The EU has flagged up its determination to track down funds invested offhore which, its claimed, have escaped the "Savings Directive" net.

Treasury Minister Allan Bell sounded a warning on Manx Radio a month ago that, due to the low uptake from the Directive, the EU Tax Commissioner may be looking to revisit the offshores, with a possible further tightening of legislation. Now its reported that the net is being widened to Hong Kong and Singapore.

Tax officials are aparently considering ways to to extend the Directive outside its present scope to include these Far Eastern locations.
Investors in Switzerland and Luxembourg are seen to be using loopholes to avoid the extra tax payable, either through a witholding tax or by interest declaration that would be communicated to their domicile countries. No figures are available but its thought that Germans have as much as 350 billions in offshore savings.