The Missing $100,000,000,000

from Oxfam America

Developing countries and the US government each lose $100 billion every year because multinational companies hide their profits in offshore tax havens. When multinational companies avoid paying taxes in countries where they really do business, it harms America and poor countries alike.

More here.

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28 Responses to The Missing $100,000,000,000

  1. Matthew Ehrhardt April 15, 2016 at 5:30 pm #

    Now when I see a headline like “100,000,000,000” mission that usually catches my eye. I was expecting some genius heist or some elaborate robbery, but unfortunately I was just dished a big old plate full of reality. I am a big enough man to admit that I was not this aware of the distribution of wealth and the evasion of taxation in this country. I am aware of the use of off shore accounts but I never have really looked into why these accounts are so beneficial and how they work. Now if I was a corporate executive I would be doing the exact same thing. Personally I believe this way of saving money is wrong, but I also think that if it’s an easier way to save, and its legal, then it should be done. The people writing the article make the corporations look like the bad guys but in all honesty it is the law makers and politicians who let this happen. There is still of course some blood on the hands of the executives here, but we should focus more attention on who is letting it happen then who is actually doing it. Think of it in law for instance. When some law is broken or something goes wrong what do you do? You find out who is responsible for the action taking place. Let’s say that a little kid does something wrong or breaks a law. You don’t go an prosecute the kid for it, you find out who’s responsible for him. In most cases that would be a parent or a legal guardian. Even if they aren’t the one doing the actions they have the power to control it. I did do the little survey at the end to help legislation pass the new law to prevent this saving in off shore accounts.
    Now when I see a headline like “100,000,000,000” mission that usually catches my eye. I was expecting some genius heist or some elaborate robbery, but unfortunately I was just dished a big old plate full of reality. I am a big enough man to admit that I was not this aware of the distribution of wealth and the evasion of taxation in this country. I am aware of the use of off shore accounts but I never have really looked into why these accounts are so beneficial and how they work. Now if I was a corporate executive I would be doing the exact same thing. Personally I believe this way of saving money is wrong, but I also think that if it’s an easier way to save, and its legal, then it should be done. The people writing the article make the corporations look like the bad guys but in all honesty it is the law makers and politicians who let this happen. There is still of course some blood on the hands of the executives here, but we should focus more attention on who is letting it happen then who is actually doing it. Think of it in law for instance. When some law is broken or something goes wrong what do you do? You find out who is responsible for the action taking place. Let’s say that a little kid does something wrong or breaks a law. You don’t go an prosecute the kid for it, you find out who’s responsible for him. In most cases that would be a parent or a legal guardian. Even if they aren’t the one doing the actions they have the power to control it. I did do the little survey at the end to help legislation pass the new law to prevent this saving in off shore accounts.

  2. John Ferry April 18, 2016 at 10:38 am #

    Before reading this website, I had no idea what an offshore tax haven was, or how big of a problem it was in the United States. Lucky for me, this website measured the magnitude of the problem numerically: $100,000,000,000. Now, I’m not a necessarily a mathematician, but I can understand how big of a number that is. According to this website, the United State government “lose $100 billion every year because multinational companies hide their profits in offshore tax havens.”

    It is undisputable that $100,000,000,000 could do a whole lot of good for the United States. As the Website mentions, it could help improve schools, roads, bridges, hospitals, and more! Not only does this problem impact infrastructures, but it also serves as a detriment to the common taxpayer. Again, this problem is also numerically measured: $1,026 more out of the common taxpayer’s pocket is taken to make up for the loss of corporate taxes.

    In addition, $100 billion could be used to help the world. The website states that $100 billion would be enough to “quadruple spending on education in the world’s 47 poorest countries,” “Provide basic life-saving health services for 2.2 billion people every year,” and “Provide basic safe water and sanitation services for 2.2 billion people.”

    When I scrolled down to the bottom of the page, I was happy to see that the website provided a solution of the problem, the ‘Stop Tax Haven Abuse Act.’ When I saw this title, I YouTube’d it to see what the Act entailed. The first thing I recognized when I saw the list of videos of Senator Levin revealing the act was that none of the videos had more than 2,000 views. None of the videos on offshore tax havens in general on the first page had more than 6,000 views. This tells me that this is a problem that no one knows about.

    After I watched Senator Levin explain the act, I started to think. Why are corporations doing this? When did this start?

    The first thing that I think needs to be considered is that corporations are taxed progressively. So, the more money a company makes, the higher percentage of that money they are taxed. Secondly, we need to remember that the government taxes their profits, not their gross income. Again, the more money a company makes, the more the government takes.

    The website mentions that in 1952, corporate income taxes contributed to 33% of the US federal budget. Now, it’s only 9%.

    From these facts alone, I’m willing to assume that the reason why this is currently such a problem is because businesses are tired of having so much of their money taken by the government. Some may argue that they earned that money, and they shouldn’t be taxed more than others because they made more. The flip side of that argument is that they can afford to be taxed more without the risk of being broke. A progressive tax system sounds like a system that came out of an argument between a socialist and a capitalist on what to do, so they compromised.

