The Beginning Of The End
The Beginning Of The End By Michael T. Snyder - Kindle Version

The Prepper's Blueprint

Don't Buy Survival Food Until You Read This - If you stockpile the wrong foods, you could be setting your family up to starve. It sounds harsh, but the truth is too many people with good intentions are making critical mistakes with their food stockpiles. Watch this video now >>
The End of Obama? Approaching Obama scandal could change the White House Administration and our country overnight... Click Here
Gold Buying Guide: Golden Eagle Coins

Archives

The Global Elite Are Hiding 18 Trillion Dollars In Offshore Banks

In recent days, the fact that Mitt Romney has millions of dollars parked down in the Cayman Islands has made headlines all over the world.  But when it comes to offshore banking, what Mitt Romney is doing is small potatoes.  The truth is that the global elite are hiding an almost unbelievable amount of money in offshore banks.  According to shocking research done by the IMF, the global elite are holding a total of 18 trillion dollars in offshore banks.  And that figure does not even count any money being held in Switzerland.  That is a staggering amount of money.  Keep in mind that U.S. GDP in 2010 was only 14.58 trillion dollars.  So why do the global elite go to such trouble to hide their money in offshore banks?  Well, there are two main reasons.  One is privacy and the other is low taxation.  Privacy is a big issue for those that are involved in illegal enterprises such as drug running, but the biggest reason why people move money into offshore banks is in order to avoid taxes.  Some set up bank accounts in foreign nations because they want to legally minimize their taxes and others set up bank accounts in foreign nations because they want to illegally avoid taxes.  You would be absolutely amazed at what some large corporations and wealthy individuals do to get out of paying taxes.  Unfortunately, the vast majority of the rest of us don't have the resources or the knowledge to play these games, so we get taxed into oblivion.

So why do they call it "offshore banking"?

Well, the term originally developed because the banks on the Channel Islands were "offshore" from the United Kingdom.  Most "offshore banks" are still located on islands today.  The Cayman Islands, Bermuda, the Bahamas, and the Isle of Man are examples of this.  Other "offshore banking centers" such as Monaco are actually not "offshore" at all, but the term applies to them anyway.

Traditionally, these offshore banking centers have been very attractive to both criminals and to the global elite because they would not tell anyone (including governments) about the money that anyone had parked there.

These days some governments (particularly the U.S. government) are trying to change this, but we certainly will not see the end of offshore banking any time soon.

The amount of money that goes through these offshore banks is absolutely astounding.

It has been estimated that 80 percent of all international banking transactions take place through these offshore banks.  $1.4 trillion is being held in offshore banks in the Cayman Islands alone.

One article in the Guardian estimated that a third of all the wealth on the entire globe is being held in offshore banks, and others believe that as much as half of all the capital in the world flows through offshore banks at some point.

Obviously, all of this tax avoidance means that governments around the world are missing out on a whole lot of money.

It has been estimated that the U.S. government is missing out on $100 billion a year because of these offshore banks.  Others would put that figure significantly higher.

Avoiding taxes is a game that the global elite have mastered.  They are playing a whole different ballgame than you and I are.  They don't just sit there like idiots and get blasted with taxes.  Instead, they hire the best experts and they employ every trick in the book to hold on to as much money as they possibly can.

These days, taking advantage of offshore tax havens is not that complicated to do.  The following is from a recent Politico article....

A plausible scenario plays out like this: I hire an accountant. Doing her job, my accountant tells me that if I sign a few legal documents and route my money through a small Caribbean island, I could keep more of my paycheck and pay a lower tax rate. I may have earned my money in the United States, but legally I can claim that it was, in fact, earned in a tax haven.

If it is legal, perhaps more of us should look into this.

After all, if playing these kinds of games is good enough for Mitt Romney, then why isn't it good enough for all the rest of us?

During a campaign stop recently, Romney said the following....

"I can tell you we follow the tax laws"

I certainly believe him when he says that.  But it is what he said next that is troubling....

"And if there's an opportunity to save taxes, we like anybody else in this country will follow that opportunity."

I certainly believe him when he says that too.

ABC News recently revealed that Bain Capital has established an astounding 138 different offshore funds in the Cayman Islands.

Something has got to work pretty well to want to do it 138 times.

But Bain Capital was also very busy over in other offshore banking centers as well.

One of the largest shell companies that Bain set up down in the Caribbean was called Sankaty High Yield Asset Investors Ltd.  It did not have an office in Bermuda and it had no staff in Bermuda.  But it helped clients of Bain Capital avoid a whole lot of taxes.

The following comes from a 2007 Los Angeles Times article....

