Fugitive Tax-Slaves

German tax officials raid UBS clients’ homes

"German authorities have launched nationwide raids on suspected tax evaders in connection with a probe into several hundred Germany-based clients of Switzerland’s biggest bank, UBS. The raids were ordered by state prosecutors in Bochum. They were acting on data purchased by the authorities in the state of North Rhine-Westphalia, where Bochum is situated. Opposition lawmakers in the German Bundesrat say the latest developments could further undermine the German government's attempt to secure a tax deal with Switzerland. The treaty is due to come into effect on January 1, but still needs to be ratified by both houses of parliament." Continue reading →

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Amazon.com gets $252 million tax bill from France

"The back taxes, penalties and interest that the French are seeking from Amazon relate to earnings in France for the years 2006-10 and 'the allocation of income between foreign jurisdictions.' Amazon reduces its exposure to corporation tax in France and most of the rest of Europe by reporting European sales through a Luxembourg-based holding company, taking advantage of the tiny Duchy’s relatively generous taxation of non-domestic earnings." Continue reading →

Continue ReadingAmazon.com gets $252 million tax bill from France

The “Essential” Role of Tax Havens

"So-called tax havens are necessary to restrain the compulsive tendency of 'onshore' politicians to over-tax and over-spend. For all intents and purposes, the existence of tax havens makes tax competition more robust. And we need vigorous tax competition because politicians – without some sort of external constraint – will drive their nations into Greek-style fiscal chaos. The real outrage in this issue is that American taxpayers are subsidizing the international bureaucracy [the OECD] that is trying to kill tax competition. So if Republicans on Capitol Hill are looking for some much-needed budget cuts, that’s a good place to start." Continue reading →

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Not a US person? Prove it!

"Please forgive me if this whole affair reminds me of another attempt to round up people of a certain ethnicity. The vast majority of Canadians won’t be able to prove that their parents and grandparents are not Americans nor that they are not holders of Green Cards. Perhaps, the absence of 'the property of the USA' tush tattoo would convince the CBA. But then the banks will have to become like the TSA." Continue reading →

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Money Laundering Accusations Could Delay Cyprus Bailout

"Cyprus had applied in June to become the fifth nation to receive a bailout in the euro crisis. But there are no signs whatsoever that Cyprus is willing to commit to a serious austerity program, sources in Brussels said. The talks could now be delayed by accusations that Cyprus is lax on money-laundering. Banks in Cyprus hold $26 billion (€20.33 billion) in deposits by Russian investors. According to the BND, most of this money has been illegally moved abroad to evade Russian tax authorities. By Cypriot standards it's a tremendous sum given that the island's entire annual GDP amounts to €17 billion." Continue reading →

Continue ReadingMoney Laundering Accusations Could Delay Cyprus Bailout

Money Laundering Accusations Could Delay Cyprus Bailout

"Cyprus had applied in June to become the fifth nation to receive a bailout in the euro crisis. But there are no signs whatsoever that Cyprus is willing to commit to a serious austerity program, sources in Brussels said. The talks could now be delayed by accusations that Cyprus is lax on money-laundering. Banks in Cyprus hold $26 billion (€20.33 billion) in deposits by Russian investors. According to the BND, most of this money has been illegally moved abroad to evade Russian tax authorities. By Cypriot standards it's a tremendous sum given that the island's entire annual GDP amounts to €17 billion." Continue reading →

Continue ReadingMoney Laundering Accusations Could Delay Cyprus Bailout

French officials abuse visa-free travel to spy on tax dodgers in Switzerland

"The French tax officials reportedly travel to Switzerland with a friend or family member when they are supposed to be officially on holiday. They use private credit cards for all purchases in Switzerland and to avoid being caught by Swiss customs or radars, the officials purportedly use cars with interchangeable number plates or take a train. Once in Switzerland they travel around to make sure Swiss-based companies allegedly belonging to French citizens actually have real offices, employees and clients." Continue reading →

Continue ReadingFrench officials abuse visa-free travel to spy on tax dodgers in Switzerland

French officials abuse visa-free travel to spy on tax dodgers in Switzerland

"The French tax officials reportedly travel to Switzerland with a friend or family member when they are supposed to be officially on holiday. They use private credit cards for all purchases in Switzerland and to avoid being caught by Swiss customs or radars, the officials purportedly use cars with interchangeable number plates or take a train. Once in Switzerland they travel around to make sure Swiss-based companies allegedly belonging to French citizens actually have real offices, employees and clients." Continue reading →

Continue ReadingFrench officials abuse visa-free travel to spy on tax dodgers in Switzerland

If You Want Good Tax Policy, Choose Jersey (but not New Jersey!)

"I’m in the Bailiwick of Jersey, which is a UK dependent territory off the coast of France. Jersey is a so-called tax haven, which I applaud because it helps encourage better tax policy in less enlightened parts of the globe. Because I’m such a cultured and sophisticated guy, today I used some of my free time to visit the Jersey Museum. I now know lots of useless trivia about how a tiny island 15 miles from France wound up as an English territory. But I also found something very interesting in the section on the economic history of Jersey. The museum explicitly recognizes the role of low taxation in promoting a prosperous society." Continue reading →

Continue ReadingIf You Want Good Tax Policy, Choose Jersey (but not New Jersey!)

How Do You Turn a Leftist into a Warmonger?

"Here are excerpts from an article posted at The Street, written by a statist who says that 'tax havens' don’t have enough military force to resist high-tax nations. The title is particularly revealing. She must be the fiscal version of a neo-con, urging that high-tax nations should 'Invade the Cayman Islands!' Not Iran. Not Syria. Not Cuba. Not North Korea. You see, those nations are all guilty of causing misery and instability, but such behaviors apparently are far less important than the imagined dangers posed by a prosperous multi-racial society with a competitive tax regime." Continue reading →

Continue ReadingHow Do You Turn a Leftist into a Warmonger?