Which of the following statements holds true for a tax haven?
A)It refers to a country which requires a substantive local presence of the organization that has parked its revenue in this country.
B)It refers to a country which has highly effective exchange of tax information with foreign tax authorities.
C)It refers to a country which has very advantageous (low)corporate income taxes.
D)It refers to a country which is highly transparent in the operation of legislative, legal, and administrative provisions.
E)It refers to a country which promotes itself as a financial centre for resident companies.

Question

Quizplus · Accepted Answer

Tax havens are characterized by their very low (or even zero) corporate income tax rates, which attract businesses to park their revenues there to minimize their tax liabilities.

Which of the Following Statements Holds True for a Tax