Panama and BVI next targets for taxman

THE TAXMAN is to target tax havens that offer company formation services without collecting information on beneficial ownership, Accountancy Age understands.

A senior source at HM Revenue & Customs said the UK is looking closely at jurisdictions that allow businesses to register without operating an adequate level of scrutiny of where the companies are effectively active. Examples include the British Virgin Islands and Panama.

It is thought that HMRC is in discussions with these jurisdictions.

This follows the agreement between Switzerland and the UK, which means UK residents will have to pay a one-off percentage of the value of their accounts and a withholding tax on all future earnings on the accounts.

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