Tax Update Blog: Permalink

« Previous · Tax Update Blog Home · Next »

ETI REPEAL ATTACKS VIRGIN ISLANDS TAX SCHEMES

May 13, 2004

One provision in the Senate-passed ETI bill attacks tax-motivated "moves" to the Virgin Islands. Promoters have touted arrangements that promise greatly-reduced taxes though establishing residency, defined very loosely, in the Virgin Islands.

The new bill would require Virgin Islands residents to file a U.S. return on U.S. income, with penalties of up to $5,000 for failure to comply. It also would establish federal standards for determining who is a Virgin Islands resident.

      Bookmark: del.icio.us • Digg • reddit