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Tax haven

Term Definition
Tax haven
A territory, country or state where specific taxes are imposed on individuals and corporations at lower rates than in their country of residence or not at all. It can be financially compelling to both corporate entities and people to form subordinate companies or relocate themselves to places with lower to zero taxation levels (proportionate to common global tax levels) to lower their tax burden. http://en.wikipedia.org/wiki/Tax_haven
 
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