Most of us look forward to leaving the working world behind, and entering our retirement. We spend decades putting money towards those years of reduced responsibility, but in most countries you will have to pay some form of tax on that pension. However, in some parts of the world you could enjoy a low-tax retirement, or even one without paying tax at all. Read our guide to the countries where a tax-free life is a possibility...

Made up of three Islands in the West Jamaican sea, The Cayman Islands chose to remain dependent on Britain in 1962. The territory has 99,000 active companies in 2016, making the most of the lack of corporation tax. Likewise there is no individual tax, or VAT on the islands. However, it has been reported that cost of living is much higher, with food items costing more as a form of "indirect tax" according to a reporter at The Guardian.

The Bahamas archipelago and its 700 islands, including the peaceful Mayaguana and "boating capital of the world" The Abacos, has the potential for a very lucrative retirement. Residents not only experience clear blue waters, but are not subject to income tax, regardless of where they earn their money. How do you get to live there? To become a resident you only have to pay $1,000 (£784) annually, or to receive permanent residence you must invest $250,000 (£196k) in property.

Another British overseas territory that doesn't tax its subjects at all. The idyllic Caribbean island has no VAT, inheritance tax, or capital gains tax. However, it has got several politicians into trouble over their business dealings: in April 2016 the prime minister of Iceland, Sigmundur Davíð Gunnlaugsson, resigned after the Panama Papers revealed he owned a company in the BVI that owned millions of dollars worth of bonds in Icelandic banks.

The tiny island on Borneo warrants no personal tax of individuals, only demanding that those who are earning pay 5% of their salary to a state-managed provident fund (Tabung Amanah Pekerja, TAP). Corporation tax does exist at 18.5%.

Sat on France's Mediterranean coastline, Monaco is home to the rich and famous, notably Formula One stars such as Lewis Hamilton and Jenson Button. The well-policed independent state does not demand income tax from its residents, however, if you are looking to retire there make sure you have a few million dollars spare. You need to provide a proof of wealth to apply to live there, and make a bank deposit of $1.1 million (£888k).

The Middle Eastern country borders Saudi Arabia and UAE, with a coast that looks out towards Iran on one side and the Arabian sea on another. As well as the lack of personal tax charges, the Arab country's capital city of Muscat is very cultural – a Royal Opera House opened in 2011.

The British archipelago of 40 islands sits just southeast of The Bahamas and offers residents an income-tax free existence. The beautiful islands did introduce VAT of 11% in 2012. Fancy spending your retirement there? The islands have a 'quick residency' scheme, whereby building a new home with a $300,000 (£235k) investment, or investing $750,000 (£588.6k) in a company that is majority-owned by locals will get you a ticket to a tax-free retirement.

The United Arab Emirates neither has personal tax nor corporation tax, making it an attractive country to retire to. The country's climate is hot and sunny, with summers hitting 30-50°C and winters only dropping to around 10-18°C in January. The country's tax policy is not just a draw for retirees, read how this couple cleared their debts by moving to UAE.

This idyllic archipelago of 83 islands in the South Pacific Ocean is free of income tax, VAT, or even inheritance tax. That said, to become a citizen you will need some cash. Vanuatu's economic citizenship scheme relaunched in 2017 whereby a $89,000 (£69.8k) donation will guarantee a year's residency. For those looking for a more permanent fixture, the price of the donation rises.

The British territory, which sits at the southernmost tip of Spain and looks out over the strait to the African coast of Morocco, is a known tax-haven. The self-ruling region has very favourable tax policies, where residents don't have to pay inheritance tax, or tax on the interest accrued on their savings. The news is good for retirees as well: all pensions received from an approved pension scheme for those aged over 60 and employed will not be considered in tax, and so are taxed at 0%.

The Caribbean island is small – there are only around 13,500 inhabitants – but offers much. Anguillan residents are not taxed on their income, and there is no VAT. Businesses are also not charged corporation tax. The best route to become a resident as a retiree is to purchase property on the island.

The central American idyll is popular with US expats for its English-speaking, low-tax living. People who earn more than $26,000 (£20.4k) per year are charged a flat tax rate of 25%, but those who are employed and reside in Belize and whose total annual income is less than $26,000 are exempt from income tax. Pension income is also exempt from taxes, making this a popular retirement bolthole.