In Bermuda, Romney served as president and sole shareholder for four years of Sankaty High Yield Asset Investors Ltd. It funneled money into Bain Capital's Sankaty family of hedge funds, which invest in bonds and other debt issued by corporations, as well as bank loans.

Like thousands of similar financial entities, Sankaty maintains no office or staff in Bermuda. Its only presence consists of a nameplate at a lawyer's office in downtown Hamilton, capital of the British island territory.

"It's just a mail drop, essentially," said Marc B. Wolpow, who worked with Romney for nine years at Bain Capital and who set up Sankaty Ltd. in October 1997 without ever visiting Bermuda. "There's no one doing any work down there other than lawyers."

The amount of money being funneled through Sankaty today is absolutely stunning....

Today, Bain Capital manages $60 billion in assets, according to a spokesman. The total includes $23 billion in Sankaty debt and credit funds. Half a dozen Sankaty affiliates now are active in Bermuda, corporate registry records show.

The Sankaty debt hedge funds are organized as partnerships in Delaware that produce taxable business income by investing in fixed-income bonds and other debt instruments. Under tax law, even tax-exempt U.S. institutions may face a 35% tax if they invest directly in such hedge funds. By investing instead through a Bermuda corporation, the taxes are legally blocked, experts say.

Of course all of this is perfectly legal.

So nobody gets into trouble for any of this.

By keeping money offshore, even those managing these kinds of funds can avoid being taxed.

Victor Fleischer, a tax professor at the University of Colorado Law School, recently explained how this works....

"The idea behind some of the Cayman Island strategies was that the income that the fund managers receive for managing the money would be kept offshore in the Cayman Island — and the chief benefit is that you can defer when you recognize that income until a later date and you can reinvest the money from the Cayman islands and none of those reinvested funds get taxed until you bring them back either"

So was Romney doing this?

We may never know unless he shows us his tax returns.

What we do know is that Romney has millions of dollars of his own personal wealth invested in offshore tax havens.

The following comes from ABC News....

In addition to paying the lower tax rate on his investment income, Romney has as much as $8 million invested in at least 12 funds listed on a Cayman Islands registry. Another investment, which Romney reports as being worth between $5 million and $25 million, shows up on securities records as having been domiciled in the Caymans.

But Romney does not just have money invested down in the Cayman Islands.  Apparently his money is invested in a whole host of offshore tax havens.

The following quote comes from a Reuters article....

Bain funds in which Romney is invested are scattered from Delaware to the Cayman Islands and Bermuda, Ireland and Hong Kong, according to a Reuters analysis of securities filings.

So is there anything wrong with this?

Well, it depends on how you define "wrong".

What Romney is doing is perfectly legal.

But it also stinks.  Washington lawyer Jack Blum recently told ABC News the following about Romney's finances....

"His personal finances are a poster child of what's wrong with the American tax system"

So now we may have a few hints as to why Romney may not want to release his old tax returns.

But as noted above, what Romney is doing is just small potatoes compared to what the ultra-wealthy do.

The U.S. Congress has been trying to clamp down on offshore banking, but the ultra-wealthy are always two or three steps ahead of them.

The ultra-wealthy will go to just about any extreme in order to avoid paying taxes.

In fact, the Washington Post has reported that an increasing number of wealthy individuals are actually deciding to renounce their citizenship rather than face the wrath of the IRS.

The ultra-wealthy aren't really concerned that much with national citizenship anyway.  If they want to influence an election, they can have far more influence by donating a few million bucks to a "Super PAC" than they can by casting the few votes that they have.

In a previous article, I described how the ultra-wealthy use offshore banks as a "shadow banking system" that plays by rules that most people don't even know exist....

It is a shadow banking system that most Americans don't know anything about. Most Americans don't have the resources to be able to set up shell companies in half a dozen different countries so that they can "filter" their profits.  Most Americans don't know a thing about complicated tax avoidance plans that tax lawyers use such as the "Double Irish" and the "Dutch Sandwich".  Most Americans would have no idea how to eventually have most of the money that they make end up in Bermuda so that it can avoid taxes.

Most among the global elite simply do not care that U.S. debt is climbing into the stratosphere.  All they care about is keeping as much of their own money in their pockets as they possibly can.

Of course there are always exceptions to this rule.  Warren Buffett recently wrote a check to the U.S. Treasury for a little more than $49,000 to help pay off the national debt.

But considering the fact that the U.S. national debt is increasing by more than 100 million dollars an hour, that didn't exactly do much to help.

Our system is deeply broken and the global elite are getting away with bloody murder.  Over the decades, they have carefully crafted the rules so that as much wealth as possible is funneled into their pockets, and they have carefully crafted the rules so that as much wealth as possible stays in their pockets.

