5 favourite locations Nigeria’s stolen funds are warehoused in Off-shore accounts
These locations are majorly British Overseas Territories or Crown Dependencies
Since 2004, Nigeria was reported to have lost about $230 billion to illicit financial outflow, and a major part of it is expatriated to offshore tax-havens across the world.
Based on agreements between these off-shore tax havens and major financial centres, it is easier to get the fund to advanced countries from there.
According to the Global Witness, there are top five jurisdictions implicated in the papers. Majority of these locations are United Kingdom Overseas Territories or Crown Dependencies.
As a result, here are top five locations Nigerian public officials warehouse stolen funds without most people knowing.
The British Virgin Islands
The British Virgin Islands is noted to house 452,000 international businesses. This is second to only to Hong Kong in presence of international businesses.
In this country, there is no income tax, no capital gains tax and no inheritance tax. Also, there is no public record of any owners of a business and no accounts. Hence, the identity of whosoever is operating these businesses and accounts is unknown.
Bailiwick of Jersey
Jersey is the largest of British Channel Island and globally acknowledged as the richest offshore tax shelter.
The capital city of the Island country, St Helier, is noted to be home to major global investment, finance and management consulting firms such as Credit Suisse, Citi Bank, HSBC, Société Générale, PricewaterhouseCoopers (PwC).
At present, there is no inheritance tax, capital gains tax or standard corporate tax in the island country. This made Jersey a popular tax haven and estimated to house over $5 billion worth of assets per square mile.
The Isle of Man
The Isle of Man, just like other British Channel Islands and tax-havens, has no capital gains tax, turnover tax or capital transfer tax. It is also noted that the country has great benefits for pension funds.
According to Crystal Stranger of 1st tax Inc., many multinationals have their pension funds in this country in order to enjoy a tax lax and other benefits considered as taxable income.
“Many international companies have their employee pension plans held in accounts in this small country due to asset protection and the ability to take benefits from the age of 50 onwards,” said Stranger.
The tourist country of Bahamas is globally noted as a safe haven for funds and assets. The country is an ideal location for individuals and corporations seeking to gain tax advantages with confidentiality. One which many Nigerians utilized this to their advantage, as funds from the country found their way there.
An interest thing about Bahamas' tax haven is that it incorporates asset protection, estate planning, tax mitigation and privacy.
All accounts and companies in the country are treated in privacy and anonymity, so it is a safe location for stolen funds from Nigeria.
Anguilla is one of the Britain Overseas Territories, and it is reputed as a respected tax haven. In the country, there are zero taxation levies for all income generated from outside of its jurisdiction.
The country is a pure tax haven with no income taxes, estate taxes or capital gains taxes on individuals or corporations. All offshore entities incorporated in Anguilla are exempted from paying stamp duty, thus making it one of the preferred destinations for funds from the Africa’s largest economy.
There is also no exchange controls on monetary or asset transfers.
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