Basic definition of tax heaven or tax heaven meaning is a place that is tax favorable or there are no taxes on financial transactions. There are countries with free trade policies and many common taxes are waive by the government. As per wiki data around 15% of the countries are considered as tax heavens because of their favorable tax laws. Here is a list along with their reasons of being tax heaves may help you know more about them.
Top tax haven in the world
Talking about top tax havens in the world then there are many country with easy tax system where you can enjoy wealth without paying huge taxes. Check out some top countries below.
Bahamas tax haven status is due to following reasons
It is one of the richest countries and economy mostly depends on tourism. Setting up a business here is easy. There is no tax on capital gains and there is no inheritance tax. Personal income tax is almost none and gift tax is not applicable.
Nevada tax haven status is due to following reasons
No capital gains tax no inheritance tax, no personal income tax, no gift tax.
Wyoming tax haven status is due to following reasons
No corporate taxes, no inheritance taxes, no franchise taxes, no inventory taxes, no personal income taxes, no unitary taxes, no estate or gift taxes
Gibraltar tax haven status is due to following reasons
You’re only taxed for the first $90,000 in income.
Bermuda tax haven status is due to following reasons
No corporate taxes, no personal income taxes.
Switzerland tax haven status is due to following reasons
Swiss banks are already famous as a centralized hub for keeping black money across the globe. Many politicians, businessman and celebrities have Swiss bank accounts. There are other reasons as well like mentioned below:
Full or partial tax exemptions, depending on which private bank you use
Caymen Islands tax haven status is due to following reasons
The full package — no personal income taxes, no capital gains, no corporate taxes, no payroll taxes and the country doesn’t withhold taxes on foreign entities.
British Virigin Islands
British Virigin Islands tax haven status is due to following reasons
No income taxes, no capital gains taxes, no inheritance taxes, no sales taxes, only 15 per cent corporate taxes and only 14 per cent payroll taxes.
Hong Kong tax haven status is due to following reasons
No sales taxes, no capital gains, a wealth of personal tax deductions and no payroll taxes.
Channel Islands (in English Channel)
No value-added taxes, no council taxes, no capital gains
Also read more business articles.