Saturday, July 20, 2013

OECD brings spitwads to a gunfight

British rag, The Telegraph, ran an article recently with this headline :
 OECD unveils plan to end ‘golden era’ of tax avoidance

Apparently, all the big nations have agreed that tax avoidance by the world's largest multinational corporations must come to an end.  And this isn't just hot air they're blowing.  Governments are showing that they're willing to back up their words with their wallets:
Tax reform has been a key feature of the UK’s G8 presidency this year and it followed up its commitment by pledging to contribute €400,000, alongside France and Germany, to help the OECD turn its proposals into concrete policies.
I, for one, am glad to see they’re not just making a token gesture.  €400,000…impressive, isn’t it? When engaging in a political battle with the wealthiest companies on the planet, it’s good to know you’ve got enough financial resources to see you through.
Formal proposals to prevent what the OECD described as “artificial shifting of income” through “base erosion and profit shifting” will not be in place for two years, but will only work if they win universal support, lawyers and accountants warned.
And I am sure that won’t be any problem at all. Achieving unanimity among every single country in the world is usually a cinch. I mean, just look at the United Nations…

Perhaps a better headline would have been
OECD unveils underfunded plan that has no chance in hell of ending 'golden era' of tax avoidance

No comments:

Post a Comment