Money which is earned or acquired through illegal means or unlawful activities is termed as black money. Highest black money countries in the world have very strong economy to get high benefits illegally. It is a source of income that violates the rules of a country and received out of the way that the government has defined. The sole purpose of unlawful earning is to avoid tax payment and increase profits in a particular period. Any trade or businesses carried out of the government system for which no taxes and fees are paid to the government are known as unlawful actions. Every country tries to protect its economy from taxation and bringing of customers into the tax net, but still it is a challenge for many developing countries where illegal business and evasion of taxes is a real problem for the Governments. According to Director CBI, Indians have most illegal funds that have been taken abroad through illegal means. Indian has stashed more wealth than any other country has taken abroad from the national exchanger. Governments are taking strict measure to stop the illicit transfer of wealth out of the country. List of country with most black money is shown in table of top black money countries in the world.
Sources of Black Money
- Swiss Banks
- Panama Papers
- HSBC Leaks
- Double Taxation
- Government Policies
Swiss Banks are ideal for people who stashed illegal amounts abroad, and they are given protection for their privacy as well as to the wealth by these banks. Similarly Panama paper, which is published by a group of independent journalists, had issued a report about corruption of politicians taken away from their home countries through illegal ways. HSBC Leaks are another source that reveals country with most black money distributed worldwide. However, Double Taxation Agreements protects such people in some countries because they names are protected under the act and the government collects tax on this account. The government has been devising policies to protect the illegal transfer of money abroad and ensure every transaction goes through a system.
Top 10 Countries with highest Black Money in the World
|Rank||Country Name||Black Money in Billions USD|
Q: Which country has highest black money in the world?
United States of America has the highest black money in the world. A large share of markets depends upon illegal activities. Illegal activities including drugs and weapons have high trade in the US. Smuggle the products from different areas to make them precious for others to buy. As there are many corrupt people in USA to make wealth illegally and then save it to banks. Other countries also sent money to US banks to make it legal which they have illegally earned. US banks have the highest wealth stored by the other countries people.