basic reminders... 

1) what are tax heavens? 

They are small, independent or partially independent States or Islands, which offer various advantages for foreign capital : 

• Little or no Tax 

• Confidentiality, anonymity  

• Total banking secrecy  

A list of places considered as "Tax heavens" has recently been published by the OECD (Organisation for Economic Co-operation and Development). Most of the corporates registered in these States have not been set up to run a real commercial business (since they have not subscribed to THE HAGUE convention). 

They are intended to shelter large fortunes, manage properties and inheritance trusts and register boats or planes. 

Unfortunately, the characteristics of these companies and States mean that they are often used to hide fraudulent, even criminal, activities (laundering of drug, trafficking, prostitution money...). 

There is little interest for a European entrepreneur wishing to relocate a part of his activity in order to benefit from advantageous taxation in choosing a "tax haven".  

Although they do not concern him, he may be wrongly associated with these dubious activities.  

But the label "tax heaven = fraud = crime" will pursue him and harm his reputation, without giving him real benefits. 

2) what about other places? 

Some European States offer a more or less favourable tax system compared with those of other countries: 

England, Ireland, Luxembourg, as well as some less known such as Hungary. 

The problem with these States is they are, or are welling to become, an integral part of the European Union. Which means that, in the short term, the tax system and legislation of these States work together. Confidentiality no longer exists there. 

For example, a European who has an import export business which is completely offshore i.e. not in its country of origin (e.g. between Asia and Africa), will not reap any benefits from relocating the company to another State of the EU. 

3) the solution...

...is to settle a company in the USA