What is an offshore shell company?

According to the International Consortium of Investigative Journalists, which was behind the global release of the so-called Panama Papers, around 40 per cent of the world's 'offshore companies' are located in the British Virgin Islands.

Monaco has the status of a tax haven. (AAP)

The small group of island in the Caribbean has a reputation of being a tax haven -- or place where tax rates are relatively low -- like Switzerland, Hong Kong and Monaco.