    Now we’re at a moral dilemma. Is it right to take away more money from someone who earned more? Do they need that money? It’s no doubt that once someone makes a lot of money, it’s very hard to give it up. Trying to take it from them rarely works, because corporations obviously tend to find a way around it. If the real problem deals with rich businessmen and women not being philanthropic enough, then the solution of the problem is changing their mindset to give more. Is that a realistic solution? Maybe it isn’t, and the only way to get them to contribute is to make them contribute. I don’t know.

  3. kalenga kitenge April 20, 2016 at 12:35 pm #

    I look at this article in two ways firstly through the business point of view and the people’s point of view. If you look at it through the people’s point of view than what businesses are doing is unjust and these activities should not happen in the society because the money that is not coming to the country is being wasted on businesses or ceo’s person interest. I think it is unfair that ceo’s are not paying their taxes while the rest of the people are paying theirs. It makes the income gap bigger than what is it now causing inequality. The money that is coming out of the country is not being used effectively and efficiently because the money that is going to off shore companies is not being used properly for education here or other external benefits or private benefits for society.
    Looking through the ceo’s point of view, I think that getting the money you have worked so hard and thrive for should not be taxed. They have worked so hard for their money for it to be given away to someone that does not deserve it. Ceo’s should keep their money away from taxes because they have worked so hard for it, they have done much and spend some much of their time to acquire that money for it to be given away to someone who might not pass education.
    Overall, I think that taxes should be less for the top players in society, because with taxes being less than they will not be a incentive to give their money away to off shore companies. With less tax the missing $100,000,000,000 will be less and people will enjoy the money for external and private benefits.

  4. Spencer Ross April 21, 2016 at 8:16 pm #

    It all seems simple when Oxfam America puts it in this way. Corporate tax havens need to be stopped, this was my initial impression after reading through the entire page dedicated to this subject. There was even a petition at the bottom of the page that I could sign with some of my basic information, which makes me a little suspicious because usually a cause will not need a petition if the cause has a solid factual backing. Which leads me to believe that there are other economic factors at play here. One thing I do understand is that changing something like this in America today is next to impossible due to the heavy political presence that almost every major industry has in Washington. If the political stooges of America were asked to vote on the Stop Tax Haven Abuse Act they would immediately run to their lobbyists and would ask them how to vote.

    Stopping corporate tax dodging is good in theory, the corporate tax rate in America has reached its lowest percentage of the American GDP in years, and this is just reflective of what the government make companies pay out of the revenue that the companies actually report to the government. Therefore if companies will not divulge the actual amount of their revenue and profit then the base tax rate on what is reported to the government should be raised, maybe to the rate that it was at in the years following the great depression. Another important thing to consider is that the cost of labor in the United States has made it almost impossible for companies employing low-skill workers to compete in the global economy. This could be a cause for the shady dealings in the finances of major companies, it may be that because American companies cannot employ American workers at the pay rates that they can employ other workers for low-skill jobs, mainly in third world countries.

    Corporate tax evasion is unfair without a doubt, but it will never end because of the massive investment that these companies have in the political arena of the United States. The petition on the webpage unfortunately will fail. It is a fallacy that this country is run by the people, what we have is not a democracy it is an aristocracy hidden behind the mere idea of democracy. The rich or ruling class will always be able to get there way in our society and culture. The “aristoi” control the media, they control political candidates, and they control the influence of the two major political parties. There’s a reason you don’t ever see people in the middle class or the lower class running for office, it is because money gives someone immediate reputation, and clout or influence.

    Another worthwhile point that is the hidden agenda behind a website like this is that giving the missing 100,000,000,000 to a third world country in the form of aid could be very damaging to that country and the people giving the charity. As the old Chinese proverb goes: give a man some fish, he’ll eat for a day; give a man a hook and some string, he’ll eat for the rest of his life.

  5. KoL Unger April 22, 2016 at 12:59 pm #

    Getting your first paycheck is a moment of pride and excitement. With all the hours you have been working, you anticipate finding all the corresponding money about to be in your bank account. Yet the moment of anticipation often turns out to be disappointing when you realize just how much money taxes have swallowed up from your paycheck, leaving you with a pitiably small check. Taxes take up a good amount of our incomes, and similarly companies feel the strain. As a corporation, they get taxed double and lose much of their profits to paying taxes on it. From a business perspective, corporate inversion seems like a perfect solution. Simply declaring that a little office building in Central America or the Middle East is your headquarters greatly relieves the amount of money due in taxes. Some may call it smart and logical; others may deem it questionably unethical. Lots of companies are just hiding their profits in off-shore accounts and not reporting the earnings. Whatever the company’s way of avoiding be taxed, it is undoubtable that as a taxpaying citizen these companies are personally costing you money. This is no small issue; over $100 billion each year is lost to big companies avoiding taxation in the countries they do business. A quarter of corporate profits go unreported and untaxed. These companies are drawing on the country’s resources and causing negative externalities that they do not have to pay for. However, this does not mean that no one pays for it. The article presents the fact that every individual would need to pay an addition $1,026 every year in taxes to compensate for tax-dodging. Corporate income taxes used to cover 33 percent of the federal budget, and now it has dropped to 9 percent, even though businesses have only grown in the past years. The article examined 200 major companies and discovered that nine out of ten of them had at least one tax haven.

