[Super Rich] You Need at Least 16 Billion Won to Be in the 'Top 1%'... The Hidden Side of Tax Havens

UK Knight Frank Survey
Wealthy Flock to Tax Havens... Followed by Switzerland and Australia

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The country with the highest wealth among the top 1% globally was found to be Monaco. This is because Monaco has no inheritance or gift tax, attracting wealthy individuals worldwide as a tax haven.

On the 20th, British real estate information company Knight Frank surveyed the wealth size of the top 1% by country, and Monaco was recorded as having $12.4 million (approximately 1.65 billion KRW), the largest amount.

Next were Switzerland ($6.6 million), Australia ($5.5 million), New Zealand ($5.2 million), and the United States ($5.1 million). Following these were Singapore ($3.5 million), France ($3.5 million), Hong Kong ($3.4 million), the United Kingdom ($3.3 million), and Italy ($2.6 million).

Monaco, famous for its beautiful scenic resorts and Queen Grace Kelly, a former actress, has many wealthy residents because it imposes no inheritance or gift tax. It also does not tax income or capital gains. As a result, Monaco has become a representative country for high-net-worth individuals seeking investment immigration as a tax haven. Many super-rich individuals reside in Monaco, including British billionaire Jim Ratcliffe, who attempted to acquire the prestigious football club Manchester United, and Stefano Pessina, chairman of the American pharmacy chain Walgreens Boots Alliance.

On the other hand, the Philippines and Kenya recorded the wealth of their top 1% at only $57,000 (approximately 76 million KRW) and $20,000 (approximately 27 million KRW), respectively, clearly revealing the wealth gap between countries. The minimum wealth required to enter Monaco's top 1% is 218 times that of the Philippines and 620 times that of Kenya.

Bloomberg reported, "This survey clearly shows the widening wealth gap between countries due to the COVID-19 pandemic and rising prices," adding, "Low-income households worldwide must spend a much larger portion of their income on food and housing due to the burden of inflation."

Flora Halli, partner of Knight Frank's research team, analyzed, "With the global increase in inequality, there may be growing interest in taxing this group (the wealthy) in terms of assets."