Tax Haven

Tax Haven means:
a jurisdiction that allows transactions to take place in conditions of extreme secrecy that may allow taxpayers to avoid taxation. Tax haven in the “classical” sense refers to a country which imposes a low or no tax, and is used by corporations to avoid tax which otherwise would be payable in a high-tax country. Some well-known tax havens are the British Virgin Islands, the Cayman Islands, Liechtenstein, the Netherlands Antilles, and Panama.

U.S. and other Developed Countries International Tax Meaning

According to OECD report, tax havens have the following key characteristics; No or only nominal taxes; Lack of effective exchange of information; Lack of transparency in the operation of the legislative, legal or administrative provisions.

See Tax Haven and Tax Haven.