Secrecy Jurisdictions

International Accounting Standards Board: A privately owned company registered in Delaware in the USA but based in London in the United Kingdom, which issues International Financial Reporting Standards. It is largely financed by the largest firms of accountants in the world and other major actors in the financial services industry. It is self-regulating and resists government interference. Its status as an issuer of accounting standards was transformed when its standards were adopted by the European Union for use by all companies quoted on stock exchanges in that territory from 2005 onwards.

International Business Corporations: A type of company offered by many offshore finance centres and tax havens, usually one which receives all or most of its income from abroad. IBCs usually pay an annual registration fee but are subject to minimal or zero tax rates.

International Bureau of Fiscal Documentation: IBFD is an international provider of cross-border tax expertise and independent tax research.See http://www.ibfd.org/portal/app?bookmarkablePage=home

International financial centre: See offshore financial centre

International financial reporting standards: Accounting standards issued by the International Accounting Standards Board for use by quoted companies in the whole of the European Union and more than 70 other jurisdictions. The accounting standards of the USA, Japan and other nations are converging with International Financial Reporting Standards.

Illicit money is money that is illegally earned, transferred or utilized. Breaking laws anywhere along the way earns such funds the label. Frequently described as “dirty money”. These cross-border transfers come in three forms: (1) the proceeds of bribery and theft by government officials; (2) criminal activities including drug trading, human trafficking, illegal arms, contraband and more; and (3) commercial trade mis-pricing and tax evasion.

International Monetary Fund: The International Monetary Fund (IMF) is an organization of 185 countries, working to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce poverty around the world.The IMF promotes international monetary cooperation and exchange rate stability, facilitates the balanced growth of international trade, and provides resources to help members in balance of payments difficulties or to assist with poverty reduction. Through its economic surveillance, the IMF keeps track of the economic health of its member countries, alerting them to risks on the horizon and providing policy advice. It also lends to countries in difficulty, and provides technical assistance and training to help countries improve economic management. This work is backed by IMF research and statistics. One of the Bretton-Woods Institutions founded after World War II, the IMF has been subject to considerable criticism, partly as a result of its role in promoting the ‘Washington Consensus’.

A tax charged upon the income of individuals. It can also be extended to companies. The tax is usually charged upon both earned income from employment and self employment and unearned income e.g. from investments and property.

A form of cell company. See cell company.

A form of tax charged upon transactions, usually upon their gross value. Examples include sales taxes, value added taxes, goods and services taxes, stamp duties, land taxes and excise and customs duties and levies of all sorts.

See bilateral and multilateral information exchange

A form of gift tax charged upon the estates of people upon their death.

A financial services supplier making supply within the regulated market from an international financial centre to clients in more than one country, including that in which it is itself located.

A transaction regulated in more than one jurisdiction, with all jurisdictions being aware of the others involvement.

The act of a parent company whose headquarters are located within one jurisdiction switching registration with an offshore subsidiary they own to secure location within that offshore jurisdiction in order to secure a tax advantage. Once mainly occurring in the USA, where Bermuda was the destination of choice it is now being seen in the UK as well where the most common destinations are Jersey and Ireland.