Andorra becomes "tax haven" for Russians instead of Cyprus

Andorra becomes "tax haven" for Russians instead of Cyprus

Andorra may be the second Cyprus to the Russians. In recent months, banks have opened hundreds of accounts for Russians wishing to place their money in the principality, according to the Spanish economic edition Expansion.

Andorra attracts Russian money as a "tax haven", analysts said. First, customers appear in the bank records are not under the name, but only under the appropriate number. Second, the opening of accounts goes on for half an hour without any reference to the origin of the money. Third, a deposit of half a million euros is entitled to a residence permit in Andorra.

In this case, investors do not pay taxes on their banking income, except for citizens of some EU countries, and the banking account maintenance costs €400 - €500 per year. Recently, money goes to Andorra from mostly Cypriot banks, which are waiting for an uncertain future due to the economic crisis, reports Deutsche Welle.

The Principality of Andorra, located on the border between Spain and France, is famous for its ski resorts and five banks (Credit Andorra, Banca privada d'Andorra, Andbank, Morabank and Banc Sabadell d'Andorra) and lives off tourism. In this case, the principality is not included in the European Union, but it uses the euro as its currency.