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Trouble in Paradise...

about 5 years ago by Tabatha Penny

Tax

Trouble in Paradise…

The leaked papers that have been named ‘Paradise’ because of some of the beautiful offshore jurisdictions that millions of pounds are hidden in.

What is a tax haven?

A jurisdiction that offers more favourable tax treatment to its taxpayers. Used by people who wish to hide money and to avoid paying the tax applicable in their home jurisdiction.

The biggest names to have appeared in reports on the leak are:

The Queen - Her Majesty's private estate invested £10m offshore including in the company behind BrightHouse, a chain accused of irresponsible lending.

President Donald Trump - His top admin officials kept financial stake in a company whose major business partners include a Russian firm which is part owned by the Russian President, Vladimir Putin’s son-in-law.

Lord Ashcroft - The former Conservative party deputy chairman faces questions on how some of his offshore investments were managed and over whether he maintained a non domiciled tax status while in the House of Lords.

Lewis Hamilton - Anyone watching BBC's Panorama documentary will have seen how the F1 champion leases and releases his own private jet back to himself in the Isle of Man to avoid paying VAT.

Where have the papers come from?

There are about 13.4 million documents spanning from 1950 to 2016, with around half of them coming from the offshore professional service providers, Appleby and Estera. The rest come from corporate registries in 19 jurisdictions.

Why is it relevant to you?

Leaks of this nature have lead to powerful people being forced from their offices and hundreds of investigations all over the world. These include our own politicians and ministers.