Liechtenstein as a tax haven

Liechtenstein is considered a tax haven because it offers favorable tax policies and banking secrecy to attract wealthy individuals and corporations. Its low or zero tax rates on certain income, along with strong privacy laws, make it an appealing place to minimize tax liabilities. Many use Liechtenstein's financial services to legally reduce their taxes and protect assets, though it has also been scrutinized for potential misuse in tax avoidance strategies. Overall, its reputation as a tax haven stems from its banking secrecy, attractive tax conditions, and legal frameworks that facilitate privacy and asset management.