Of course if we got rid of the personal income tax and the corporate income tax entirely and replaced them with a completely new system we could get rid of all of this game playing once and for all.

But what do you think the odds are of that happening?

Be Sociable, Share!
  • Graham

    To learn more about the IRS “illegal” income tax, checkout the link below. It is the full documentary made by the late film producer Aaron Russo. I would also advise you Google his name and watch some of his other material re his brief friendship with Nick Rockefeller.

    America: Freedom to Fascism (Full Length Documentary)

    http://www.youtube.com/watch?v=lUpZhhbKUBo&feature=youtube_gdata_player

  • mondobeyondo

    In the meantime, we are all being distracted.

    It’s going to be the Giants and Patriots in the Super Bowl. So, you are all going to get your pizza, buffalo wings and tortilla chips (bread) and the Super Bowl with its pre-game, halftime, and post-game entertainment (circuses). Just like the ancient Roman Empire. Enjoy the show, your imminent doom is about to follow.

    Don’t worry, I’ll still watch it, but afterwards, I’ll continue to focus on what REALLY matters.

  • SMASH THE CONTROL MACHINE

    I KNOW A PLACE THE RICH CAN STORE ALL THEIR MONEY!!!!!“Do not lay up for yourselves treasures on earth, where moth and rust destroy and where thieves break in and steal; but lay up for yourselves treasures in heaven, where neither moth nor rust destroys and where thieves do not break in and steal. For where your treasure is, there your heart will be also. The lamp of the body is the eye. If therefore your eye is good, your whole body will be full of light. But if your eye is bad, your whole body will be full of darkness. If therefore the light that is in you is darkness, how great is that darkness! No one can serve two masters; for either he will hate the one and love the other, or else he will be loyal to the one and despise the other. You cannot serve God and mammon”

  • Poet

    It is all stacked by the marriage of governments and corporations!

  • Bob

    People, whether elite or not, have a RIGHT to hide their money any where they want. It’s THEIR money.

    It’s not tax evasion. The “Income Tax” is a fraud!!! The 16 Amendment was never ratified… the government lied about the ratification. No one owes taxes.
    ~Bob~

  • http://divinecosmos.com/ dgedge

    Want to know where the money really is? What’s really been going on with the “elite”? Check out David Wilcock’s website at divinecosmos.com. He’s
    got a new story out I think everyone will be interested in: FINANCIAL TYRANNY: Defeating the
    Greatest Cover-Up of All Time. Amazing article. He’s got a lot of links and information to back up much of what he says. I’m not telling you to believe, only to consider what he has to say.

  • Winston Smith

    if they renounce citizenship, then what nation gives them visa’s? passports? or, are we talking about people that eventually get citizenship w/another country?

    • Bob

      You have to get a passport and citizenship in another country before renouncing US citizenship.

  • caotsyn

    Well, I guess then, if the dollar fails, they have 18T zeros and they’ll be as broke as the rest of us.

  • Paperqueen

    Buy gold and silver, get rid of promises of government like 401k plans and all the other **********, including life insurance! These promises are based on fiat money printed out of thin air.
    Listen to Ron Paul’s messages and go to mises.org to educate yourself!
    The 18 Trillion of the so-called Elite are on the other side promises as well: Promises that are betting on YOU: How far can we go? When will the sheeple wake up? Are they going to join us on THEIR ROAD TO SERFDOM AND DESTRUCTION?

  • gary2

    The words honest and rich can not be used in the same sentance as it is an oxymoran!

  • Jojo

    You just did gary. Doh.

  • JamesAt17

    “deciding to renounce their citizenship.” Heck, I want to do that and I don’t have any money left. If I go to another country, I have to go with nothing and hope to live off the land if that is at all possible. But, being too old, broke, and without the knowledge of how to go about leaving this rotting place, I guess I will have to stay and throw rocks when the SHTF big time.

