Tax havens revealed! US ranks higher than Switzerland in keeping financial secrets

Updated : Nov 09, 2021 12:11
|
Editorji News Desk

Switzerland has been dethroned after a decade as the top tax haven of the world when it comes to maintaining financial secrets. The Tax Justice Network has compiled a Financial Secrecy Index for global tax havens, scoring each country on offshore financial services and secrecy and the results will surprise you. 

Here are the favorite tax havens of the very wealthy-:

  1. Cayman Islands: This overseas U.K. territory, is ranked "exceptionally secretive" on the index for 2020, with a secrecy score of 76.  It is the home to banks, hedge funds and corporations. In fact it is reported that foreign assets were found to be worth 1,500 times the size of the domestic economy.

    Also watch: JustDial called up on for helping ‘sex rackets’, Notice served by women's commission

  2. United States: The country accounts for a massive 21.37 percent of the global market in offshore financial services. As the recent Pandora Papers investigation attests, the U.S. has made itself a haven of choice for people looking to hide their money. States such as South Dakota and Nevada offer additional protections against disclosure, and have gained a competitive advantage over traditional picks like Switzerland.

  3. Switzerland: Pulled down to number 3 from the perch is mainly due to following the new reporting norms where the once revered haven now automatically shares information with several countries including India under the 'Common Reporting Standards'. Even though the country still enjoys a high secrecy score of 74. 

Hong Kong and Singapore find themselves next on the list put together by the campaign group Tax Justice Network that calculated secrecy scores based on 20 indicators on ownership registration, legal entity transparency, integrity of tax and financial regulation and international cooperation.

Tax havens

Recommended For You

editorji | Business

RBI trims policy interest rate by 25bps to 5.25pc, loans to get cheaper

editorji | Business

Rupee slumps to all-time low of 90.25 against US dollar in intra-day trade

editorji | Business

Reliance completes merger of Star Television Productions with Jiostar

editorji | Business

India to lead emerging market growth with 7pc GDP rise in 2025: Moody’s

editorji | Business

Nifty hits record high after 14 months; Sensex nears all-time peak