Australia To Push For G20 Tax Action Tax-News
Fighting Tax Evasion and Avoidance: A year of progress European Commission Press Release
More countries, including Malta, sign up to automatic tax information exchange pilot Malta Independent
More on a story linked previously
The latest report comes from the Center for Effective Government in the United States.
They examined the job creation track record of 60 large, profitable U.S. corporations (from a list of 280 Fortune 500 companies) with the highest and lowest effective tax rates between 2008 and 2010 and found that the highest taxpaying firms created lots of jobs, while the lowest taxpaying (but similarly profitable) firms shed lots of jobs. Visually:
Updated with U.S. data, at the bottom, complementing the blog on developing countries.
It has long been recognised by people who have studied in this rarefied field that tax incentives are a terrible way to promote development in developing countries (and others). The OECD has a document entitled Draft Principles to Enhance the Transparency and Governance of Tax Incentives for Investment in Developing Countries.
It says, by way of introduction:
The UK satirical magazine Private Eye runs a small section in every edition entitled "number crunching." This one looks at the rather colourful and drug-fueled tale of Britain's Coop bank chief Paul Flowers, which has gained massive media attention in Britain and elsewhere, with titillating stories such as this one.
The image rather speaks for itself. And yet it's hard to be sure which scandal has gathered greater media attention.
For more on HSBC, read this article.
Caution: hold onto your hat -- and perhaps your lunch too -- while reading.
Global Tax Justice in Africa: It's Time to Turn Words into Action Think Africa Press
German ministers used Irish shell firms to balance budget The Irish Times
We just linked to a useful Reuters story pointing to the special pleading of Seychelles:
"Seychelles rejected charges on Monday that it was one of the world's five most secretive tax havens for the super rich, saying the Indian Ocean archipelago had nothing to hide."This follows a decision last month by the Global Forum on Transparency and Exchange of Information for Tax Purposes to list Seychelles among five states that either failed to share taxpayer details with other countries or to gather information on beneficial ownership of corporate entities registered on their territory. We think the Global Forum has been far too weak on many countries, but it is good that some have been fingered - most notably those gigantic European turntables for dirty money, Luxembourg and Switzerland.
Reuters now quotes Seychelles Foreign Minister Jean Paul Adam as saying that small island states had often been targeted as convenient scapegoats.
FINMA chief warns Swiss banks to cooperate swissinfo.
But several banks may refuse the US deal. See also: Swiss Point Man on U.S. Tax Evasion Issue Heads to Washington The Wall Street Journal
Not so cool for tax avoidance anymore! The Hindu Business Line
From David Quentin's tax & law blog:
"The possibility of strong and coherent linkages between tax justice and human rights is starting to emerge. The International Bar Association has recently published an important report on the subject, there was a conference about it in Johannesburg last week (at which I was a speaker), and John Christensen’s message at yesterday’s "Tax Justice - are you serious?" event was emphatically that an important next step for tax justice campaigners is to forge links with the human rights community."