Isle of Man Move to Transparency Proves Correct
I am sure that everyone has seen the headlines today about the computer hack on a major Panamanian law firm, and all those with an offshore connection will wonder what it means for them.
In the case of our clients it means that the decision to use Fedelta in the Isle of Man was a wise one.
In defence of those now being investigated it must be said that they will be judged by today’s standards on events which took place up to 40 years ago, which can be unfair, but the argument that there must be a reason why you choose to use a jurisdiction that still attempts to preserve secrecy is a difficult one to refute. People assume that there is no smoke without fire and the more they are proved right the more damage is done to the jurisdiction concerned and all those who use it.
I have long argued that the number of International Finance Centres (a.k.a. Tax Havens!) will fall, and only those with the highest reputations for transparency and regulation will survive. In this context the Isle of Man Government’s move to full compliance with internationally accepted standards has proved to be a correct decision.
Those of you who have had to answer sometimes irritating questions from our tax and compliance staff can take comfort from the fact that placed in similar circumstances to the clients of the Panamanian firm you should have nothing to fear.