Russian use of Section 110 shows 'gap' in IFSC regulation

Trinity College professor says tax scheme used to 'hide the source and ownership of assets'

Prof Jim Stewart: 'In order to impose sanctions, governments rely on professional service firms such as corporate service providers to quickly identify the ultimate ownership of a company.'

Russian firms have domiciled billions of euro in the International Financial Services Centre (IFSC) through controversial structures for years, revealing a huge “gap” in regulation, according to Jim Stewart, adjunct finance professor at Trinity College Dublin.

Mr Stewart has been researching the use of the Irish Section 110 tax scheme by Russian firms for years and said some structures used under this scheme are “legal fictions”  used to “hide the source and ownership of assets”.