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TAX HEAVEN
What is tax heaven?
 A tax haven is a state, country or territory
  where certain taxes are levied at a low rate or
  not at all while offering due process, good
  governance, and a low corruption rate.
 Related to international taxation.
Tax Haven Countries
Europe                     Bahamas & Carribean
        Eire                   Bahamas
        Isle of Man            Bermuda
        Jersey                 Turks & Caicos
        Alderney               U.S. Virgin Islands
        Guernsey               British Virgin Islands
        Monaco                 Anguilla
        Gibraltar              Antigua
        Madeira                Nevis
        Andorra                Montserrat
        Luxembourg             Barbados
        Liechtenstein          Grenada
        Malta                  Netherlands Antilles
        Cyprus                 Aruba
                                Panama
Africa                          Costa Rica
        Liberia                Cayman Islands
        Seychelles             Belize
        Mauritius
                           Pacific Rim
                                   Cook Islands
                                   Samoa
                                   Niue
What is OECD model?



   Organisation economic Co-operation and
    Development
   An organization that acts as a meeting
    ground for 30 countries which believe
    strongly in the free market system, The OECD
    provides a forum for discussing issues and
    reaching agreements, some of which are
    legally binding.
OECD objectives



What does the OECD seek?
      improved transparency
      improved exchange of information
      a co-operative approach
What is not sought?
      harmonization or setting minimum tax rates
      impinging on national fiscal sovereignty
      an unfair competitive advantage for OECD financial centers
Two linked initiatives:
      1998 initiative on Harmful Tax Practices
      2000 on improving access to bank information

                                                               5
OECD approach



   Recognizes:
    Interest of government in protecting integrity of

     tax system and confidentiality of taxpayer
     information
    Interest of business community in avoiding

     excessive burden
    Countries right to tailor their own tax systems to

     their own needs
    The need to move towards a level playing field

     and mutual benefits

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Tax heaven

  • 2. What is tax heaven? A tax haven is a state, country or territory where certain taxes are levied at a low rate or not at all while offering due process, good governance, and a low corruption rate. Related to international taxation.
  • 3. Tax Haven Countries Europe Bahamas & Carribean Eire Bahamas Isle of Man Bermuda Jersey Turks & Caicos Alderney U.S. Virgin Islands Guernsey British Virgin Islands Monaco Anguilla Gibraltar Antigua Madeira Nevis Andorra Montserrat Luxembourg Barbados Liechtenstein Grenada Malta Netherlands Antilles Cyprus Aruba Panama Africa Costa Rica Liberia Cayman Islands Seychelles Belize Mauritius Pacific Rim Cook Islands Samoa Niue
  • 4. What is OECD model? Organisation economic Co-operation and Development An organization that acts as a meeting ground for 30 countries which believe strongly in the free market system, The OECD provides a forum for discussing issues and reaching agreements, some of which are legally binding.
  • 5. OECD objectives What does the OECD seek? improved transparency improved exchange of information a co-operative approach What is not sought? harmonization or setting minimum tax rates impinging on national fiscal sovereignty an unfair competitive advantage for OECD financial centers Two linked initiatives: 1998 initiative on Harmful Tax Practices 2000 on improving access to bank information 5
  • 6. OECD approach Recognizes: Interest of government in protecting integrity of tax system and confidentiality of taxpayer information Interest of business community in avoiding excessive burden Countries right to tailor their own tax systems to their own needs The need to move towards a level playing field and mutual benefits