Manx Tiger; Where is it?

recedite

Interesting to note that just like N. Ireland, the Isle of Man is not in "Great Britain" (that term refers only to the bigger island next to us). But not only that, it's not even in the UK.....or even the EU.
Its natives do not even have automatic right of residency in the continental EU.
This explains why the likes of George Redmond liked to stash their cash in the IOM, and why banking is big business there. (And still is, because unlike Ireland and Iceland, they were in the habit of taking in deposits, not just lending it out.
Here in Ireland our low 12.5% corporation tax rate is credited with a lot of the Celtic Tiger, and is viewed rightly as somewhat unfair by other EU countries looking for FDI. But we get away with it because we are a small country and because we are oirish.
Meanwhile the IOM adopts a 0% corporation tax (but 10% for banks, similar to our old IFSC rate).

Would a MNC have to pay income tax instead of corporation tax in IOM?
Why aren't all the IT, pharma and bio-tech multinationals setting up there?

http://www.isle-of-man.ws/isle-of-man_offshore_tax_haven.php

http://www.lawandtax-news.com/html/iom/jimlatdctx.html

Welease

recedite wrote: »

Interesting to note that just like N. Ireland, the Isle of Man is not in "Great Britain" (that term refers only to the bigger island next to us). But not only that, it's not even in the UK.....or even the EU.
Its natives do not even have automatic right of residency in the continental EU.
This explains why the likes of George Redmond liked to stash their cash in the IOM, and why banking is big business there. (And still is, because unlike Ireland and Iceland, they were in the habit of taking in deposits, not just lending it out.
Here in Ireland our low 12.5% corporation tax rate is credited with a lot of the Celtic Tiger, and is viewed rightly as somewhat unfair by other EU countries looking for FDI. But we get away with it because we are a small country and because we are oirish.
Meanwhile the IOM adopts a 0% corporation tax (but 10% for banks, similar to our old IFSC rate).

Would a MNC have to pay income tax instead of corporation tax in IOM?
Why aren't all the IT, pharma and bio-tech multinationals setting up there?

http://www.isle-of-man.ws/isle-of-man_offshore_tax_haven.php

http://www.lawandtax-news.com/html/iom/jimlatdctx.html

If it's not in the EU, then companies wouldn't have free and unrestricted access to the EU market..
Apart that big problem, what is their infrastructure like, do they have enough trained people with the right skills etc?.. low corp tax is just one reason to locate in a country, and as we have found out, even that is not enough to keep a company here if the other requirements are not met.

recedite

They seem to enjoy a free trade agreement, without being subject to any of the EU regulations.
From that first link above;
"The IOM is not a member state of the European Union, nor is it an associate member. Under protocol 3 to the EU Act of Accession, the IOM is part of the customs territory of the Union for the purpose of trade in industrial and agricultural products but is not subject to any directives or regulations, including those dealing with harmonisation of taxation, financial services, exchange of information or social policy".

I feel there could be future competition between us and them, if we are occupying a similar niche. Or at least some lessons to be learned by comparing the two economies.

ei.sdraob

recedite wrote: »

Interesting to note that just like N. Ireland, the Isle of Man is not in "Great Britain" (that term refers only to the bigger island next to us). But not only that, it's not even in the UK.....or even the EU.
Its natives do not even have automatic right of residency in the continental EU.
This explains why the likes of George Redmond liked to stash their cash in the IOM, and why banking is big business there. (And still is, because unlike Ireland and Iceland, they were in the habit of taking in deposits, not just lending it out.
Here in Ireland our low 12.5% corporation tax rate is credited with a lot of the Celtic Tiger, and is viewed rightly as somewhat unfair by other EU countries looking for FDI. But we get away with it because we are a small country and because we are oirish.
Meanwhile the IOM adopts a 0% corporation tax (but 10% for banks, similar to our old IFSC rate).

Would a MNC have to pay income tax instead of corporation tax in IOM?
Why aren't all the IT, pharma and bio-tech multinationals setting up there?

http://www.isle-of-man.ws/isle-of-man_offshore_tax_haven.php

http://www.lawandtax-news.com/html/iom/jimlatdctx.html

There are much better places to setup than IOM if you want to go offshore

many many IT companies setup shop in these places or other EU countries with lower tax rate like Cyprus, we already lost alot of prospective gaming companies to the later
and not just IT companies banks too

also all of these "British" offshore locations (there are others like BVI) come with alot more strings attached than the likes of Seychelles or Caymans