Mapped: The World's Biggest Private Tax Havens in 2021
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Mapped: The World’s Biggest Private Tax Havens

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Biggest Tax Havens

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The World’s Biggest Private Tax Havens

When the world’s ultra-wealthy look for tax havens to shield income and wealth from their domestic governments, where do they turn?

If you’re putting money in offshore bank accounts in order to save on taxes, there are two main criteria you’re looking for: secrecy and accessibility. Based on pop culture and media reports, you might imagine a secretive bank in Switzerland or a tiny island nation in the Caribbean.

And though there is some truth to that logic, the reality is that the world’s biggest tax havens are spread all over the world. Some of them are small nations as expected, but others are major economic powers that might be surprising.

Here are the world’s top 20 tax havens, as ranked by the 2020 Financial Secrecy Index (FSI) by the English NGO Tax Justice Network.

Which Countries are the Biggest Tax Havens?

The FSI ranks countries and territories from all over the world on two criteria: secrecy and scale.

  • Secrecy Score: How well the jurisdiction’s banking system can hide money. This includes analysis of ownership registration, legal entity transparency, tax and financial regulations, and cooperation with international standards.
  • Global Scale Weight: What is the jurisdiction’s share of the world’s total cross-border financial services? This metric is based primarily on the IMF’s Balance of Payments statistics.

By weighing a country’s ability to hide money by its relative share of offshore financial services, we see the tax havens with the biggest impact on the global economy.

RankJurisdictionRegion
1🇰🇾 Cayman IslandsCaribbean
2🇺🇸 United StatesNorth America
3🇨🇭 SwitzerlandEurope
4🇭🇰 Hong KongEast Asia
5🇸🇬 SingaporeSoutheast Asia
6🇱🇺 LuxembourgEurope
7🇯🇵 JapanEast Asia
8🇳🇱 NetherlandsEurope
9🇻🇬 British Virgin IslandsCaribbean
10🇦🇪 United Arab EmiratesMiddle East
11🇬🇬 GuernseyEurope
12🇬🇧 United KingdomEurope
13🇹🇼 TaiwanEast Asia
14🇩🇪 GermanyEurope
15🇵🇦 PanamaCaribbean
16🇯🇪 JerseyEurope
17🇹🇭 ThailandSoutheast Asia
18🇲🇹 MaltaEurope
19🇨🇦 CanadaNorth America
20🇶🇦 QatarMiddle East

At a glance, the top 20 tax havens are spread out across regions. Just under half of the list is located in Europe, but the rest are spread out across the Americas and Asia.

And the jurisdictions are opposites in many ways. They include financial powerhouses like the U.S., Japan, and the UK as well as smaller nations and territories like the Cayman Islands, Hong Kong, and Luxembourg.

But one surprising thing many of them have in common is a link to England. In addition to the UK, four of the top 20 tax havens—Cayman Islands, British Virgin Islands, Guernsey, and Jersey—are British Overseas Territories or Crown Dependencies.

Also worth noting is the importance of scale in the rankings. The highest ranking jurisdictions by secrecy score were actually the Maldives, Angola and Algeria, but they represent less than 0.1% of total offshore financial services.

Best Place To Hide Private Vs. Corporate Tax

Some of the listed tax havens might be confusing to nationals of those countries, but that’s where relativity is important. The U.S. and Canada might not be tax havens for American or Canadian nationals, but the ultra-wealthy from East Asia and the Middle East are reported to utilize them due to holes in foreign tax laws. Likewise, the UAE has reportedly become a tax haven for Africa’s ultra-wealthy.

In addition, many of the countries used as tax havens for individual wealth are also utilized by corporations.

The Tax Justice Network’s 2021 assessment of corporate tax havens listed the British Virgin Islands, Cayman Islands, and Bermuda as the top three tax corporate tax havens.

While individuals might create shell companies in tax havens to hide their wealth, corporations are usually directly incorporated in the tax haven in order to defer taxes.

But the tax haven landscape might soon shift. The G7 struck a deal in June 2021 to start taxing multinational corporations based on the revenue generated in each country (instead of where the company is based), as well as setting a global minimum tax of 15%. In total, a group of 130 countries have agreed to the deal, including India, China, the UK, and the Cayman Islands.

As the campaign to bring back deferred taxes ramps up, the question becomes one of response. Will the ultra-wealthy individuals and corporations start to work in tandem with the new rules, or discover new workarounds and tax havens?

