tax system. Also, a company that is situated in the country is allowed to own assets anywhere across the globe. Importantly, the regulations accord utmost secrecy regarding the organisations in the country and hence businessmen are assured total anonymity regarding the financial dealings and statements in their companies.
Luxembourg
This tiny European country happens to be one of the richest in the world. This is due to its financial domain, which contributes significantly to the country’s GDP. The business-friendly policies allow foreign companies to make the most out of the liberal tax regime existing in the country. For this reason alone, super-rich strewn across the continents keep pouring into the country to take advantage of the financial regulations prevailing in this tax-free haven. This country also guards the financial matters of its companies like a fortress.
The British Virgin Islands
This happens to be one of the tax-free havens across the world that does not have any tax treaties with any country on the global map. The lack of a treaty ensures that individuals’ bank accounts are kept away from all kinds of scrutiny. For offshore banking customers and companies formed inside the Islands, there are no exchange restrictions. This ensures easy transfer of funds anywhere in the world for business or any other reason with confidentiality strictly in place.
