Panama tops Switzerland for Banking Privacy
Gone are the days when legendary tales of Swiss numbered accounts and the anonymity that cloaks the identity of Sophie Neveu from religious agents bent at killing anyone within her bloodline.
Switzerland, once the top tax haven in the world has bowed to international pressures and now complies with global tax treaties to provide information for criminal investigations.
A better alternative when it comes to offshore banking goes to Panama. Ancient Roman Law lays down the rule that there is no crime when there is no law punishing it-Panama has virtually no law punishing tax evasion.
In addition to complying with tax treaties, Switzerland now requires up to $250,000 in deposits to create an offshore bank account for clients. When compared to the $1000 deposit that Panamanian banks require it is easy to see why Panama has become so popular.
While Swiss banks are perfectly capable of storing an offshore clients money securely, the problem with choosing Switzerland to house your assets is the erosion of their bank secrecy laws and in particular a US - Switzerland tax treaty that allows for mutual information sharing.
Choosing an asset protection strategy should always begin with proper research.
First, open an offshore account with a very strong institution-a Panama offshore entity for example. They can come in a form of a corporation, trust or foundation. The logic seems simple to those taking their business degrees: they are juridical persons separate from those constituting these organizations.
Piercing corporate assets is an act wherein court orders are issued in criminal cases such as narcotics and terrorism. A quick fix solution for matters like these is to place your assets into trusts and foundations then create an anonymous bearer share corporations.
Even third party creditors who secure judgment against you in your home country will have trouble collecting.
With no capital gains tax, offshore derived income tax or inheritance taxes, Panama is even more attractive to those seeking offshore asset protection.
Leave a Reply