10 great places to seek shelter from the taxman

Although the Internal Revenue Service refers to them as "offshore jurisdictions," what we used to call tax havens can be found all over the world. Even if you're not going to invest abroad, many of them are delightful to visit - a rewarding way to use your refund. We asked William Diamond, pre-eminent expert in international taxation, for his picks. He and his wife, Dorothy, have written 81 books, including the three-volume "bible" Tax Havens of the World. Taking time out from his forthcoming memoir - One of a Kind: Learning Secrets of World Leaders - he spoke with Anne Goodfriend for USA TODAY.

Anguilla

This British territory boasts "good (financial) services with. .. integrity." There's also a laid-back culture; locals hitchhike safely. Within sight of St. Martin, Anguilla boasts 33 beaches and 70 restaurants, drawing celebrity visitors such as Mariah Carey, Richard Gere, Susan Sarandon, Kevin Bacon and Sarah Jessica Parker. 800-553-4939; anguilla-vacation.com.

The Cayman Islands

Grand Cayman has "500 banks - every major one in the world." It's also a paradise for beach lovers, scuba divers and snorkelers, with pure-white sands; clear, shallow, 80-degree waters; reefs just offshore; and wrecks to explore. Little Cayman's 6,000-foot vertical wall makes it one of the world's three best dive sites in Jacques Cousteau's ranking. caymanislands.ky.

The Bahamas

"The government understands business, and servicing income is almost as big an industry as tourism." The Commonwealth of the Bahamas, about 75 miles east of Palm Beach, Fla., comprises 700 islands. The banking centers are on New Providence and Grand Bahama; tourists flock to their main cities of Nassau and Freeport, respectively. But the other islands are less Americanized and have more West Indian atmosphere. Balmy in all seasons, the archipelago averages 320 sunny days a year. 800-224-2627; bahamas.com.

Singapore

"The second largest" offshore-investment destination "after Cayman is outstanding - the entire country is a free-trade zone." Although most tourist activity is in the thoroughly Westernized, same-named city, the island's culture is one of great contrast between Indian and Chinese traditions and the British-colonial past. visitsingapore.com/main.

Nevis

This 36-square-mile island, a mere 2 miles from larger sister-isle St. Kitts, has "liberal policies on offshore investing." Especially tranquil for the popular Eastern Caribbean, it is known for its plantations, pristine beaches, and hospitable, "really honest" residents. 800-582-6208; www.interknowledge.com/StKitts-Nevis/knpnt03.htm.

Luxembourg

The Grand Duchy of Luxembourg is "my No. 1" offshore jurisdiction. Its 999 square miles range from the forested plateaus, rivers, lakes and feudal castles in the north (part of the Ardennes) to the quaint, wine-producing Moselle River region in the east. Irving Berlin had a home here and set some scenes of the 1950s musical Call Me Madam in the fictional "Lichtenburg." visitluxembourg.com.

Malta

This Mediterranean island country "is popular as a base for subsidiaries." The strongest influence on its native cuisine is Sicilian, although traditional grilled chops and other British specialties are popular, too. Peppered with Catholic churches and historic temples, palaces, and forts, Malta has a rocky coastline but good beaches and dive spots in the northwest. visitmalta.com.

Ireland

There are green hills and medieval castles, friendly storytellers in convivial pubs, a hip capital city and a thriving financial industry. "It's a good banking system, run by sophisticated British people." The climate resembles Seattle's, and Dublin, which became a thoroughly modern city during the economic boom of the 1990s, is a top destination for Europeans on vacation. 800-223-6470; www.tourismireland.com.

Estonia

The former Soviet state "is replacing Hungary as the best investment country in Eastern Europe." With neighbors Finland and Sweden across the Baltic Sea, this Nordic/Russian country encompasses more than 1,500 islands. This is the land of "white nights"; the longest summer day is 19 hours, and in winter, the shortest day has only six hours of light. visitestonia.com.

The Seychelles

The tropical setting of these 115 coral and granite islands in the Indian Ocean northeast of Madagascar offers "the best scuba diving in the world," as well as "no tax and very good investment-incentive laws." The country reflects African music and culture - the Creole cuisine features myriad varieties of exotically spiced fish and seafood, and rural residents practice gris-gris, the local voodoo. seychelles.com.

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