    This brings up the issue of the Panama Papers which recently revealed the obscene amount of world leaders who were keeping money in offshore bank accounts to conceal their wealth and evade taxes. Many people who were among the names leaked either denied it, resigned from their leadership positions, or were fired. Tax evasion is not just an issue with large corporations but with wealthy people as well.

    If America is able to collect the full amount of taxes of the businesses operating out of the U.S., the possibility of lowering taxes for individuals would greatly increase. Tax evasion is an unethical and illegal practice that obviously should be stopped. However, there are many legal ways that corporation are still able to dodge paying double taxation. While it is legal, there is a question the ethics of the matter. As a business move, it is a super smart. I do not know where I lie on whether it is ethical or not. Either way, I think that businesses should pay taxes in the country whose resources they are consuming and inflicting externalities upon. However, it should be up to the government to enforce this, not the companies to choose the less profitable, more ethical route.

  6. Gregory Doyle April 22, 2016 at 5:16 pm #

    The missing 100 billion dollars made me realize something in my life- what would happen if I were to attain that wild amount of money? Aside from the fame that would come from surpassing Bill Gates as the world’s richest man, what could I as, a sophomore business student in college, possibly do with that kind of money? I can barely even fathom that kind of money existing, how could I spend all of that money in a whole lifetime, and on what kind of items? But then I remembered- I would not even know how to spend $1,000,000.
    As an eager Business student, everyone most likely assumes four things: 1) Since I am studying business, my father or someone close to me works in Business, and I have a job lined up right after college 2) I am from at least a middle class background 3) My dream job is to work on Wall Street 4) I idolize Leonardo DiCaprio’s depiction of Jordan Belfort in “The Wolf of Wall street”. Too bad only half of those are correct. Anyway, people also assume that I am a money-savvy person because I am studying Business. Which, I suppose, would make sense since I would guess that someone who is studying Biology likes science.
    However, I have always been much more of an abstract person when it comes to wealth. Nothing to me is more pitiful than seeing athletes like Floyd Mayweather openly flaunt their wealth. I mean, does someone really need 20 luxury cars, multiple houses, and to wear mink everything? I do not believe so, and I think it is quite ridiculous that someone would blow their money on something so extraneous. So, without a question, I would not be spending my 100 billion the Floyd Mayweather style.
    I read somewhere that most adults would just save their money and pass it on to their children, but I would also have to disagree. When you pass all of your wealth down to your children (especially if the wealth is astronomical as $100 billion), you are enabling them to never have to work for their money. Children, regardless of their parents’ financial status, must be aware of the value of the dollar. It is brutally unfair that some teenagers have to work multiple minimum wage jobs in order to earn some extra cash, while others just have to shout for Daddy and then three big bills fall in their hands.
    By no means am I socialist, though. There needs to be different wealth classes in order to have a full functioning economy, but I am against parents who enable their children by giving them a ridiculous amount of money to live on for the rest of their lives. Bill Gates combatted this by leaving his children an extremely small amount of his $80 billion net worth, and generously donating the rest to charity and scientific research. That way, his children will be forced to work for their wealth, just like he did when he established Microsoft out of a garage. In conclusion, I would probably buy a few nice luxuries, and guarantee some financial security, but other than that, my children will not be seeing a majority of it since I would donate the rest to charity. Everyone needs to work for their wealth.

  7. Burak Eraslan April 22, 2016 at 6:01 pm #

    I personally am against corporations being taxed so much more than the regular tax rate. Although I am not for the rich getting richer, and the poor getting poorer, I do believe that success should be rewarded properly. Just because a corporation does exceptionally well, and is very good at what they do, they shouldn’t be hit with even more taxes just because they can pay it off. This eventually leads to going to banks overseas to avoid all of the taxes that they would have to pay here if they were to stay here. I do believe that people should be more honest in their intention with the money that they would save from the taxes. If corporations used the money that they would save from taxes to pay their employees better, then I definitely agree that the government should not be enforcing this as much. However, If corporation are going to disperse the money to higher ups in the company, then I do believe that the corporate tax rate should be in full affect, as the people who will probably get this money will soon enough just make more money that they do not need. I also am questioning what all of this money would even go to. The money that they would make from the taxes of corporations would be nearly 100 billion dollars, and I think that the use of this money would not be fully used to better the lives of people in America. The money would be spent for things like weapons, and the army.

