Advanced economies over the last few years have focused on implementing a global minimum corporate tax to thwart what is often dubbed a "race to the bottom”, or the concept of companies strategically shifting their profits from high-tax to low-tax jurisdictions to lower their tax rates. In 2021, world leaders endorsed a global minimum corporate tax rate of at least 15 per cent to encourage companies to pay their fair share of taxes and to limit the benefits of companies’ profit-shifting without biasing where they invest.
BVI360 series, Debunking the myths: Tax competition, profit-shifting and avoidance, outlines that tax competition is good for consumers, taxpayers, and firms. It further points out that BVI’s extensive network of tax treaties makes it a tax-neutral jurisdiction that disincentivises profit-shifting.
BVI Finance launched the BVI360 series to showcase the full picture of the BVI’s financial services industry, bringing to the fore the expertise, talent, and evolution of the BVI as a resilient and innovative financial centre and to debunk some of the myths about the jurisdiction.
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