The flood gates will open for so-called ‘hacktivists’ to attack the offshore industry if the law firm at the heart of the Paradise Papers loses its legal case against two UK publications, according to a leading lawyer.
The law firm at the heart of the Paradise Papers hack is seeking damages and has demanded that UK newspaper the Guardian and the BBC hand over documents.
The European Council published its blacklist of 17 non-cooperative jurisdictions on Tuesday, including the United Arab Emirates and Bahrain.
With Luxembourg, Malta and Ireland continuing to block ambitious EU plans to reduce tax dodging, the European Commission is now considering triggering a neglected treaty article that would allow them to suspend veto powers on tax matters.
Guernsey Finance chief executive Dominic Wheatley is “not sure what more we’re expected to do” to help improve transparency in the fight against offshore tax evasion, he told International Adviser.
Isle of Man politicians have strongly defended the island’s economy following the Paradise Papers revelations, with one minister describing them as “a deliberately orchestrated attack from the international media”.
Having borne the brunt of the media scrutiny following the Paradise Papers hack, key figures in the international life insurance industry have hit back and defended the Isle of Man and other international financial centres.
A potentially misconceived public perception of offshore trusts and tax law is putting pressure on chancellor Philip Hammond to further tighten regulations in the upcoming UK budget, according to experts from consulting firm RSM.
Pressure on the EU to act on offshore tax havens increased this morning after MEPs queued up to severely criticise wealthy tax avoiders and their advisers.
While the Paradise Papers reveal little in the way of wrongdoing, they will likely stoke political appetites for increasing regulatory scrutiny of the wealth management industry, says an analyst from research firm GlobalData.
A ‘substance’ test that determines whether actual business activities of offshore structures take place in a jurisdiction could be the make or break factor for 53 countries facing the prospect of being added to an EU-wide tax haven blacklist.
Misinformation, heightened sensationalism and grandstanding politicians are “masking the reality” of the Paradise Papers, deVere Group founder and chief executive Nigel Green has said.