Flanked by Caribbean and Pacific seas, Costa Rica is known for its beaches, protected jungle covering about a quarter of the country, and its wildlife. It also doesn't tax anyone who earns their money outside of Costa Rica. Popular with tourists, for those looking to make the move to Costa Rica, a residency visa is available to those who can prove a monthly income of $2,500 (£1.9k), or a $60,000 (£47k) bank deposit for a two-year visa. But for retirees this is reduced to a more manageable $1,000 (£784k) a month. 

Famous for its Black Sea beaches, Georgia is flanked by Russia, Azerbaijan, Armenia and Turkey, and is the key point where Europe meets Asia. If you live and work in Georgia tax is a flat rate of 20%, but if you earn your money abroad you are exempt from income tax. This extends to retirees who don't pay tax on their pensions.

The central American country which sits south of Mexico and borders Belize, is known for its Mayan temples and volcanoes. Despite a long civil war that stretched 30 years, the country has overcome most of those difficulties and its tax laws are drawing in more retirees. Residents are only subject to tax on earnings from Guatemala, and you can actually buy property in Guatemala without becoming a resident. The main prerequisite for residency is proof of a monthly income of $1,000 (£784).

As if the country's low cost of living and existing expatriate communities weren't enough, Malaysia actually has a retirement program called Malaysia My Second Home – MM2H – to encourage foreign retirees. The deal is that as long as you don't work or start a business there all the funds you bring in, including pensions, are tax-free. You do have to prove that you are solvent, though. A 10-year visa requires approximately proof of an income of $2,300 (£1.8k) per month, and a $70,000 (£55k) one-off bank deposit.

Panama has a territorial system, so any income earned outside of the country is exempt from tax. For pensioners, you need to receive a monthly pension of $1,000 (£784) and an extra $250 (£196) for every dependent. Unlike its main residency program pensioners are not obliged to buy property or have another economic tie to Panama. They do, however, have to provide a health certificate and proof of a clean criminal record. Once you have pensionado residence status, you aren’t allowed to apply for citizenship.

If you decide to up sticks to the island-state of Singapore, and receive your pension payments there, tax relief will kick in and you will not be taxed on it. The global financial hub is known as leaping from third world status to first world in only one generation under the leadership of Lee Kuan Yew, and as of 2016 its population was dominated by foreign nationals, at 64%.

However, People are facing a poor retirement in these rich countries.

This Arab peninsular is largely desert, but its capital Doha with its Islamic-inspired skyscrapers which sits on the coast is the most recognisable Qatar landscape. In Qatar foreign pensions are not subject to tax, along as they have not been built up in Qatar. 

Discover The best places to retire to in the Americas

South America's Uruguay is known for its beaches and lush green inland. The country welcomes new residents if you purchase property or invest in a local business, while you will not have to pay tax on foreign income for the first five years of residency, after which a 12% tax applies. However, there's good news for retirees: pensions and capital gains will remain tax free.

Did you know these 10 stars made more money after they retired?

Not necessarily known as a tax haven, one demographic Portugal is particularly kind to is pensioners. Since 2009 Portugal has offered those moving to the country the opportunity not to pay taxes on their non-Portuguese income for the first 10 years. The incentive was started in order to attract wealthy inhabitants to the country.

Can't wait for your retirement? Read Revealed: which US workers retire earliest.

The Thai government is looking to attract wealthy retirees. They offer an exclusive 20-year residency package which demands a $61,000 (£48,138) one-off fee, and $612 (£481) per year, which guarantees VIP access to governmental help with various permits, an annual health check up and even complimentary golf trips. Life there is cheap, with food and transport costing very little, but sadly a foreign pension is subject to income tax. However, no other taxes apply, such as gift, inheritance or net worth taxes.

Not concerned about tax-free living? Read Experts reveal the world's best countries to retire to regardless of taxes.

In January 2017, Italy introduced a new tax regime to attract the wealthy to invest in the country. Italy will waive tax on foreign income in exchange for $113,355 (£88.7k) a year, for a period of 15 years, for those who haven't lived in Italy for the last nine years. Those on the scheme are also expected to buy a property in Italy, boosting the housing market.

The Basque Country is looking to benefit from the fallout of Brexit Britain. The northwestern region of Spain is offering a 15% cut in income tax for five years for Britons who make the move post-Brexit. It also hopes to entice some of the 100,000 Spaniards who have made Britain their home, until now.