  8. Cailee Valente April 22, 2016 at 7:01 pm #

    I would like to know what company’s motives are when they are avoiding paying the taxes that they should. Do they want to become richer by saving more money? How much does having this extra money really benefit them or their company? From the company’s perspective it is logical to do whatever they can to avoid paying taxes but it is not ethical, but a lot of business leaders do not care about this ethical issue. This website educates the population on the issue and how it is harming not only Americans, but in essence the entire world. So is avoiding the taxes to better yourself really worth harming everyone else? In economics we learn that everything has an opportunity cost and this is one of those examples. By making the company better off, they inherently make the rest of the population worse off. However is this really necessary? No. The companies that participate in these actions can chose to abide by the law and pay the taxes and they probably will not be hugely impacted. From the perspective of a rich person, becoming even more richer is probably a thousand times more desirable then becoming less rich but how much does this extra money really change things? If you already have enough money to support yourself, plus some to save, plus a huge amount of extra money then why is becoming richer necessary? Again, some of the public may feel this is unethical, but each person has their own opinion.
    I have not really been engaged in politics until this election just because I am older now and found this election to be rather amusing. One of the big issues that came up is taxes and whether to tax the rich to help the poor or let the rich become richer. I did not like either of these and figured there had to be another alternative. I felt that it was unfair to tax the rich by more because in most circumstances the rich work hard to be where they are and their money is well earned. If becoming rich was that easy everyone would do it, but this is not the reality. I also felt it was bad to raise taxes, because that is unfair to the poor. Yes there are some lazy people who could work and chose not to, but there are also other people who can’t find jobs or are disabled and cannot work even if they wanted to. Then I learned about this issue and the missing $100,000,000. In this situation everyone could essentially win. We would not have to raise anyone’s taxes because all of the money that is needed would be coming out of companies. The website listed all of the amazing things that could be done if this money was present such as providing healthcare which is very important to me. Healthcare is something that should be provided to everyone for free because it is out of your control if you get sick and it is unfair if the rich are able to receive better treatment than the poor. I feel that it is unfair to make the hardworking people pay extra in their taxes in order to pay for things such as healthcare, but this could easily be solved by reclaiming the missing money.

  9. Vincent DeBartolomeis April 22, 2016 at 7:25 pm #

    Problems in society like this should be receiving more attention than they currently do. It is intrinsically unfair for these corporations to be paying a significantly lower tax rate than regular citizens and for them to be cheating the system because they have the power to do so. In order for the capitalist system of taxes to work, large corporations need to pay their taxes to the government to not only help stimulate the economy but also to help develop society with improvements in education, hospitals, and roads. By not paying taxes and stashing returns in offshore accounts, these corporations are hurting society as a whole for their own benefit. In order for capitalism, or any government system really, to work, corporations and the powerful should have to follow the same rules as the common person. If the rich and powerful are given an unfair advantage such as not paying fair tax rates, then the poor will remain poor and never have the opportunity to become equal to the rich.

    Reading this article, I immediately thought of the Panama Papers. Recently, some documents were released to the public that revealed similar corruption within government and large corporations. One of the biggest stories that came out of the papers was that the Prime Minister of Iceland was holding offshore accounts and not paying taxes after continuously denying the accounts in years prior. It amazed me how corrupt politics and private corporations can be. When the head of a country works that hard just to hide taxes in an offshore account it makes me wonder how many other people in the United States are doing the same thing. $100 billion is a lot of money and it could do a lot of good in society. Instead the rich are getting richer and the poor don’t have anything to lean upon in order to help themselves. If the government is already corrupt, then we cannot call upon the government to solve the problem. Instead, it is upon the people that are aware of the corruption to do something and to call out those in power for avoiding taxes. Much like the journalists that uncovered the Panama Papers, it takes a lot of man hours and hard work to find evidence, but in reality hard evidence is the only way to prove the corruption and solve the issue. With evidence, people will be called out of office and it will be the first step toward a more balanced system. Until then, it is very difficult to solve the problem other than making others aware of the issue. The article takes that step in allowing for people to send letters to their senators to pass a law to stop corporations from avoiding taxes in offshore accounts. If the senators truly have the interest of the people they represent in mind, they will help to sign the bill into a law and stop the corruption among these corporations in an attempt to stimulate the economy and even the playing field between the rich and poor.

  10. Matt Gorski April 22, 2016 at 7:25 pm #

    It is certainly a staggering number just by looking at it: $100,000,000,000. That is the amount of money US corporations hold on off shore accounts, away from the power and jurisdiction of the US Government. This amount of money represents everything that the average citizen fears about the big businesses in this country. This number truly does make the big banks and companies of the world untouchable for the rest of society. It shows to the regular person that these companies can do their business outside of the US and there’s not much in the way to stop these companies from continuing to do the same thing.

    There are numerous things this money could be put to use for and would provide tremendous good for society. From improving the education system in this country to upgrading and repairing the infrastructure of America. The $100 billion stolen from this country by the big banks and corporations could be used towards an almost countless number of things that would benefit this society a great deal. And this money can be used for even greater beyond this nations border. That amount of money is quadruple the amount of spending on education for the 47 poorest countries. That money can also be used to provide basic, life-saving medical attention to 2.2 billion people every year.

    Yet this is not a problem that is meant to be thought of as something out of sight out of mind, as problem too big for the average citizen to worry about. This is having an impact on each and every individual in this country. With an estimated $100 billion being held from taxes, that burden ultimately falls on us, costing taxpayers an extra $1,026 every year. This money being kept hidden by the corporations of this country is resulting in more and more money coming out of the pockets of everyday US citizens.

