Washington intends to begin to reduce the budget deficit, and in Brussels are concerned about the decline in investments in the European economy
At the same time, Washington and Brussels are receiving signals that the US and EU financial authorities intend to prohibit the use of a number of offshore jurisdictions for American and European companies. It’s not just about classic offshore territories, where information about the owners of registered companies is kept anonymously. De facto, it is about the possibility that financial schemes connected with tax cuts using those tax jurisdictions where there are below the world average rates of certain types of taxes may be banned. Washington intends to implement a number of similar actions, which are connected with the desire to begin to reduce the budget deficit, exceeding 3% of US GDP.
In Europe, they intend to return the companies’ capital from offshore companies, as Brussels is concerned about the decline in investments in the Old World. Panamanian jurisdiction, which acquired scandalous fame in the past year due to leakage of a number of confidential information, could also fall under the ban. Macau, Palau, Grenada, Cape Verde, Barbados and Marshall Islands are also on the offshore jurisdictions.