A New Old Scam – Pandora Papers

The Pandora Papers leak includes 6.4 million documents, almost three million images, more than a million emails and almost half-a-million spreadsheets.
Stories revealed so far include:
*The owners of more than 1,500 UK properties bought using offshore firms, including individuals accused of corruption
*The Qatari ruling family who avoided £18.5m tax on a London supermansion
*Sir Philip and Lady Green went on a property spree after off-loading the BHS retail chain which went on to collapse
*The prominent Tory donor who was involved in one of Europe’s biggest corruption scandals
*The King of Jordan’s £70m spending spree on properties in the UK and US through secretly-owned companies
*Azerbaijan’s leading family’s hidden involvement in property deals in the UK worth more than £400m
*The Czech prime minister’s failure to declare an offshore investment company used to purchase two French villas for £12m
how the family of Kenyan president Uhuru *Kenyatta’s secretly owned a network of offshore companies for decades
*The files expose how some of the most powerful people in the world – including more than 330 politicians from 90 countries – use secret offshore companies to hide their wealth.
The Pandora Papers reveal complex networks of companies that are set up across borders, called tax heavens hiding ownership of money and assets.
Tax heavens place the wealthy can keep their money away from the government , a place for ultra rich, criminals, politicians, social celebrities,drug dealers.
it’s easy to set up companies there are laws that make it difficult to identify owners of companies
there is low or no corporation tax.
The destinations are often called tax havens or secrecy jurisdictions. The most well known destinations include British Overseas Territories such as the Cayman Islands and the British Virgin Islands, as well as countries such as Switzerland and Singapore.
Is it illegal to use a tax haven?
Loopholes in the law allow people to legally avoid paying some taxes by moving their money or setting up companies in tax havens, but it is often seen as unethical.
Although having secretive offshore assets is not illegal, using a complex network of secret companies to move around money and assets is the perfect way to hide the proceeds of criminality.
There have been repeated calls for politicians to make it harder to avoid tax or hide assets, particularly following previous leaks such as the Panama Papers.
How easy is it to hide money offshore?
All you need to do is set up a shell company in one of the countries or jurisdictions with high levels of secrecy. This is a company that exists in name only, with no staff or office.
It costs money , Specialist firms are paid to set up and run shell companies on your behalf. These firms can provide an address and names of paid directors, therefore leaving no trail of who is ultimately behind the business.
What it costs?
According to reports, it cost governments 600bn tax loss for all around the world. It impacts on the development of people and economy. Tax havens sure make the great place to hide dirty money. It because the question of person ethics and social evils when let to get away from these.
It makes stagnation of money and accumulation of individuals hold power.
Ms Kumar said it is detrimental to the rest of society: “The ability to hide money has a direct impact on your life… It affects your child’s access to education, access to health, and access to a home.”

Source: BBC news the pandora papers.

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