Monday, July 23, 2012
Tax Justice Network, The Price of Offshore Revisited:
At least $21 trillion of unreported private financial wealth was owned by wealthy individuals via tax havens at the end of 2010. This sum is equivalent to the size of the United States and Japanese economies combined.
There may be as much as $32 trillion of hidden financial assets held offshore by high net worth individuals, according to our report The Price of Offshore Revisited, which is thought to be the most detailed and rigorous study ever made of financial assets held in offshore financial centres and secrecy structures.
We consider these numbers to be conservative. This is only financial wealth and excludes a welter of real estate, yachts and other non--financial assets owned via offshore structures.
The research for the Tax Justice Network by former McKinsey & Co Chief Economist James Henry comes amid growing concerns about an enormous and growing gulf between rich and poor in countries around the globe. Accompanying this research is another study by TJN, entitled Inequality: You Don't Know the Half of It, which demonstrates that all studies of economic inequality to date have failed to account properly for this missing wealth. It concludes that inequality is far worse than we think.
- BBC, Tax Havens: Super-Rich 'Hiding' at Least $21 Trillion
- Bloomberg, Wealthy May Hide as Much as $32 Trillion Offshore, Report Says
- The Guardian, £13 Trillion: Hoard Hidden from Taxman by Global Elite
- New York Daily News, Report: $21 Trillion Hidden from Taxman in Offshore Accounts
- Reuters, Super-Rich Hold Up To $32 Trillion In Offshore Havens: Report
- Wall Street Journal, Tax Justice Network: Wealth Held in Tax Havens Skyrockets
(Hat Tip: Robert Knox.)