Links Jul 10
Jul 29 - Khadija Sharife examines methods used by multinational drug corporations to control markets - and lives, in a two part part piece that describes mispricing intellectual property and R&D costs for life-saving drugs. Then see Part 2 Jul 3: 'The pharmaceutical industry uses dirty tricks to maximise profits at any cost, hurting sick people and taxpayers.'
Africa’s choices widen while the world scrambles for resources Business Day
Jul 8 - Tanzania’s proposal to study a supertax on mines sent African Barrick Gold , the East African country’s biggest producer of the metal, to a record low last month. Ghana, Namibia, Guinea, Uganda, Mozambique and Gabon also are acting to increase their share of profits from mining.
Caterpillar Accused of Demoting Executive Discovering $2 Billion Tax Dodge Bloomberg
Jul 8 - Caterpillar Inc. used offshore subsidiaries in Switzerland and Bermuda to avoid about $2 billion in U.S. taxes from 2000 to 2009, boosting its earnings through a “tax and financial statement fraud,” according to a Caterpillar executive’s lawsuit.
Swiss Banks Block Client Access to Offshore Accounts on Pending Tax Deals Bloomberg
Jul 6 - Some Swiss banks are blocking clients from gaining full access to offshore accounts in connection with tax treaties being negotiated between Switzerland and Germany, the U.K. and the U.S., the Swiss banking ombudsman said.
Change continues to brew ActionAid Blog
Jun 23 - George Osborne was quizzed in the Commons on his support for country by country reporting – a direct result of lobbying by constituents from Bradford-on-Avon. Getting more transparency in the extractives industries is a vital first step. But why stop with mining companies? As we’ve shown with SABMiller, a range of multinationals are dodging their taxes in poor countries. We need greater transparency for all multinationals.
U.S. How to Increase Tax Evasion and the Deficit in 1 Easy Step Citizens for Tax Justice
Jul 7 - Despite the fact that the move would actually increase the deficit by an estimated $3.4 billion, House Republicans voted to slash the Internal Revenue Service (IRS) budget by $600 million. Unlike most types of public spending, increased funding of the IRS actually reduces the deficit. CTJ's director Bob McIntyre notes that, given the increase in tax sheltering in recent years, it may be necessary to double the resources for tax enforcement in order to keep up with tax evasion.
Will GOP Leaders Push U.S. Towards Default by Blocking Revenue Increases? Citizens for Tax Justice
Jul 7 - Republican leaders in the House and Senate have threatened to allow the U.S. to default on its debt obligations unless the President agrees to cut trillions from public services to reduce the budget deficit. Republican leaders have insisted that the U.S. reduce the deficit entirely by cutting spending and not by raising tax revenue. The U.S. is one of the least taxed countries in the industrial world, as explained in a recent CTJ report..
99% of Greek accounts in Swiss banks are undeclared Treasure Islands
Jul 5 -Nick Shaxson comments: 'Ever wondered why Greece is in such a mess? All sorts of reasons, of course. Tax evasion is a big, huge, factor – as is widely recognised,' and highlights a report by Swiss brokers 'Helvea: 'Their table on page 13 notes that just one percent of Greek (and Italian) assets in Swiss banks are declared to their home tax authorities.'
Liechtenstein reveals the weakness of the current European Savings Tax Directive Tax Research UK
Jul 8 - Richard Murphy observes: 'What is clear is that the case for reform of the European Savings Tax Directive is overwhelming given this massive failure of the existing arrangement to tackle serious tax abuse.'
Rolling Over Barlow's Cayman
Jun 29 - Commentary on prejudice against and deportation of immigrant unmoneyed black Jamaicans in Cayman. Worth reflection considering how, in comparison, Cayman welcomes the mostly white wealthy foreigners and finance professionals. A picture that is similar in other tax havens.