Christian Aid have pointed out that:
Nearly a quarter of the world's major tax havens on a “blacklist” published today by the European Commission are either British Overseas Territories or Crown Dependencies.
The seven are Anguilla, Bermuda, British Virgin Islands, the Cayman Islands, Guernsey, Montserrat and the Turks and Caicos islands. And since all of them are branch offices of the City of London (as too are Jersey, Gibraltar and the Isle of Man which did not make it for some strange reason) that makes the UK by far the biggest tax haven in the EU.
Isn't ti time we did something about that, Mr Cameron? After all, some time ago you said the age of the UK tax haven was over and that was clearly wrong. Isn't now the time to put it right in that case?
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Interestingly, only Gibraltar is in the EU and they all have their own governments; the only commonality would seem to be HM the Queen as Head of State. What sort of pressure can you see bringing them into line? As they all claim sovereignty it will be a long slow grind. I cant imagine that Her Majesty would want to get involved in it.
Can we stop the nonsense now
They are British territories with constitutions that are Statutory Instruments of Parliament here in UK
They’re as independent as Norfolk
Richard
I think you need to do a big more research on the constitutional status of the British Overseas Territories and Crown Dependencies.
I have
I am quite confident on the issue
Show me the Treaty of King John of 1204, for example
You said that they are “Statutory Instruments of Parliament in the UK”
You made a claim that is factually incorrect.
The British Crown fully acknowledges the validity of the status of the Channel Islands, and has done for 811 years.
Clearly that’s not sufficient for you.
I referred to the Overseas Territories
No one knows the status of the Crown Dependencies for sure
But let’s take the simple tests. They have UK passports and we are responsible for them financially and for their foreign affairs
When’s a duck not a duck?
Well, your lack of knowledge of the constitutional position is severely deficient if you don’t know the difference between the UK and the British Crown.
Ever heard of the Duke of Normandy? No, thought not.
I am very well aware of the distinction and who the Duke of Normandy is and that the Corwn Prerogative is exercised by the First Lord of the Treasury, which puts a spanner in that silly argument
Not a “silly argument” at all. The constitution of the Channel Islands has been formally recognised by the Crown and by every UK government for over 800 years. That is a fact that you cannot deny.
And nothing has changed.
Lip service
If the CI try something the Crown does not like Royal Consent is withheld
Or they are quietly told not to do it
Shall we look at reality here? And not silly fictions of convenience?
they state that this is inspired by the sweatheart deals given by Ireland and Luxembourg, but then neither are on the list.
Then include Guernsey and not Jersey? No Delaware with the biggest brass plate building in the world?
All just political pandering.
I have worked in Cayman for 10 years, and I have once seen a licencing tax avoidance scheme which we rejected as they didn’t have and wouldn’t get onshore tax advice.
While not denying their are some bad apples out there, the majority of work are funds using the tax neutrality of Cayman to aid investment into many countries.
Respectfully, pull the other one
If the UK is the biggest tax haven in the EU, how can one make the Fair Tax Pledge if one operates in the UK?
On that same subject I am a bit confused that the TJN seems to list many countries as aggressively supporting tax haven and secretive activity yet these countries do not appear on the Fair Tax Pledge list.
One wants to “do one’s bit” but this sort of confusion does make things difficult.
The Pledge is an individual action
The tax haven list is straight from TJN
TJN surveys places that turn out not to be tax havens
A cut off point was taken
I cannot see the confusion
But you are under no obligation to sign
Do you think Delaware should be on the list? Doesn’t that single fact undermine the list’s whole credibility? Isn’t it the equivalent of a report into FIFA corruption that says the biggest threat to the global game is the quality of pies sold at Mansfield Town?
I am always in two minds on Delaware
Tax is paid
It’s secrecy that’s the issue there
The whole US suffers the same international secrecy
Can you see the EU putting the US on the list? No, nor can I
So, to large degree you’re right – but the target is bigger than you suggest
PS What’s wrong with the pies at Mansfield?
Not sure about tax being paid in Delaware.
Isn’t the Delaware strategy to set up something like an LLC with the non-resident member that is then exempt from tax in the US on non-US source income?
It sounds very similar to the old model of tax exemption for companies owned by non-residents, except you aren’t even paying a fee to get that exemption.
All US corporations are exempt from tax on unremitted income. That’s not just Delaware, which was my point
Not all tax is paid for in Delaware, many state taxes are avoided.
Add the fact that you can open a company with a bank account online with little KYC, it is ripe of laundering. The fact is onshore due diligence is woeful when it comes to this.
I recently opened a bank account in Canada, with just my passport.
In Cayman you need Passport, notarised proof of address, bank reference letters, documentation of provenance of funds, etc.
Add to this all these documents where grandfathered to old accounts, (unlike in the UK.
For proof I advise you to try it, or look up the many studies that have already been done on the subject (but are ignored as they oppose the agenda)
This point has been long known
So Cayman knows who the offenders are is my answer
And does nothing about them
You should note I have long argued for reform in the UK which is woefully inadequate
Tax is paid in Delaware? I suggest you check your facts.
Of course it is: Delaware corporations are subject to Federal taxes
“as too are Jersey, Gibraltar and the Isle of Man which did not make it for some strange reason”
It isn’t a “strange reason”. It is simply that they are not on 10 or more EU Member State blacklists.
The new EU “blacklist” is a compilation of MS lists. Not complicated.
Not complicated
But also meaningless
As I have noted today
This list is really a bit of laugh.
Lets take Hong Kong for example, listed as an uncooperative “haven” because 10 members of the EC think so. 3 of those countries have a DTA with Hong Kong and two have had injunctions issued by the EC because they have refused to disclose information on their tax ruling practices.
Then consider that Singapore isn’t on the list. Overrall a pointless exercise.