  • John

    Do most people commenting on here know that its a made up system that we can have a system were no one has to pay taxes of any kind. If the government (not the FED) created the money interest free what taxes would they need they would create the money they need and would spend it into circulation. The taxes we pay only goes to pay the interest (they did not create) on the debt. It is a made up system people and the system loves the “lets get those evil rich” because it keeps everybody distracted from the truth ITS A MADE UP SYSTEM. How did America become the greatest country in history before 1913 and there was NO income tax. This is what the FED system has done. In 1920 only 7yrs after the FED not long to work there magic.
    Gold $20.68oz
    Ford Model “T” Pickup $290 or 14oz Gold
    Bricklayer $2860yr or 138oz Gold
    2011 Nov
    Gold $1750oz
    Ford F-150 pickup $23,000 or 13oz Gold
    Bricklayer $66,000yr or 37oz Gold
    See the truck cost even less than the 1920 model but the bricklayers pay went down 101oz Gold and I did not even figure in taxes or that pay your fare share BS. In 1920 a bricklayer could buy 9.8 new trucks with one yrs pay today the same brick layer can only buy 2.8 new trucks. The rich are not the enemy the FED is the enemy when is the last time a person on welfare gave anybody a job and when does the person on welfare start paying there fare share. America has taxed and regulated its self out of business. If we got rid of the income tax and corp tax think how much of that money would come back to America and create real jobs.

  • Kenuck

    Some depressing stuff..think I’ll go drink a beer and kill a chicken.

  • Grace

    I am assuming that 18 trillion supports their entertainment industries(among other things) because if it doesn’t citizens around the world should stop travel to those places for entertainment until they give up the deadbeats.

  • dogismyth

    This is why the article got off to a bad start…

    “According to shocking research done by the IMF, the global elite are holding a total of 18 trillion dollars in offshore banks.”

    Really? The IMF? What’s the difference between the global elite and IMF? Only one thing…corporate law. Why is the IMF a reliable source to quote? The global elite control the IMF, the World Bank, the BIS and most offshore accounts. So I doubt I would ever trust anything they say.

    So that kinda lets the air our of your article since it has no basis for your conclusion.

  • David

    Good for Romney and Bain Capital. Now how about the rest of us tax slaves getting access to this legal tax avoidance structure?

  • PAUL LEO FASO

    Take it all back, now.

    Stop the criminals at the Federal Reserve Bank and the hedge fund whores who loot the Treasury, run the profits offshore then put up another puppet and stooge Mitt Romney aka “MINT ROBBED ME” as their man to run this nation. It is bad enough to have an undocumented worker now occupy the White House, can you imagine another stamped out Bush zombie at the wheel?

    Time to stand up or get run over again.

    Follow the link, attach their assets and put them all in jail;

    http://www.zerohedge.com/print/365866

  • WTH

    So what, then… when the value of money is reduced to toilet paper, Mitt Romney will be able to wipe everyone’s a**?

  • jonathan wong

    I’d like to detonate an **************** near these off-shore banks at the same time the elites are holding their little roundtable discussions at Davos. I want to see their yes men whisper in their ears about what happened and watch them crap their pants. That would be funny as HELL!

  • Steve

    Prepare yourselves to live the rest of your lives without jobs and money. All the jobs are being destroyed and all the money is being taken out of your hands.

  • http://goo.gl/NFK0A 4thaugust1932

    Indians have hoarded $1.4 trillion black money in foreign banks
    http://www.greatandhra.com/viewnews.php?id=26697&cat=10&scat=25

  • Chip Spradley

    The Fairtax is the answer. HR 25 has 68 sponsors in the US House and 8 in the Senate. Go to Fairtax.org

  • Eric

    Peeps ! STOP towing the line ! We as a REPUBLIC ARE NOT RESPONSIBLE FOR THE DEBT (the gov is ) SUPER TAXING THE RICH IS NOT THE ANSWER ! ( see above) besides we’re all still being hosed by the IRS ! We are not legally bound to pay income tax this is why it’s voluntary you are fed the w2 to sign and tell them how much you owe ! As of 98 IF you believe u are not truly liable they cannot Prosacute and if you avoid taxes if you do pay its not illegal it’s evading they get you on ! Your telling them under penalty of purgery which carries five years ! That’s what the fed sentace consists of ! They also have to allow your new personal argument in tax court NO MORE frivolous argument toss outs ! Study the cases of all those who went to prison. They all signed the 104o and lied or like Irwin got sankitioned by some party line towing corrupt judge Get your three legal opinions and you’r done . Vote for Paul or this is the last 8 months of lady liberty and life as you know it (without the Chinese )

    • Derek

      You sir, are completely unintelligent. How are we suppose to believe you when you cannot form a proper sentence or use correct grammar. Look at the 16th amendment and the Internal Revenue Code, you are required to pay income taxes as a US citizen.