  11. Olivia Finan April 22, 2016 at 8:59 pm #

    This article is so interesting. Knowing that countries like the United States and countries that are developing are losing nearly one hundred billion dollars per year is outrageous. And to learn that this is happening because multinational companies, like the big important companies that everyone knows about, are hiding their profits in offshore tax havens. When these large companies and corporations avoid paying their taxes, it not only affects those countries’ economies, it affects poor countries alike and even the United States. This article does a fantastic job of coming up with ideas to use that missing billion dollars for. The article suggest that the missing billion dollars be used to rebuild infrastructure and fight poverty. Putting the money towards paying for schooling for the children who cannot afford to go to school, fixing our roads and bridges and maintaining our hospitals. One billion dollars is enough to quadruple the spending on education for the forty seven poorest countries in the world. It is enough to provide basic life-saving healthcare services for nearly 2.2 billion people every year. It is also enough to provide basic safe water and sanitation services for 2.2 billion people. It is important to note that when these large multinational companies and corporations don’t pay their taxes, we are the ones that suffer.

  12. William Vorrius April 23, 2016 at 4:44 pm #

    When I thought of tax havens and people (as well as firms) illegally having offshore accounts to avoid taxes, I would have never thought it would have been 7.6 trillion dollars, as well as the 100 billion dollars that companies do not report. This is illegal, the this website that reports this is currently asking viewers to sign the “Tax Haven Abuse Act”.
    This seems a little illogical, for which it is already illegal for multinational companies to perform this practice (depending on where they are established). On top of this, having this act will not change the practice that multinational companies are doing. It would be just like having certain drugs illegal in our country: there will always be the individuals who go against the law to make some money.
    I find it a little too good to be true that firms are losing an average of 1,000 dollars by having offshore accounts. If this were true, no firms would be giving their money to offshore accounts and they would rather be taxed instead. From what I’vs seen, this website is presented well, but they have no evidence to back it up, with no sources that they get their reports from.
    The number that was the second most alarming to me was the profit shifting report. Profit shifting is a practice where a company does not report a certain amount of revenue that was produced by their firm. This is developed from transferring the profits to an offshore tax haven, thus profit “shifting”. The report is that there is 700 billion dollars of profit shifting reported in 2012. I highly doubt multinational companies are losing profits by putting their cash on an offshore haven, like the website discusses.
    The biggest point of this report was to show how our money is being used selfishly and illegally, where it should be put to good use such as education, roads, and other infrastructure that many poor countries need. It was said that the 100 billion dollars that was lost could have helped 47 poor countries and their education 4 times over. This is the type of thing we need international agencies to look at, such as the UN. Since this is a global practice, the UN should get involved with something like this (for a change). Other countries should ban together, since they do not benefit from firms performing this tax avoiding practice. If this continues, this will make poor countries poor-er and will make the rich companies richer. In the end, it does need to be stopped.

  13. Stephanie Nwaiwu April 29, 2016 at 1:24 pm #

    I feel like it’s the same story we have heard for years. Rich people are evading paying their taxes by storing the majority of their money in offshore accounts. The rich don’t want to to pay the taxes that they can, while the poor are paying for taxes they can’t afford. It really is oxymoronic that such a thing is happening, and while people really want this to change, the likelihood of this happening in our lifetime is actually quite slim. 100 BILLION DOLLARS. That is the amount lost by the government every tax season when people skip out on their income tax. It’s a shame that the rich people in this world are looking for ways to get out of the taxes and things that they have to pay, when regular people who are making significantly less than them are paying full price for their taxes. We have heard a lot about offshore accounts in the most recent years, especially in the advent of this election season, the rich politicians are being exposed for their offshore bank accounts. Recently in the release of the Panama Papers, we have seen the exposing of many high ranking top level officials who had huge off shore accounts. Many resigned from their positions because of the releasing of these papers. What does that say about Americans, or people who participate in these things? Greed is alive and well in the world. Really it’s actually quite shameful what is happening with these people trying to become richer. It is actually a bit interesting to think about because yesterday on my Macroeconomics final we talked about Rent-Seeking and the negative implications that these actions have on the economy. I didn’t really understand fully what the implications were when I first heard all this back in high school. But it’s interesting to be able to understand what really happens when people go around the rules.

