The Cayman Islands: No Taxes?
Is it just me, or are the Cayman Islands mentioned in every movie or series that includes some form of law enforcement? With a filthy rich, somehow dodgy old guy?! Well, there is a reason for that.
The Cayman Islands are a safe haven for the super rich persons who do not want taxes on their money. This type of tax is called a corporate tax.
What is a corporate tax?
A corporate tax is a levy put on the profit of a firm or company with differing rates used for differing levels of profits. These are taxes on profits. They scare the rich and powerful.
The Cayman Islands are a tax haven because the tax laws there are very lenient. Other countries such as Switzerland, The Dominican Republic, the British Virgin Islands and Bermuda are also well-known tax havens.
The British Virgin Islands have zero taxes- of any kind.
What are the tax laws of the Cayman Islands?
The Cayman Islands do not have any taxes, corporate or income on the money earned or made outside of their borders, including investments. For this reason, Caymans are loved by hedge fund managers.
Conclusion
The privacy laws are a priority and that is why it is very difficult or impossible for investigators looking into the finances of shady characters.
