TY - CEPII
A1 - Vincent Bouvatier A1 - Gunther Capelle-Blancard A1 - Anne-Laure Delatte
TI - Banks Defy Gravity in Tax Havens
IS - 2017-16
T3 - Working Papers
KW - Tax evasion KW - International banking KW - Tax havens KW - Country-by-country reporting
N2 - This paper provides the first quantitative assessment of the contribution of global banks in intermediating tax evasion. Applying gravity equations on a unique regulatory dataset based on comprehensive individual country-by-country reporting from all the Systemically Important Banks the European Union, we find that: 1) Tax havens generate a threefold extra presence of foreign banks; 2) The favorite destinations of tax evasion intermediated by European banks are Luxembourg and Monaco 3) British and German banks display the most aggressive strategies in tax havens; 4) New transparency requirements imposed in 2015 have not changed European banks commercial presence in tax havens; 5) Banks intermediate EUROS 550 billion of offshore deposits, that is 5% of their origin countries' GDP.
ER -