  14. Moe Jaman April 29, 2016 at 6:26 pm #

    This article on missing $100,000,000,000 from the United States tax revenue is of no surprise is no new news. Large corporations are known to cook the books and play with their own financial reports to maximize the profits of those who own the company. This is an act of greed that comes of no surprise but is just unnecessary as the billionaires just want more billions.
    It is a common joke today that if someone was to save money they’d simply a stash it in a Swedish bank account. While this seems just like an exaggerated joke at that, the event of it happening is completely possible as well as know to happen every day. It is unbelievable what the rich can and will do to get richer, it seems that they lose their eye for the people around them and are too caught up in trying to live insane lifestyles than rather help those who can barely afford and education or a home.
    This form of money laundering of course does not go on notice. Everyone knows it happens including the governments. But it seems that whatever these corps offer to officials to keep quiet and make it happen are worth more than improving the country these officials so called “serve” and “love”.
    Money being passed around between politicians and corporations under the table is no secret to the world today. It is actually know fact that politicians, especially presidential candidates, are handed lump sums of money and resources to fight for certain sides and keep their mouth shut on certain topics. While honestly is a key to nobility, and nobility is a principal of politicians, it seen that money talk, much louder than morals or heart.
    While all this money can help and the world’s troubles in clean water supply and food supply, it seems that a Ferrari for every day of the week is more necessary to some people. These billions can even be used to reduce the cost of college or even made a free. Debate of Li even better such as supply of money can help extremely lower the cost of Health Care or even make healthcare free.
    It the amazes me that Federal regulation, corporations, and those who are supposed to monitor cash flow knowingly a lout huge corporations such as Walmart, P&G, and even Finance monster, Goldman Sachs to participate in offshore tax havens and not take the change to end the deceitful practice of stowing money for exotic spending.
    Such luxuries and advancements in society had been made by many countries in Europe, but it seems that due to American greed and are wonderful idea to store money in European Banks, our ploys to tax evasion not only hurt the nation as a whole but prevent the country and everyone in it from advancing forward to a new age, where life is better for most if not all people.
    The us government as well as economic regulatory branches must improve their protocol to adjusting offshore tax statements and work harder to discontinue the practice of hiding money from the people who need it. I will never understand how someone doesn’t see the virtue and bliss in helping millions of others live happies and easier lives.

  15. Kate Worthy April 30, 2016 at 1:35 pm #

    No one enjoys paying taxes, but it is part of being in the real world. Our society wouldn’t be able to function the way that it does if everyone didn’t put in their share to better our society even more. Looking at a pay check and seeing all those hours of hard work disappear out of your wallet and into the government’s hands. The one thing that can give you some short of peace of mind is that everyone has to give their piece of the pie to help the greater good. However this isn’t what actually happens.
    Oxfam America creates a presentation explaining how many multinational companies manage to hide profits in order to skip out on 100,000,000,000 dollars of taxes collective, to both America and several developing countries. In my mind I feel as though it is corporation’s duty to help relieve some of the pressure off of the public and pay a substantial amount of the overall taxes. However, apparently these corporations don’t share the same thoughts as me. The percentage of taxes that corporates has gone done from 33% in 1952 down to a mere 9% according to Oxfam. That dramatic decreased has greatly affected the general public. Because of the lack of funds from the corporation do to off shore accounts the funds have to be generate somehow, leaving personal paychecks to take a bigger hit.
    The worst part of it all is that corporations aren’t doing it out of need, but simply greed. These corporations desire for even higher profits, take money away from hard working people who truly value every dollar. This is clearly unjust, however how is this problem supposed to be fixed. The government would most likely spend such a large amount of money trying to trace and keep track of all of these companies and their profit and probably wouldn’t be able to do anything about it most of the time, leaving the government in worse shape than the money they are already missing.
    An even bigger problem that the presentation mention is one of the statistics that it closes with. The presentation says that sixty two people hold just as much money as half the population of the entire world. This was the most shocking thing I read throughout the presentation. I knew that there was a huge wealth gap in this world but I wasn’t aware just how large it truly was. I think this is the real issue we need to fix. However figuring out just how to fix it is the problem. One of the things that makes this so difficult is that fact that those who are so filthy rich have the ability to cheat their way into even more money. These are the people who are causing problems, because not only are they gaining more money, but that means they are taking it away from someone else. In my opinion there is nothing wrong with living comfortably as long as you made your money honestly and use you good fortune to give back to those who are

  16. Jason B. June 4, 2016 at 5:16 pm #

    By manipulating financial records in order to reduce their taxes, corporations like the ones mentioned in this article are committing serious crimes that adversely affect millions or even billions of people around the world. These corporations are committing fraud and tax evasion and should be reprimanded just like anyone else would if they committed similar crimes. I personally think that it is disgusting that these corporations that are making billions of dollars are unwilling to pay their fair share and that because of them taxes get raised for individuals who already struggle to afford them. Corporation’s taxes should be going towards helping others and furthering this world, but instead they go towards super yachts and mansions.
    The corruption and greed that is spreading like a disease across this world is one of the main reasons that I decided to pursue a career in forensic accounting. I want to help to put an end to all of the embezzlement and crime that is occurring in this world in order to help others. By enforcing the law and reprimanding anyone who dares to break it, including the wealthy and large corporations, we can work towards a future that is free of corruption. At the moment, corruption in large corporations is ignored, some people even joke that it is a standard business procedure. If we continue to think like this corrupt corporations will continue to steal and cheat, which ultimately hurts the general public because we are punished for their crimes.

