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UK overseas territories top list of world’s leading tax havens

British Virgin Islands ranked ‘greatest enabler of corporate abuse’ by Tax Justice Network UK overseas
Britain’s overseas territories have topped a list of the world’s most significant tax havens ahead of Switzerland, the Netherlands and Luxembourg, according to the campaign group Tax Justice Network.
The British Virgin Islands were ranked as the “greatest enabler of corporate tax abuse”, with the Cayman Islands in second place and Bermuda third.
Britain appeared in the study, which is published every two years, at number 13, alongside its network of satellite territories. It was singled out for providing the widest scope for international corporations to cut their tax bills.
The United Arab Emirates (UAE) was a new entry into the top 10 after an investigation found it had benefited from $250bn (£180bn) of multinational funds routed through the Netherlands.
The report said the UAE had emerged as a new destination for multinational corporations operating in Africa and the Middle East. South Africa was highlighted as one of the biggest losers from firms shifting profits to the low-tax UAE.
A spokesperson for the Tax Justice Network said tax havens were thriving and efforts to tackle the problem co-ordinated by the Paris-based club of rich nations, the OECD, had failed.
Dereje Alemayehu, the executive coordinator of the Nobel peace prize-nominated Global Alliance for Tax Justice, said the report’s findings showed the biggest economies in the world were helping companies avoid $245bn in tax, and “to trust the OECD in light of its findings is like trusting a pack of wolves to build a fence around your chicken coop”.
The corporate tax haven index ranks each country based on how intensely its tax and financial systems allow multinational corporations to lower their taxable profits.
Grading each country’s tax and legal system with a “haven score” out of 100, the British Virgin Islands, the Cayman Islands and Bermuda all gained the maximum score.
“A higher rank on the index does not necessarily mean a jurisdiction’s corporate tax laws are more aggressive, but rather that the jurisdiction in practice plays a bigger role globally in enabling the profit shifting that costs countries billions in lost tax every year,” the spokesperson said.
The OECD represents 37 mostly wealthy western governments and has spent much of the last decade attempting to get agreement on rules that prevent tax avoidance by wealthy individuals and major corporations. UK overseas
The report said OECD countries were responsible for 39% of the world’s corporate tax abuse risks. Their territories and former colonies – such as the UK’s independent territories and Jersey, Guernsey and the Isle of Man, which are crown dependencies – were responsible for 29%.
Countries graded by the OECD as “not harmful” are responsible for 98% of the world’s corporate tax abuses risks, the report said, adding that the UN should take over the role of fostering global tax rules.
Pascal Saint-Amans, the director of the OECD’s tax policy centre, said the report failed to recognise the progress made in recent years to share tax information and clamp down on a string of abuses.
He said 500,000 people with secret bank accounts had declared their income and paid back-taxes and fines in the last four years after an agreement that involved the bank details of 84m accounts being shared by tax authorities.
A deal to set a minimum tax rate for digital services, allowing developing world nations to grab a slice of profits made by Facebook, Amazon and Google, will be debated by the G20 in July.
Saint-Amans said the Joe Biden administration in the US had indicated it wanted a deal covering digital services after the more “erratic” stance of the Donald Trump White House held up progress.
Britain’s overseas territories and crown dependencies have argued that they cannot be considered tax havens following the crackdown on the secret bank accounts held by individuals.
But the Tax Justice Network said they continued to facilitate capital flight from many of the world’s poorest nations, allowing multinational corporations to avoid legitimate claims on their profits. UK overseas
The top 10 biggest enablers of global corporate tax abuse
1 British Virgin Islands (British overseas territory)
2 Cayman Islands (British overseas territory)
3 Bermuda (British overseas territory)
4 Netherlands
5 Switzerland
6 Luxembourg
7 Hong Kong
8 Jersey (British crown dependency)
9 Singapore
10 United Arab Emirates
source: Phillip Inman
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BENEFIT AGM approves 10%...
- March 27, 2025
BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).
Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.
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