For wealthy Americans looking to veil their assets and shield some of their income from taxation, there is no need to go to Panama or any other offshore tax haven. According to the New York Times, it’s easy to establish a shell corporation right here at home and virtually no questions are asked.
1. What states did the article mention in particular?
2. About how much of the world’s financial wealth is hidden in offshore accounts? Percentage and dollars?
3. Explain why American banks are awash in money from foreign investors using shell corporations?
4. What is the U.S.Treasury doing to combat hidden wealth?
Cohen, P. (2016). Need to Hide Some Income? You Don’t Have to Go to Panama. The New York Times, April 7 (Retrievable online at http://www.nytimes.com/2016/04/08/business/need-to-hide-some-income-you-dont-have-to-go-to-panama.html)