topics
tools
Expatica countries
editor's choice

How to assimilate

Crime and the legal system in Switzerland

Major museums in Switzerland

Culture and social etiquette in Switzerland

How to open a Swiss bank account

Index Last Var.(%)
BEL 20 2119.44 0.28
DAX 6339.94 0.38
IBEX 30 6543 0.13
CAC 40 3047.94 0.32
FTSE 100 5351.53 0.03
AEX 292.76 0.23
DJIA 12454.83 -0.60
Nasdaq 2837.53 -0.07
FTSE MIB 13154.8 0.36
TSX Composite 11576.47 0.09
ASX 4081.2 -0.61
Hang seng 18713.41 0.25
Straits Times 2772.75 -0.24
ISEQ 20 500.94 1.55
You are here: Home Finance & Business Banking Pros and cons of offshore banking
Enlarge font Decrease font Text size


01/04/2008Pros and cons of offshore banking

Pros and cons of offshore banking Offshore banking can be carried out legally and is not just about money laundering or tax evasions.

The term offshore banking originates from the Channel Island and defines banks located in tax havens. The majority of offshore banks are located on islands, but exceptions such as Switzerland, Luxembourg or Andorra exist.

Offshore banking may be associated with the illegal practices of money laundering or tax evasions but it can be carried out legally and comprises a number of financial advantages.

Strong privacy, less restrictive legal regulations and easy access to deposits are some of the advantages that have convinced many to go offshore.

More importantly, many offshore banks operate with a lower cost base and provide higher interest rates than legal rates in most countries.

Offshore banks generally pay interests without tax deducted. This is an advantage to individuals who do not pay tax on worldwide income or who do not pay tax until tax return is agreed.

 


2 reactions to this article

Banco Internacional de Investimentos posted: 2008-08-15 03:58:04

As everything, there is pros and cons of offshore banking. Maybe the best of offshore banking is that offshore banks have some duties, but not always are flexibles enough.

Banco Internacional de Investimentos posted: 2008-08-15 03:59:29

As everything, there is pros and cons of offshore banking. Maybe the best of offshore banking is that offshore banks have some duties, but not always are flexibles enough. http://www.bancoii.com

2 reactions to this article

Banco Internacional de Investimentos posted: 2008-08-15 03:58:04

As everything, there is pros and cons of offshore banking. Maybe the best of offshore banking is that offshore banks have some duties, but not always are flexibles enough.

Banco Internacional de Investimentos posted: 2008-08-15 03:59:29

As everything, there is pros and cons of offshore banking. Maybe the best of offshore banking is that offshore banks have some duties, but not always are flexibles enough. http://www.bancoii.com

ask your question
find the business you need
Discussion Forums

Finding your way in Switzerland

Trekking and Backpacking

Community Noticeboard Switzerland

Let's coach..Saturday.Free.In English.

Finding your way in Switzerland

Chinese Nanny (Ayi) wanted

Finding your way in Switzerland

Need Househelp who prepares Thai food

Student forum Switzerland

@SAP Business Objects Online Training in Netherlands by SAP BOSS

participate in the forums

Inside Expatica
Residence and work permits in Switzerland

Residence and work permits in Switzerland

How to apply for a residency or work permit in Switzerland for you and your family.

How to rent and buy a house in Switzerland

How to rent and buy a house in Switzerland

Information about renting property and obtaining a mortgage in Switzerland.

Switzerland's healthcare system

Switzerland's healthcare system

Information about the Swiss healthcare system, health insurance, pharmacies and emergency numbers.

Banking in Switzerland

Banking in Switzerland

Explaining Swiss currency, banknotes, credit cards and bureaux de change.