Tax paradises - the cover-up for 'legal' tax dodgingand money laundering. The switzerland case

• Author: Angelica Chirila - Alina Soos
• Position: Candidate to Ph. D lecturer. University 'Danubius'of Galati - Candidate to Ph. D assistent. University 'Danubius'of Galati
• Pages: 62-68

62

TAX PARADISES – THE COVER-UP FOR „LEGAL” TAX

DODGINGAND MONEY LAUNDERING.THE SWITZERLAND CASE

Candidate to Ph. D lecturer Angelica Chiril

University “Danubius”of GalaYi

Lawyer Galati Bar Candidate to

Ph. D assistent Alina ŞOOŞ

University “Danubius”of GalaYi

Abstract:

A country which does not collect taxes or in which taxes are cut down, for

just some or may be for all the categories of goods, a country in which there a high

level of bank and commercial secret, minimal requests from the part of the central

bank and lack of restrictions on the exchange value, such a country represents a

tax paradise.

The tax dodger will make use of the tax paradise in his attempt to make

more complicated his action of archiving the undeclared income, of studying the

fund wave and of destroying the defence by referring to the non-taxable fund

sources.

The tax paradises are used in order to give birth to some apparently legal

documents, documents which are of use to the tax dodger when proving, in case of

an administrative control, the continuous activity of the society set up in the fiscal

paradise, although these documents are just formally made up.

The lack of whatever value and bank control, as well as the absolute

anonymity, give to the collectors the opportunity to transfer the cash from the

country of origin into banks from a tax paradise. After the entering into the

offshore banks, the money circulates freely all over the world.

Both deposits and withdrawals from a fund accompanied by some enclosed

papers which prove the legal origin of the cash are eased up by the lack of control

over the cash.

Key words: tax paradise, tax dodging, money laundering.

A country which does not collect taxes or in which taxes are cut down, for

just some or may be for all the categories of goods, a country in which there a high

level of bank and commercial secret, minimal requests from the part of the central