Let’s talk #tax and #Luxembourg
Why? Because Tax crime is part of #Predicate offence linked to money laundering and because Luxemburg ranks #6 for #CTHI.
The Corporate Tax Haven Index is a ranking of jurisdictions most complicit in helping multinational corporations underpay #corporate income tax. CTHI evaluates each jurisdiction’s tax and financial systems to create a clear picture of the world’s greatest enablers of global corporate #tax#abuse, It highlights the laws and policies that policymakers can amend to reduce their jurisdiction’s enabling of corporate tax abuse. Combining a jurisdiction’s Haven Score and Global Scale Weight gives a picture of how much of the world’s corporate financial activity is put at risk of corporate tax abuse.
Some statistics
Total amount of legal entities registered in Luxembourg was set at a level of 139 430 by the end of 2021. Such legal entities comprise complex structures defined and bound by historical set up. Why? Because it was a common practice before #AMLD4 when the word got to know what a #UBO is and how they have to disclose their #ownerships.
Most recent ML/TF VERTICAL RISK ASSESSMENT from Ministere de la Justice confirms below graph and describes #inherent as well as #residual ML/TF risks linked to Tax crimes, vulnerability of different legal structures to ML/TF threats and #mitigations measures in place to lower probability of potential misuse. Such documents is a MUST read and a MUST understand if you want to talk REAL AML/CFT business and individual risk assessment.
Get in touch with us, shall you struggle with understanding tax risks and shall you feel that your Risk Assessment needs improvement.
