Monday, March 08, 2010

Companies profit while politicians dodge

For the French speakers among you, Xavier Harel, a journalist with La Tribune and author of La Grande Evasion has given an interview in which he takes the government of Nicolas Sarkozy to task for not acting to clamp down on transfer mis-pricing.

As Xavier points out in the interview, in September 2009 the French President announced that "les paradis fiscaux: c'est fini." Essentially he was referring to banking secrecy laws, but the bigger issues remain off-agenda.

Despite years of campaign and advocacy work by trade unions and NGOs, Budget Minister Eric Woerth continues to turn a blind-eye to the problem of corporate profits-shifting, dismissing this issue with an abrupt "c'est ne pas la problème." Au contraire, Monsieur Woerth, this is a huge problem, as our colleagues at GFI have amply demonstrated.

You can watch Xavier Harel discuss these issues in a series of mini-clips here.

For those who want to sharpen up their French, here's a taster of what Xavier discusses:


Blogger Physiocrat said...

Companies will always be able to shift their profits. There is only one thing they cannot shift and that can be taxed without leakage losses. But if one wants broadly-based tax systems then most of them will be leaky.

1:39 am  

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