According to Bloomberg, moving money out of the usual offshore secrecy havens and into the U.S. is a hot, new business. At a law firm, last September, Rothschild & Co managing director, Andrew Penney, explained the elite wealthy world as to how they can prevent taxpaying. He said, ‘you can ask your client to move their fortunes to the U.S. and keep it hidden from their governments and free of taxes’. It is also now known as ‘New Switzerland’.
It is well known as a fact that other countries are assisting the rich Americans in hiding their money offshore. While, now the U.S itself is evolving as a secrecy haven for rich foreigners and also as a leading tax saver. By opposing to new global standards of disclosure, the U.S is becoming a hot new market and the ‘place to be’ to hide foreign wealth.
Indeed, now everyone from London lawyers to Swiss Trust companies is helping rich accounts of the world in moving from places such as the British Virgin Islands and Bahamas to Wyoming, Nevada and South Dakota.
It is truly ironic that the USA has been headstrong, obstinate and self-righteous in condemning the Swiss banks for becoming the banking secrecy jurisdiction, wrote, Peter A. Cotorceanu a lawyer, in a recent legal journal.
Obviously, Zerohedge jumped on the article right away, and concluded that America’s gain is Switzerland’s, that centuries-old tax haven’s, loss:
Switzerland has been the global capital of secret bank accounts. That may be changing. In 2007, UBS Group AG banker Bradley Birkenfeld blew the whistle on his firm helping U.S. clients evade taxes with undeclared accounts offshore. Swiss banks eventually paid a price. More than 80 Swiss banks, including UBS and Credit Suisse Group AG, have agreed to pay about $5 billion to the U.S. in penalties and fines.
Guess who was among them? why yes, Rothschild Bank AG last June entered into a nonprosecution agreement with the U.S. Department of Justice. The bank admitted helping U.S. clients hide income offshore from the Internal Revenue Service and agreed to pay an $11.5 million penalty and shut down nearly 300 accounts belonging to U.S. taxpayers, totaling $794 million in assets.
Rothschild is a very old financial institution of Europe and has starts in Reno, Nev, a trust company. It is few blocks away from the Eldorado and Harrah’s casinos. It is moving the wealth foreign client’s fortunes out to offshore havens such as Bermuda and into Rothschild there are trusts in Nevada run. This firm affirms that Reno operation serves the international families who are attracted by the U.S. stability and the customers must give evidence of complying with their home countries tax laws.
Trident Trust Co., one of the biggest providers of offshore trusts in the world, moved dozens of accounts from Switzerland, Grand Cayman, and other locales into Sioux Falls, S.D., in December.
And here is the most striking quote from Bloomberg:
There is nothing illegal that the banks are luring foreigners to stash money in the U.S. assuring confidentiality until they are not intentionally assisting to escape taxes abroad. Yet, the U.S. is regarded as the right place where advisers are promoting accounts ensuring secrecy from overseas authorities.
We won’t comment any further, but leave the conclusions and interpretation to our readers.