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US Companies Stashing $1.4 Trillion Offshore: Oxfam


#1

US Companies Stashing $1.4 Trillion Offshore: Oxfam

Andrea Germanos, staff writer

Using an "opaque and secretive network" of subsidiaries in tax havens, top American corporations have stashed $1. 4 trillion offshore, a new report from Oxfam shows.

With "a range of tricks, tools, and loopholes," for tax avoidance, the 50 largest U.S. companies, including well-known names like Goldman Sachs, Verizon Communications, Apple, Coca-Cola, IBM, and Chevron, raked in $4 trillion in profits globally between 2008 and 2014, are contributing to inequality, the anti-poverty group said.


#2

The headline writer is innumerate. $1.4 trillion is not $1,400,000,000; that would be $1.4 billion.


#3

From the linked report:

As a first step towards implementing these policies Oxfam calls on all US multinational companies to:

  1. Publicly report revenue, profits, taxes paid, number of employees, subsidies received and other key financial metrics for all corporate subsidiaries aggregated at the country level in every country in which they operate.

  2. End corporate abuse of tax havens and pay taxes where actual economic activity takes place.

  3. Publicly disclose all contributions made to policymakers, trade associations, think tanks and other political entities to influence tax policy.

  4. Publicly support a level playing field on corporate taxation by supporting the Stop Tax
    Haven Abuse Act.


#5

With that segway enter Bernie


#6

How can you have a fair tax system when you have legal political bribery?


#7

It appears to have been corrected now. Though I do not blame the headline writer, the number of zeros is truly dizzying


#8

This is where the real welfare is going.


#11

There is little more boneheaded than calling somebody a bonehead without considering the facts. The headline has obviously been corrected upon pzbrawls's note


#12

A million here, a trillion there -- pretty soon you're talking real money.


#13

Is the new wind in class politics and income inequality drifting upward?
See: UPDATE 2-BP investors say "No" to CEO Dudley's $20 mln pay deal
here: http://www.reuters.com/article/bp-pay-idUSL5N17H3XA


#14

This post was flagged by the community and is temporarily hidden.


#15

We tend to think of this as just us because the headline reads US Companies but these are global companies in global markets and so the damage is global. The big picture is even scarier if you consider the market of just one item, the iPhone. That's one item by one company in a global market. The damage seen in this manner is staggering, mind numbing and obscene. On a personal level, I am disabled, my social security breaks down to $1.50 an hour. My hair is on Fire.


#16

And the Elite will wonder why Trump or Sanders are elected.


#17

"We can't go on with a situation where the rich and powerful are not
paying their fair share of tax, leaving the rest of us to foot the bill.
Governments across the globe must come together now to end the era of
tax havens,"

Brilliant. You know, one thing I have heard from Europeans who visit America is they are shocked by the poverty here. Conversely, when my mother visited Europe she was amazed at how modern and clean it was there and thought that our society looks pretty shabby by comparison. The shabby state of affairs in the USA is a direct reflection our biggest companies not paying their taxes. They want all the benefits of a healthy and educated workforce without paying their fair share. People are waking up to the real cause and effect.


#19

LOL, nice catch


#20

With the current level of education most people won't know the difference anyway.


#21

Like corporation would do that no chance in hell.


#22

" it "clearly does not reflect the real economic activity taking place in Bermuda.""
That's just so brazen of those tax dodgers to do! It makes it so obvious that their intent was to deliberately avoid paying taxes. But their ability to do business depends on the system and that system is supported by taxes. Its only right that they also support the very system that they rely upon. They are the true welfare queens imo.


#23

And the ones that are at the top of these corporations who created, contributed to their existence, or in some way successfully migrated these tax evasions are the ones who were, and still are, the most sought and highest paid by headhunters because they are the "bright ones" , the well educated, top universities, the ones that are paid well because they "earn their keep" so to speak by standards of corporate success. For many, they are the role models of success in our society. But then, there's another group,............who aspire to none of this even if they might have had the chance to do otherwise if born into the wealth that leads to this sort of corruption. They are the ones getting arrested on the Capital steps engaging non-violently the corruption of big money payoffs and contributions in our politics. They, for me, are the heroes, they are the role models, and yes, they are the jailed in our society......hmmm.


#24

Proper supply/demand regulation of a sovereign fiat currency issuing nation dictates that a certain amount of tax must be collected to control/balance/regulate national economic activity.

Tax evasion by high income individuals/entities is yet another subtle but highly effective form of class warfare.
It effectively dilutes the desired wealth equalising effect of progressive taxation scales (based on 'ability to pay') as it effectively imposes the load of necessary taxation to lower income taxpayers.

When those at the top don't pay their proper share they are directly advantaged by accumulating the evaded tax amounts as yet greater wealth; meanwhile those on lower incomes effectively have the evaded taxation amount added to their taxload - they are disadvantaged and thus get poorer.