(Toronto Star) Canada is quietly emerging as a popular tax haven for the global elite, who create shell companies with figurehead directors to evade or avoid taxes, a Toronto Star/CBC-Radio Canada investigation has found.
"Canada is a good place to create tax planning structures to minimize taxes like interest, dividends, capital gains, retirement income and rental income," reads a 2010 internal memo from Mossack Fonseca, the law firm behind the massive Panama Papers leak of 11.5 million documents detailing global tax avoidance and evasion.
It's called "snow washing" — using Canada's prudent reputation and solid economy to make suspect transactions seem legitimate. A sprawling international tax avoidance industry is increasingly touting Canada as a jurisdiction for hiding wealth.
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