Since the middle of the last century, offshore zones have helped companies to avoid taxes, and in some cases - reporting and auditing. Over the years the zones have appeared quite a lot;some more convenient, others less, some look dubious and are used mainly for laundering black cash, while others are reliable and respectable. Choose the best offshore zones possible by rating. In the Russian Federation, the most reliable rating is the offshore RBC, and abroad - the Tax Justice Network. Analyzing both, we have compiled a rating of offshore, including in the list of the 5 most reliable.
- 5. USA, Delaware
- 4. Hong Kong
- 3. Luxembourg
- 2. Cayman Islands
- 1. Switzerland
5. USA, Delaware
Offshore Delaware area is extremely popular among US companies - there are registered, no moreno less than half of their total in the US.The Limited Liabilities Companies Act, adopted in the state, allows state-registered companies to pay less taxes and still remain anonymous. The second big plus of Delaware is that the company located in it can not be registered with the US tax authorities and, therefore, can avoid both reporting and paying taxes.
4. Hong Kong
One of the largest financial centers of the world is attractive for companies primarily with their territorial taxation system. The companies here are not divided into resident and non-resident, and taxes depend only on whether the income from the source in Hong Kong was received or whether activities were being taken to obtain this income in Hong Kong. In case of a negative answer to both these questions the company is not subject to taxation. In addition, the registration of offshore companies will require a minimum of time and effort, and confidentiality is protected by law( however, information about the beneficiaries will be available).
Although Luxembourg is not a full-fledged offshore zone, large tax incentives are provided for foreign companies not planning business operations on the territory of the country. Thus, the tax rate can be reduced to almost zero. The strengths of the Luxembourg offshore zone are in full confidentiality and non-transparency for third parties, as well as the absence of currency controls and a treaty on the absence of double taxation. All this is extremely popular with businessmen from all over the world, and in Luxembourg there are a lot of investment funds and more than two hundred banks. At registration of the company it is required not less than two shareholders and three directors.
2. Cayman Islands
But this is a real offshore - all foreign companies that do not engage in any activity on the islands themselves, should not pay any taxes. In addition, these islands located in the Caribbean Sea have many valuable features, for example, opacity( supported by law), lack of currency control, and high political and economic stability. And the process of registration of companies on the islands takes no more than a day. The offshore zone of the Cayman Islands is highly valued by world capital - there are about one hundred thousand companies from around the world, 500 banks, 800 insurance companies and five thousand mutual funds. But even in this offshore paradise there is a flaw: there is no agreement with other countries on the absence of double taxation.
It is believed that the most favorable conditions for business are created in this small European country, although in the strict sense of the word Switzerland can hardly be called offshore. By default, it is considered that the company pays tax on dividends, cantonal and federal taxes on capital and tax on profits. And under certain conditions in some cantons the tax amount can be reduced to almost zero, and the tax on investments can not be taxed at all. The second essential advantage of Switzerland is its utter confidentiality. Thirdly, Switzerland has concluded agreements with many countries of the world so that clients avoid double taxation. And, finally, Switzerland has a solid reputation. The only negative - the reporting still have to lead. But this small flaw is unlikely to hamper the reputation of Switzerland as the most reliable offshore.