Offshore financial centreAn offshore financial centre (OFC) is defined as a "country or jurisdiction that provides financial services to nonresidents on a scale that is incommensurate with the size and the financing of its domestic economy." "Offshore" does not refer to the location of the OFC, since many Financial Stability Forum–IMF OFCs, such as Delaware, South Dakota, Singapore, Luxembourg and Hong Kong, are located "onshore", but to the fact that the largest users of the OFC are non-resident, i.e. "offshore".
Offshore bankAn offshore bank is a bank that is operated and regulated under international banking license (often called offshore license), which usually prohibits the bank from establishing any business activities in the jurisdiction of establishment. Due to less regulation and transparency, accounts with offshore banks were often used to hide undeclared income. Since the 1980s, jurisdictions that provide financial services to nonresidents on a big scale can be referred to as offshore financial centres.
Shell corporationA shell corporation is a company or corporation with no significant assets or operations often formed to obtain financing before beginning business. It may hold passive investments or be the registered owner of assets, such as intellectual property, or ships. Shell companies may be registered to the address of a company that provides a service setting up shell companies, and which may act as the agent for receipt of legal correspondence (such as an accountant or lawyer).
Tax evasionTax evasion is an illegal attempt to defeat the imposition of taxes by individuals, corporations, trusts, and others. Tax evasion often entails the deliberate misrepresentation of the taxpayer's affairs to the tax authorities to reduce the taxpayer's tax liability, and it includes dishonest tax reporting, declaring less income, profits or gains than the amounts actually earned, overstating deductions, using bribes against authorities in countries with high corruption rates and hiding money in secret locations.
Tax havenA tax haven is a term, sometimes used negatively and for political reasons, to describe a place with very low tax rates for non-domiciled investors, even if the official rates may be higher. In some older definitions, a tax haven also offers financial secrecy. However, while countries with high levels of secrecy but also high rates of taxation, most notably the United States and Germany in the Financial Secrecy Index ("FSI") rankings, can be featured in some tax haven lists, they are often omitted from lists for political reasons or through lack of subject matter knowledge.
HSBCHSBC Holdings plc (in full: Hong Kong and Shanghai Banking Corporation) is a British universal bank and financial services group headquartered in London, England, with unique historical and business links to East Asia and a highly multinational footprint. It is the largest Europe-based bank by total assets, ahead of BNP Paribas, with US2.953trillionasofDecember2021.In2021,HSBChad10.8 trillion in assets under custody (AUC) and $4.9 trillion in assets under administration (AUA). Global surveillance disclosures (2013–present)Ongoing news reports in the international media have revealed operational details about the Anglophone cryptographic agencies' global surveillance of both foreign and domestic nationals. The reports mostly emanate from a cache of top secret documents leaked by ex-NSA contractor Edward Snowden, which he obtained whilst working for Booz Allen Hamilton, one of the largest contractors for defense and intelligence in the United States. In addition to a trove of U.S.
Tax avoidanceTax avoidance is the legal usage of the tax regime in a single territory to one's own advantage to reduce the amount of tax that is payable by means that are within the law. A tax shelter is one type of tax avoidance, and tax havens are jurisdictions that facilitate reduced taxes. Tax avoidance should not be confused with tax evasion, which is illegal. Forms of tax avoidance that use legal tax laws in ways not necessarily intended by the government are often criticized in the court of public opinion and by journalists.
Edward SnowdenEdward Joseph Snowden (born June 21, 1983) is an American and naturalized Russian former computer intelligence consultant and whistleblower who leaked highly classified information from the National Security Agency (NSA) in 2013, when he was an employee and subcontractor. His disclosures revealed numerous global surveillance programs, many run by the NSA and the Five Eyes intelligence alliance with the cooperation of telecommunication companies and European governments and prompted a cultural discussion about national security and individual privacy.
WikiLeaksWikiLeaks (ˈwɪkiliːks) is a publisher and media organisation founded in 2006. It operates as a non-profit and is funded by donations and media partnerships. It has published classified documents and other media provided by anonymous sources. It was founded by Julian Assange, an Australian editor, publisher, and activist, who is currently challenging extradition to the United States over his work with WikiLeaks. Since September 2018, Kristinn Hrafnsson has served as its editor-in-chief.
