Quite a lot of sensationalism, here with the Panama papers, as 'tax havens' are currently the progressive's demon flavour of the month.
Point is, 'tax haven' is a relative term, and unless the world could implement a single tax system, fairly and consistently implemented on every single person, trust & company on the planet, the opportunity will arise for international assets to realise profits, and accumulate dividend & interest income in the jurisdiction that best favours them.
This applies too to the movement of capital, which the world would of necessity need stop. All international trade would not be permitted,
All a tax haven needs is a
differential, no matter how marginal, to encourage the recognition of trade/interest/pricing/dividends or profits in the more favourable jurisdiction.
Preventing 'tax havens' will necessitate the re-implementation of tariffs, and trade barriers. As we all know, that went well...
Sounds like the machinations of the erudite Victorian Karl's pipe dream, in the hopeful age before the world had to endure a century plus in the dysphoria after the bogus high in experiments of centrally planned, universally failed economic systems. Long live the economic equality of Cuba & and the Soviet Satellites. While pig headed progressives rant on about a new economic meth high...
Tax havens serve a great international purpose of equalizing world tax rates and world tax effectiveness, and it is not surprising to see amongst those named in the Panama Papers, so many to have come from some of the most restricted economic taxing countries in the world.
Good on them. All they seek is economic freedom & tax fairness.
So while Australians seek cheaper destinations for their accumulated hard work & wealth, they'll serve as a rational barometer to the ludicrous aspirations of the
gimme ideoclast's dumbest dreaming, as their need to be anchored in the reality of business earth 1.01.
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For the record:- the
USA is the world's biggest tax haven, and the tax haven of choice for non resident / non citizens of the US.
It's activity dwarfs the activity of all others, as billions of international dollars are shielded behind the secrecy & privacy provisions of it's own constitution, and this has accelerated as G20 after G20 has made it clear that the smaller havens were to be pursued.
What a cunning cad Mr. Obama is ...
