Switzerland? No.
Monaco? Nope.
Belize? No sir.
Here it is straight from the mouth of the Cato Institute:
Tax competition is an issue that arouses passion on both sides of the debate. Libertarians and other free-market advocates welcome tax competition as a way of restraining the greed of politicians. Governments have lowered tax rates in recent decades, for instance, because politicians are afraid that the geese that lay the golden eggs can fly across the border. But collectivists despise tax competition — for exactly the same reason. They want investors, entrepreneurs, and companies to passively serve as free vending machines, dispensing never-ending piles of money for politicians.
So when a left-wing group puts together a ranking of the world’s “top secrecy jurisdictions” in hopes of undermining tax competition, proponents of individual freedom can use that list as a guide to world’s most investor-friendly nations. The good news is that an American state, Delaware, is number one on the list. And since being a tax haven is a magnet for investment, this is good news for U.S. competitiveness. The bad news is that American taxpayers are not allowed to benefit from many of Delaware’s “tax haven” policies.
According to left-wing British columnist Nick Mathiason, author of an article titled Delaware – A Black Hole in the Heart of America, here’s why Delaware is so popular:
Delaware – the political power-base of the US vice-president, Joe Biden – offers high levels of banking secrecy and does not make details of trusts, company accounts and beneficial ownership a matter of public record. Delaware also allows companies to re-domicile within its borders with minimal disclosure, and allows the existence of privacy-enhancing “protected cell” or “segregated portfolio” companies, among many other stratagems useful for protecting the identity of those who do business there.
2 responses so far ↓
1 john jay // Nov 3, 2009 at 10:59 am
As an attorney, aren’t you a bit embarrassed to publish such obvious crap? DE offers no secrecy or privacy from the IRS nor from the DOJ nor from any foreign country with whom we have a tax treaty or information-sharing arrangement. What is made public about a company is scarcely less than in other countries. Pure garbage.
2 Peter // Nov 3, 2009 at 11:40 am
Dear John,
I don’t embarass easily.
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