Tax Havens

From 1968 to 1989 Czechoslovakia was occupied by the Soviets. In 1989 the communist regime collapsed and a market economy was reintroduced.

Doing business through a tax haven has the potential to enhance or damage a company’s corporate reputation.

Political risk is the risk faced by investors and corporations that political decisions, events, or conditions will significantly affect the profitability of a business.

When choosing a tax haven, its location, proximity and accessibility can be a deal breaker.

Tax havens with legal systems based on English law are the most popular and desired.

There are 19 different reasons to use a tax haven, some legal, and some illegal.

Bearer share companies are companies where the individual shareholders are not known to the company.

A Luxembourg Holding Company is a resident company in the tax haven of Luxembourg which operates subsidiaries.

Protected cell companies (PCCs) were originally developed in Guernsey in 1997 to provide a solution for companies who wanted to take advantage of the risk management solutions offered by a traditional single parent captive insurance, but who did not want to establish a captive of their own.

Most offshore jurisdictions have sophisticated trust laws which allow the settlor to select lengthy, fixed, perpetuity periods, or to avoid perpetuity altogether (like Jersey).