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Automotive

The Most Fuel Efficient Cars From 1975 to Today

This infographic lists the most fuel efficient cars over the past 46 years, including the current leader for 2023.

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The Most Fuel Efficient Cars From 1975 to Today

When shopping for a new car, what is the most important factor you look for? According to Statista, it’s not design, quality, or even safety—it’s fuel efficiency.

Because of this, automakers are always looking for clever ways to improve gas mileage in their cars. Beating the competition by even the slimmest of margins can give valuable bragging rights within a segment.

In this infographic, we’ve used data from the EPA’s 2022 Automotive Trends Report to list off the most fuel efficient cars from 1975 to today.

Editor’s note: This is from a U.S. government agency, so the data shown skews towards cars sold in North America.

Data Overview

All of the information in the above infographic is listed in the table below. Data was only available in 5-year increments up until 2005, after which it switches to annual.

Model YearMakeModelReal World Fuel Economy (mpg)Engine Type
1975HondaCivic28.3Gas
1980VWRabbit40.3Diesel
1985ChevroletSprint49.6Gas
1990GeoMetro53.4Gas
1995HondaCivic47.3Gas
2000HondaInsight57.4Hybrid
2005HondaInsight53.3Hybrid
2006HondaInsight53Hybrid
2007ToyotaPrius46.2Hybrid
2008ToyotaPrius46.2Hybrid
2009ToyotaPrius46.2Hybrid
2010HondaFCX60.2FCEV
2011BMWActive E100.6EV
2012Mitsubishii-MiEV109EV
2013ToyotaiQ EV117EV
2014BMWi3121.3EV
2015BMWi3121.3EV
2016BMWi3121.3EV
2017HyundaiIoniq Electric132.6EV
2018HyundaiIoniq Electric132.6EV
2019HyundaiIoniq Electric132.6EV
2020Tesla3138.6EV
2021Tesla3139.1EV

From this dataset, we can identify three distinct approaches to maximizing fuel efficiency.

Downsizing

Prior to 2000, the best way for automakers to achieve good fuel efficiency was by downsizing. Making cars smaller (lighter) meant they could also be fitted with very small engines.

For example, the 1985 Chevrolet Sprint was rated at 49.6 MPG, but had a sluggish 0-60 time of 15 seconds.

Hybrids

The 2000s saw the introduction of mass-market hybrid vehicles like the Honda Insight and Toyota Prius. By including a small battery to support the combustion engine, automakers could achieve good MPGs without sacrificing so heavily on size.

While the Insight achieved better fuel economy than the Prius, it was the latter that became synonymous with the term “hybrid”. This was largely due to the Prius’ more practical 4-door design.

The following table compares annual U.S. sales figures for both models. Insight sales have fluctuated drastically because Honda has produced the model in several short spans (1999-2006, 2009-2014, 2018-2022).

YearInsight SalesPrius Sales
2005666107,155
2006722106,971
20073181,221
2008-158,884
200920,572150,831
201020,962140,928
201115,549136,464
20126,619236,655
20134,802234,228
20143,965207,372
20151,458184,794
201667136,629
20173108,661
201812,51387,590
201923,68669,718
202015,93243,525
202118,68559,010
20227,62833,352

Source: goodcarbadcar.net

The Prius may have dominated the hybrid market for a long time, but it too has run into troubles. Sales have been declining since 2014, even setting historic lows in recent years.

There are several reasons behind this trend, with one being a wider availability of hybrid models from other brands. We also can’t ignore the release of the Tesla Model 3, which began shipping to customers in 2017.

Electric Vehicles

We’re currently in the middle of a historic transition to electric vehicles. However, because EVs do not use fuel, the EPA had to develop a new system called MPGe (miles per gallon of gasoline-equivalent).

This new metric gives us the ability to compare the efficiency of EVs with traditional gas-powered cars. An underlying assumption of MPGe is that 33.7 kilowatt-hours (kWh) of electricity is comparable to the energy content of a gallon of fuel.

The most fuel efficient car you can buy today is the 2023 Lucid Air, which achieves 140 MPGe. Close behind it is the 2023 Tesla Model 3 RWD, which is rated at 132 MPGe.

Check out this page to see the EPA’s top 10 most efficient vehicles for 2023.

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