Jan 6 2012
There is not clear an explanation what tax haven means however according to OECD it’s a country doesn’t follow the 4 criteria.
OECD (Organisation for Economic Co-operation and Development) has made a list of the most important criteria it considers when determining whether a jurisdiction is a tax haven or not.
These criteria (according to OECD) have been specified as follow:
1. no or nominal tax on the relevant income;
2. lack of effective exchange of information;
3. lack of transparency; and
4. no substantial activities of the taxpayer in that jurisdiction, (2) together referred to as OECD Tax Haven Criteria.)
OECD has formulated following groups where 84 jurisdictions have been assessed:
While List – jurisdictions that the OECD does not consider as tax havens.
Grey List – jurisdictions have partly implemented the OECD International Tax Standard.
Black List – no tax cooperation, there are currently no black list countries.
More information on: http://www.oecd.org