Offshore Banking: Is it Legal?
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One of the most asked questions about offshore banking is "Is it legal?" The answer is YES it is legal! Offshore banking has become so beneficial to persons and business that it will never become ille 
gal. In fact it has become an indispensable part of doing business in the global marketplace.
The part that is illegal is attempting to evade paying taxes. It is this aspect of offshore banking that most people think of when they hear the term 'Offshore banking". Tax evasion is a misconception brought on by to many TV shows and movies that paint the bad guys as money launders or funding terrorist. I would like to use this small article to take a closer look at offshore banking activities.
The term 'Offshore' got its name from the British Channel Islands, which are tax havens. The Islands are quite literally located offshore from Britain. Thus the name. Today however, the term refers to banking in any other country that you are not a resident of, whether it is an island or not. In fact technically it doesn't even have to be a tax haven country to be considered offshore banking.
It is not now nor ever likely to be illegal to move your money from one bank to another bank, even if the other bank is located offshore. It is not against the law to transfer your money from your home country to another country you are not a resident of. For this reason offshore banking will continue to remain legal.
In the global economy many entities including governments have need to transfer their assets around the world. It doesn't matter if you're just an individual or a large business concern there is nothing illegal about moving your money to another countries bank.
If you think about it, if it were to become illegal to move money offshore the global economy would be in jeopardy. People in America are always purchasing things on e-bay from other countries and visa versa. People from all over the world use companies like Paypal to move funds from one country to another easily and legally.
The part that is illegal is attempting to evade paying taxes. It is this aspect of offshore banking that most people think of when they hear the term 'Offshore banking". Tax evasion is a misconception brought on by to many TV shows and movies that paint the bad guys as money launders or funding terrorist. I would like to use this small article to take a closer look at offshore banking activities.
The term 'Offshore' got its name from the British Channel Islands, which are tax havens. The Islands are quite literally located offshore from Britain. Thus the name. Today however, the term refers to banking in any other country that you are not a resident of, whether it is an island or not. In fact technically it doesn't even have to be a tax haven country to be considered offshore banking.
It is not now nor ever likely to be illegal to move your money from one bank to another bank, even if the other bank is located offshore. It is not against the law to transfer your money from your home country to another country you are not a resident of. For this reason offshore banking will continue to remain legal.
In the global economy many entities including governments have need to transfer their assets around the world. It doesn't matter if you're just an individual or a large business concern there is nothing illegal about moving your money to another countries bank.
If you think about it, if it were to become illegal to move money offshore the global economy would be in jeopardy. People in America are always purchasing things on e-bay from other countries and visa versa. People from all over the world use companies like Paypal to move funds from one country to another easily and legally.