Tax evasion rarely causes an international incident but, according to a report in the Guardian, German councillors recently put pressure on Liechtenstein to increase bank transparency amidst reports of tax evasion.

Of all the tax havens in the world, Liechtenstein may not be one of the most glamorous but they recently invoked the ire of German councillors who suspect the tiny European nation of being responsible for large levels of tax evasion. According to the report in the Guardian, the call by German officials for Liechtenstein to increase the transparency of its banking institutions came as a result of the national enquiry into the biggest tax evasion scandal ever to hit Germany.

Tax Evasion – Oasis in the Rough

According to the report in the Guardian, German Chancellor, Angela Merkel, called for an investigation into the banking institutions of Liechtenstein after it emerged that it offer a tax oasis for wealthy Germans and which led to widespread tax evasion. Liechtenstein vowed to quickly eradicate the tax evasion question mark that hung over their tiny nation and Prime Minister, Otmar Hasler, said that they would “quickly clear up” the variety of issues pertaining to tax evasion in their country. In response, the German Chancellor, Merkel, stated, “It would not be good if Liechtenstein was found to be encouraging illegal activities such as tax evasion.” In addition, Merkel called for Liechtenstein to come into line with the tax guidelines of other European countries.

Tax Evasion – German Scandal

Tax evasion seems to have been on the increase of late with heads of multi-national corporations and Hollywood stars alike being caught in tax scandals of their own. According to the report in the Guardian, the investigation into the tax regime of Liechtenstein resulted after prosecutors examined the finances of over 1000 Germans and discovered that were believed to be involved in tax evasion and who had transferred as much as $4 billion into secret Liechtenstein bank accounts. This tax evasion scandal sent shockwaves through the Bavarian country and caused the heated dialogue between Germany and Liechtenstein to escalate.

Speak to Gilbert Tax about Tax Evasion

Gilbert Tax are tax specialists who specialise in resolving tax investigations and disputes. Offering efficient, friendly and cost effective solutions to tax problems, Gilbert Tax are pleased to provide assistance with issues ranging from tax evasion to VAT fraud. With over 60 years of combined experience in the industry, Gilbert Tax offer unparalleled service that will get to the bottom of tax discrepancies and disputes. To find out more about tax evasion and the range of services provided by Gilbert Tax, just call 0800 734 3333 or email scott.gilbert@gilberttax.co.uk.

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