  • Eric

    There is now 16 trillion missing from the reserve I found five trillion sent out In one order to someone with a philipeno passport by goldmans 2.2 trillion was stolen just before 911. The fact is the REPUBLIC is not responsible for national debt !!!! We need to cry foul and fraud as we never was told the scam behind the reserve so all collection per the UCC MUST CEASE when u claim fraud ! No further collection can take place ! As the USA is being run over by a BUS IN 8 months as we have to claim BK as no one is going to renew funds for the kitty at the FR AND our Chief just sent Hillary to china and signed over all our home titles to them and they can use military to enforce ( there hoping ) so they can use them to disarm us which is the end game for citizens. They also gave them the deepest ship base with new Millions in cranes ! Gave UN the keys to the us net kill and he fed the national guard (our militia ) our second standing army for the Republic is the Sheriff ! Obama is sueing 14 dept for org a militia to guard the Const! Do u see what there doing ? Catholic Mystics are reporting CHINA TO INVADE WITH 2 mil wireless army working off a “list” men torn from women sent to be re educated at FEMA camps dissidents will be starved in new stadiums if your on the run chain link electric fences will hold everyone. Grow balls before what little u have blows away like dust ! Your country is in trouble !

  • http://patrick.net roger calvin

    99 percent are fools thinking the rich will trickle it down. They just get bigger pockets.

  • http://www.whatreallyhappened.com Anon

    CONTACT YOUR REPRESENTATIVE!

    Congressman Ron Paul’s H.R. 459, the Federal Reserve
    Transparency Act, could come up for a vote at any time!

    http://www.chooseliberty.org/audit_vote.aspx?pid=s185

    Read more: http://naturalsociety.com/banks-global-elite-confirmed-hold-32-trillion-in-offshore-accounts/#ixzz21cIV5tPs

  • Juan El Olmec

    The level of confusion here astounds me, Yet, all of you sense that something just isn’t right. IMO, what most of you have overlooked is the Preamble to the Constitution which spells out the intent, motivation and goal the Fore-fathers hoped to achieve. “We the people of the United States, in order to form a more perfect union, establish justice, insure domestic tranquility, provide for the common defense, promote the general welfare, and secure the blessings of liberty to ourselves and our posterity, do ordain and establish this Constitution for the United States of America.”

    Then asked yourselves ” Am I Genetically the Descendants of the Authors of this Constitutional Document?” The answer to this question is found in the writings of Peter Wilson Coldham’s [Emigrants In Chains]. This work puts names and faces on the majority of the forefathers of the 99%, how they got to these shores, why they were needed and why the Statue of Liberty continues to beg for more. “Send Me All Your Masses Who Yearn for Freedom”. This was/is the groups viewed by the Elites of their homelands as inferior forms of humanity, ripe to be exported and exploited and viewed in the American Constitution as Chattle and The Collateral this Government uses for the Loans it makes with other Nations.

  • Juan El Olmec

    Another of the facits of this confusion is the denial fostered upon us by The Demons of Discord mentioned in history as the Conquistadors and The Adventurers. If one was to explore the source of Christabol Columbus authority and his ship’s logs, it will be revealed exactly what his mindset was in regards to the Native Indigenous folk that met and welcomed him as he arrived and claimed to have discovered India and China and called this Indigenous welcoming committee, sic, “INDIANS”, inculmiatng his attempt
    to search for a shorter route to China by sailing west across the Atlantic. One would also discover that the authorty granting him license to embark on such a perilous voyage was first created almost fifty years prior by the Papal Bull issued by Pope Nicholas V in 1451 known as [The Dum Diversa}. From this ecclesiastical document came the Letter of Marque known as the Doctrine of Discovery, later adopted by British royalty and utilized to the greatest extent by the Pirate Queen Elizabeth-I and her Seadogs, to rob Spain of their ill-gotten South American gold.

  • Juan El Olmec

    To continue this trilogy, my primary sources stem from the works of Howard Zinn(A History of The U.S. For The American People) [www.The Dum Diversa of Pope NicholasV], [www.The Doctrine of Discovery], [www. Emigrants In Chains] by Peter Wilson Coldham, [www. They Were White and They Were Slaves]by Michael Hoffman.
    What you’ll also discover is that from it’s inception this land wrested from the indigenous Redman was destined as a Penal Colony to house the unfortunates that got caught up in the Elitist Webs of Europe and as a source of replenishing revenue for the many conflicts that had depleted the coffers of Great Britain and her other foes. One example of the plan can be deduced from the History of the London Corporation and it’s subsideraries; East India Company, the Massachussetts Bay Company, and as Coldham points out the growing need and waste of human resources that had previously been ******************* for the least of infractions.

Emergency Essentials/BePrepared
Agora Financial
Thrive Life
FEMA Hates This

Austin Coins
Family Survival Plan - Check This Out!
High Blood Pressure?
The End Of America?
MHAdNew_125x125 copy(1)
FINCA BAYANO
Survive After Collapse
cheaper to burn dollars than paper

Silver.com

Camping Survival
Facebook Twitter More...