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