  17. B. Chen June 4, 2016 at 6:55 pm #

    This is painful reminder of the kind of world we live in. It is a world that a few individuals out of greed amass and store so much wealth while there are hundreds of millions of people living in poverty around the world. In as much as it is a capitalist world and there is really nothing wrong with getting so much wealth, I find this issue of avoiding tax by the very wealthy as a way of stealing from the other people. It even becomes worse to learn that they steal from the poor especially the developing countries that struggle all through trying to feed their people, to provide health care, infrastructure and other basic social services to the people. In my view, I do not see the need for someone to just store that huge sum of money idle while there are millions of others suffering. I think it would be good for the governments around the world to reform their tax laws so that they can make this idea of avoiding to pay taxes and then store the money in “tax havens” hard and so that it could end with time. In as much as we would like to criticize this act of these people of avoiding the taxes and stashing the money in tax havens, I think it is the responsibility of the government to ensure such acts become difficult to commit. No one really likes to pay taxes and I am sure very many people do pay taxes just because there are laws requiring them to pay otherwise they would all fail to pay. So it is just the government that can act and see how this can be stopped and prevented from happening in future.

  18. Jacob Strauss June 18, 2016 at 4:46 pm #

    I’m going to be the shill here. I don’t see anything wrong with this. Corporations, especially multi-national ones, are clearly successful. They create profits, they employ people, they inhabit structures and properties, and they pay their taxes. Granted, they don’t pay all of their taxes, clearly, but they pay a goodly portion. Some numbers I would desire to see to take this emotional appeal more seriously would be along the lines of “If $100 billion is being siphoned off, how much did all these companies make that year? How much was paid in taxes? Does the United States have the highest corporate tax rate in the world?’
    That last one was a trick question. The United States has the third-highest tax rate, beaten by Chad, with a tax rate of 40%(And a GDP of $13.5 billion) and United Arab Emirates with a tax rate of 55%( and a GDP of $402 billion). The United States’ GDP is 16.77 TRILLION. That means the UAE, yearly, contributes 2.4% of the United States’ GDP. Based on the amount of money the companies and multi-national corporations bring in to the United States that boosts the local economy, I daresay allowing them 100 billion a year to squirrel away isn’t going to sink the ship.

  19. Joseph Padula September 14, 2016 at 11:08 pm #

    In my opinion, this article demonstrates another way in which the rich want to stay wealthy at the expense of the rest of the country, especially the poor. Their egotistical mindset is driven by a greed for power and wealth with no consideration for any other individual in their society. Furthermore, this has been a recurring theme in history of human civilization since the creation of currency. In the Middle Ages, serfdom was used as the elite’s instrument of choice to exercise their privilege of wealth. Since everything was based on social class during this time period, the upper-class was able to pay serfs little to nothing for an unreasonable amount of labor. In the late 19th century, slavery was used as a tool for the wealthy and the upper-class to increase profits of their trade without paying for labor. They would work their slaves to death just to obtain money to feed their hunger. These examples in history illustrate how the wealthy have taken advantage of the opportunities that come with their prestigious title.

    The question that arises in my mind is, how much money is enough? If an individual is financially stable and living very comfortably, what is the need to defy the law? This article demonstrates how wealthy corporations and individuals purposely break the law for their own personal gain. Little do they know, their actions are not only unethical, but they are also making it more difficult for every working class man and woman in this country. To be paying an extra $1026 a year simply because someone cannot resume the responsibility that comes with being a member of this country outrages me. How are we as Americans supposed to better our country if the wealthiest individuals in our country are manipulating the system? Although there is always talk about bettering the country by everyone doing their part in society, the most significant percentage of our population isn’t actually doing their part.

    Our main focus should be obtaining the correct amount of taxes from each and every person. Having corporate tax dodgers paying only a 6% tax rate is unfathomable. The average US citizen pays more than triple that amount. These corporations and individuals should be paying up to 25% for taxes, which would largely benefit the economy and the lower and middle classes. Just like in the International Shoe Co. v. State of Washington case in 1945, the US has an obligation to uphold the whole country to the same standard. By the rich becoming richer and the poor falling lower and lower in the societal spectrum, the US is no longer the land of the free, rather, the survivals of the fittest.

    I do believe the US must act on this imperative issue due to the fact that it is hurting not only the people in our country, but our entire country as a whole. Losing 100 billion dollars a year, like the title of the article suggests, to a multitude of egocentric corporations and individuals shows how important unity is for a country. If everyone did their part in society, we would be able to improve schools, infrastructure, hospitals and so much more. However, I do not believe that this issue is going to be resolved anytime soon. People have always tried to cheat the system to resume or obtain a higher status in society and I do not think mindset will change for a long time. Hopefully, for the sake of the country, it does change to a more unified based ideology to help improve our country’s economy.

  20. Vannesa Martinez September 16, 2016 at 10:26 am #

    Along with its attention grabbing title, this informative article does not fall short of engaging the reader with its jaw-dropping facts about multinational companies evading taxes and unethical business practices. Personally, I am still in awe after reading this article because I am still having trouble fathoming how these corporations hide a portion of their profits and the incredible damage they are doing on a global scale. It is once in a while that you hear on the news about some company who gets caught for illegal practices, but I never grasped until after reading this article how serious these offshore tax havens have become, and the repercussions the public faces. In one sense I feel appalled because I had no idea that companies were hiding this large profit and secondly, all of the potential problems that this amount of money hidden could solve. On the other hand, this is the norm for companies, this is what society is used to, businesses hiding their gains to allow themselves to gain later.

