Quote 2 of the day: shareholders, tax avoidance and refined sugar

   0   0 Tax and corporate responsibility, Taxing corporations

A second quote of the day, this time from the Financial Times’ Lombard column, a musing on the current U.S. focused news about corporate inversions:

“Transactions sold on tax advantages should be sources of shareholder unease too. Governments can readily change their minds about corporate tax regimes (see above) and, more importantly, companies should be looking to industrial logic and more reliable financial benefits to justify M&A, not depending on tax wheezes to make the numbers stack up.”

Indeed. Or, as UK barrister David Quentin noted recently for TJN:

“Tax avoidance in companies is like refined sugar in the human body – empty financial calories with adverse long-term health effects.”


Related Posts

New estimates reveal the extent of tax avoidance by multinationals

Price Waterhouse CoopersNew figures published today by the Tax Justice Network provide a country-level breakdown of the estimated tax losses to profit shifting by multinational companies. Applying a methodology developed by researchers at the International Monetary Fund to an improved dataset, the results indicate global losses of around $500 billion a year. The figures appear in a […]

READ MORE →

Is tax avoidance at the heart of Ireland’s economic miracle?

AIB International Finance Centre Dublin - By Estoy Aquí (Own work) [GFDL (http://www.gnu.org/copyleft/fdl.html) or CC BY 3.0 (http://creativecommons.org/licenses/by/3.0)], via Wikimedia CommonsComing out of the economic crisis Ireland was one of the best performing economies, with GDP growth rates of 8.5% in 2014 and an extraordinary 26.3% in 2015. But how much of this economic activity was real, and how much a fiction created by Ireland’s tax haven status? A new paper by Heike Joebges of the University […]

READ MORE →

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to Top