BVI Finance commissioned report on the role of BVI companies in global economy

The report written by Capital Economics and funded by BVI Finance states that the British Virgin Islands are strongly contributing to the global economy and facilitating international trade and investment. It is estimated that US$1.5 trillion worth of assets are currently moved through the BVI companies and structures, and BVI is named a “sound and reliable centre which has worked harder than many bigger nations to meet international standards, and not some supposed tax haven.”

According to the report, the jurisdiction is no longer used for tax benefits alone, and has a very strong legal framework that draws heavily on US law and helps facilitate cross-border transactions. It is also emphasized that the BVI has increased transparency and information sharing – companies must now disclose the names of their directors and beneficial owners. However, ownership information can be obtained only through a court order or with the company’s permission.

Capital Economics claims that the BVI is a “substantial net benefit to governments worldwide”, and estimates that, globally, US$750 million is saved in taxes, compared to $15.7 billion that is generated. In the UK the investments made through BVI companies generate $3.9 billion in income and corporate tax.

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