Island catches attention of European banks
The Isle of Man's been labelled a tax haven where European banks are booking abnormally high profits.
The EU Tax Observatory, an independent body partly funded by the European Union, claims the island is one of seventeen jurisdictions where European banks have booked close to twenty-four million pounds in profits.
Their report looked at the amount made by thirty-six banks and concluded they were abnormally high despite the introduction of mandatory information disclosure through country-by-country reporting.
The study, from 2014 to 2020, found on average profits in offshore jurisdictions were around two hundred and thirty-eight thousand Euros per employee as opposed to sixty-five thousand in non-tax haven countries and territories.
The higher the profit per employee and the lower the effective tax rate then the greater the chance places such as the Isle of Man are labelled as a tax haven