Last modified: March 11. 2004 9:09AM
Contracts ban for 'tax haven companies'
By Mairi Mallon
A bill banning state contracts to be given to companies headquartered in so-called "tax havens" – including Bermuda – was passed on Tuesday by the Minnesota State Government Finance Committee.
And the bill could become law by the end of the year if passed by the full state legislature, according to State representative Bill Hilty, the man who proposed the new law.
Bermuda is included in the definition of a tax haven in the one page bill, along with Barbados, British Virgin Islands, Cayman Islands, Bahamas, Cyprus, Gibraltar, Isle of Man, Liechtenstein, Monaco, Seychelles, "and any other country that has no corporate income tax or has an effective tax rate of less than ten percent on income that does not arise in or is not derived from that country".
"These are people that want to belong to the country club but don't want to pay their dues,"
Democrat Mr. Hilty told The Royal Gazette yesterday.
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http://www.theroyalgazette.com/apps/pbcs.dll/article?AID=/20040311/BUSINESS/103110078