The reason Cayman Islands is considered "Tax Heaven" is because the government there does not collect income tax, capital gain tax, or corporate tax. Note: Not only that there is no income tax, but also that there is no corporate tax. That explains why Alibaba, Tencent and Baidu are all headquartered there. By establishing their headquarters in Cayman Island, these corporations can save a huge amount of corporate tax each year. Though the British Oversea Territory does not collect income tax, capital gain tax, or corporate tax, tariffs on imported goods are exceptionally high. Tariffs range from 5% to 22% for most imported goods. For automobiles, tariffs are as high as 29.5% to 100%. Cayman Islands is among the countries with the *highest* tariffs in the world -- much higher than tariffs levied by developed countries. Cayman Islands is a heaven for rich people, because they can take advantage of the tax policies there (no income tax, no capital gain tax, no corporate tax). However, for the poor people, cost of living in the British Oversea Territory is almost an unbearable burden. Not only that they cannot take advantage of the tax policies, but also that they bear the brunt of the high prices of goods caused by exceptionally high tariffs. Some people in Cayland Islands live in condemned properties with no eletricity and running water. Glad to see that you enjoyed your tour at Caymand Islands! Hope that you get enough "likes" for this video -- and other videos as well -- that your gains far exceed your monetary investiments to make these videos!
