Taxation of British Virgin Islands

The unique tax benefits Puerto Rico offers to corporations to establish operations on their island are very attractive to companies who want to increase their profits. With these tax benefits in place, Puerto

This convenient state of affairs is not without its challenges. To date, non- EU member Guernsey has resisted pressure from the EU to establish a level playing field with the EU members and set a corporate tax rate of 10%. However, it is important to note that the pro-forma calculations confirm that even if Guernsey were to adopt a 10% levy on corporate taxation, Guernsey would still remain the most profitable location for Quattroporte compared to Malta and Ireland.

The main objective of many companies is to minimize their tax obligations. Jeffers (2014) discussed the reason of why companies adopt tax inversion strategies. The researcher indicated that the income maximization is a major reason of companies attempting to reduce their tax liability (pp. 100-101). Tax inversion strategies provide companies an advantage to lower income tax rate. Today, U.S. corporations renounce its U.S. citizenship and move to low-tax countries. Companies that reincorporate oversees are not obligated to pay U.S. taxes on earning income (p. 99). Many countries implement tax competition strategies to attract and retain businesses. Well-known companies, such as Exxon Mobil, Hewlett Packard, Tyco, General Electric, PepsiCo, etc. take benefits of tax shelter opportunities overseas (p. 102). Other benefits of the jurisdiction abroad are flexible banking laws and simplified litigation processes.

Virgin Islands-suited in the caribbean sea,it is loved for the warm waters,it has white sandy beaches,beautiful corals,it has subtropical climate, there's hardly a difference between winter and summer, and is located at St.Johns United States.

9. The Internet company Google managed to avoid $2 billion in international income taxes in 2011 by moving a hefty sum of its revenues to subsidiaries in Bermuda, according to CNBC, which cited a report by Bloomberg.[1] The search giant reportedly stashed $9.8 billion in revenues to its shell company in Bermuda — which doesn't have a corporate income tax — last year allowing the company to shave its overall tax rate by almost 50 percent. Google's Bermuda move was disclosed in a Nov. 21 filing by a subsidiary in the Netherlands. While the company's move to shift funds to the country was legal, it could spur the growing global criticism of corporate tax

Saint Croix is the largest of the US Virgin Islands, which lie 1730 miles east south east of Miami and 93 miles west of Puerto Rico. This section of the Virgin Islands has belonged to the United States since 1917 when they were acquired from the Danish government for $25m in gold to protect American shores from German U-boat attack.

Historians document that the first inhabitants, the Ciboneys, arrived on the islands during what is considered the Pre-Ceramic Culture. Arawaks were the next to arrive, establishing sites on St. John and St. Croix around 100 AD. Probably the best-known inhabitants, and those to arrive next, were the savage Caribs and the more peaceful Tainos. Evidence of their time in the islands has been unearthed in recent years, and includes stone griddles, zemis (small carvings depicting the faces of their gods) and petroglyphs which are rock carvings visible on St. John’s Reef Bay Trail.

The current effective US federal corporate tax rate is 35% (Usa-federal-state-company-tax.com, 2015). Luca Maestri confirms that using offshore funds would “incur significant cash tax consequences and we don't believe this would be in the best interest of our

The reason tax havens exist, is for the same reason why they existed 50 years ago; to attract money and investments from around the world. When multibillion dollar corporations put billions of dollars in the banking system, it gives the local economy of that country a little boost. That stored in the banks can now be lent out to people to buy homes, cars, or even start a

America has come a long way since gaining their independence from British rule which was the result of the colonial protests in the 1760s due to over taxation. These taxations directly led to the American Revolution in which this new independent nation collected taxes on land and property amongst many other things of value. Since that time there had been no taxes collected on religious organizations and their charities affiliated. This has been an ongoing controversial issue since the Establishment Clause in the First Amendment of the Constitution. The Establishment Clause could be open to interpretation and states that “Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof” (U. S.

The Brazilian companies, Gaucho and Vaqueiro, are treated as corporations for U.S federal income tax purposes. Each of companies has earned $1 million in interest income from Brazilian money market accounts during 2015. Below are the companies’ ownership structure:

Additional concerns have been made in regards to the red flags missed by auditors. First of all, auditors should have been alarmed by the size of the cash account held in the Cayman Islands. Auditors should have remained skeptical about the existence of this account. They should’ve addressed this red flag with

Just at the beginning of this month, on April 3, a gigantic leak of documents called the Panama Papers was published by the International Consortium of Investigative Journalists (ICIJ). Obtained from a global law firm based in Panama called Mossack Fonseca, the Panama Papers are documents that contain 11.5 million records from the past 40 years and include details on more than 214,000 offshore entities connected to people, ranging from political figureheads to criminals, in more than 200 countries and territories. The reason this is such a prime example of a leak is because the Panama Papers reveal everything about offshore tax havens and, as director of ICIJ said in a CNN article on the topic, "'The offshore world really only has one product and that is secrecy and when you take away that product they don't have anything for sale". This means that the leak shattered the secrecy of Mossack Fonseca's offshore industry, therefore possibly destroying the entire industry in itself.

Intercompany transactions could occur across national borders, it would lead MNC companies to get more exposure to the differences of the tax regulations between countries. This might lead MNC companies to set up their objective to minimize their taxes through the use of discretionary transfer prices. These issues are attracted the attention of the member of the U.S. senate, foreign governments and international organization such as the OECD, G20 and European Union (EU).

A tax haven is a country that offers foreign corporations and individuals relatively low corporate and income tax rates, with a politically and economically stable environment. Some tax havens are Switzerland, Hong Kong, Bermuda, Ireland, and the Cayman Islands. Although the businesses have moved across seas, the United States forces them to pay the corporate tax. Fortunately for the businesses, it they keep their income and money across seas they do not have to the pay the American corporate tax, Unfortunately this is ghastly for the United States Government businesses keep their products and profits over seas.