Individuals’ Capital Allocation in Different Jurisdictions Within the Context of International Tax Transparency: Improving the Global Approaches to Financial Regulation

This article focused on the international practice of financial regulation of legal relations between the jurisdiction and its resident individuals owning the assets in other jurisdictions. Special attention is given to the analysis of international tax transparency impact. The author provides comparative analysis of legal acts of states with different economic development level. The major conclusions can be outlined as follows:at the global level financial regulation of the obligations of resident individuals owning the assets abroad is influenced by two competing trends: the need for liberalization of exchange restrictions and the need to strengthen fiscal control over cross-border taxpayers’ transactions. The level of economic development of the country determines, how much is expressed the displacement of exchange restrictions by tax rules;intensive development of the tax law in many countries is indicated by working-out of new measures to counter tax evasion, both domestically and at the international level; spreading of practice of providing the taxpayers, owning the properties abroad, with additional procedural obligations; application of anti-offshore measures to individuals;international tax transparency gives great opportunities to the state in the counteraction to tax evasion through cross-border financial transactions. But for effective use it is necessary to continue ​​improvement of the administration of information, received during international exchange, as well as harmonization of legal rules and principles ensuring the implementation of international agreements in tax matters. © 2020, Springer Nature Switzerland AG.