    I am looking at this issue based upon how much society is really losing in this situation. The “missing $100,000,000,000” could have such an enormous impact on society if distributed correctly. It would aid the building of our country’s infrastructure like roads and bridges. In our country’s past, it has been seen through Roosevelt’s New Deal programs that the government allocating monies to help the building of our infrastructure will have a positive impact on the economy and decrease the percentage of unemployed workers. Stepping in and collecting the money that is being lost per year could go towards a number of initiatives. Besides the in country aid this missing money would go to, on an international level, it would help fund necessary basic essentials for people who do not have the access to obtain them.

    For example, it stated on one section on a global scale how much $100,000,000,000 could help society quadruple the funds of education in the world’s poorest countries; provide health-saving services to 2.2 billion people per year; and provide basic safe water and other sanitation aid to 2.2 billion per year. It is startling to read these facts and take in all the potential help that countries could be getting, but up to this moment cannot. The money allocated in these offshore tax havens might not be enough to solve all of the problems plaguing economically difficult countries, but that money that should have been given to the government for tax purpose can have a significant impact on progression. In the end, the public will never see the light of day from those $100,000,000,000 uncollected from tax purposes. The wealthy will always be greedy, looking out for themselves or their close counterparts, but leave their customers to fend for themselves when the going gets tough.

    Ultimately, it is calming to see how the United States government is taking measures to help ensure that these companies with the petition that is being provided on their website. However, I believe that getting an act approved will prove to be extremely difficult because (a) our government has difficulty in agreeing on simple in country matters, let alone international issues and (b) there are government officials who will not admit it, but also benefit from these offshore tax havens. It is an all-around cycle of corruption at every level that essentially will not be ending anytime soon. The rich will always just want to benefit themselves because they will always want to gain as much as they can from the profits that their company is producing. The rest of the 99% can figure out some way to manage by on our own. As much as I would like to believe that money hiding will soon end, speaking realistically it is best not to get our hopes up.

  21. Matthew Marinella September 16, 2016 at 3:06 pm #

    Divulging into this article I did not know what to expect. Seeing that $100 billion dollars is missing is definitely alarming. I was shocked to find out why this money was missing. Large corporations will stoop to the sleaziest of levels in order to preserve their already massive amounts of wealth. Greed is a commonplace for corporations and with greed comes corruption. A stop need to be put to these tax havens. By preventing these tax havens we could see a lot of people benefiting from all over the world. However, this is something I do not see coming to fruition.
    When hear $100 billion dollars you obviously mesmerized by how large of a sum of money that is. The factor that is more shocking is what you can actually do with that money. The changes that can be made in the medical, education, and sanitation industry (such as having clean water) is mind boggling. The article outlines that with $100 billion you could, “Quadruple spending on education in the world’s 47 poorest countries. Provide basic life-saving health services for 2.2 billion people every year. Provide basic safe water and sanitation services for 2.2 billion people.” (Oxfam America). The global effect that this money has will save and benefit the lives of billions. Many countries are underdeveloped and the smallest amount of donation to them could make the biggest difference. This money has avenues to be put to great use with the proper implementation. The companies refraining to their selfish ways is making the less fortunate suffer when they don’t need too. The fact the total has reached $100 billion is not fair. The more unjust action is that these companies have factories located in these poor areas. The property and labor is cheaper in these countries. Therefore, corporations are cutting a vast amount of their expenses by doing this. The least they could be doing is paying the proper amount of taxes that they rightfully owe.
    The difference in an everyday persons taxes to a large corporations is another alarming statistic. The amount that corporations pay is significantly less than a single person who makes $65,000 a year. There is no reason for them to be paying that little in taxes. I understand where the companies are coming from in some senses. I wouldn’t want to pay back a good majority of the hard earned money my company earned either. But, the fact that they are paying a mere rate of 6% is infuriating. That is excessively low and there is no way they should be getting away with something like this.
    In the end, these large corporations fear nothing. They are so large that they feel invincible. Sadly, we ae still going to buy their products and the rich (those who are at the top of the corporations) will only get richer. More attention needs to be brought to this issue. All of that money could be put to such great use. That whole sum of money is doing no good by staying in these people pockets. For once, greed needs to be sidelined especially, when so many lives could be impacted. The one concern I must raise is with the people who collect the taxes, our government. As much as I would like to believe that if they got their hands on that $100 billion they would help make the world better, I can’t seem to see that definitely happening. With corruption everywhere you turn, you don’t know who to trust anymore. One can only hope that one day all of this corruption can come to a stop, and we can come together and chip into to impact our world in a positive manner.

  22. Jason Salazar September 16, 2016 at 4:31 pm #

    The title caught my attention from the start. It is hard to believe that the US government lose $100 billion dollars every year. It is not only the US that lose money but other developing countries as well. The cause of this is because of the multinational companies that hide their profits in “offshore tax havens.” The companies do not pay the taxes in the countries they do business in, which takes an affect in the countries that are not collecting the tax they should. The website shows all the possibilities the money that is lost could be used for if we had it. $100 billion dollars is more than enough than to make a difference in the world today. There are many countries today that need help. Not only does the loss of this money affect the US but it affects us taxpayers as well. It makes the citizens of the country pay for the taxes they are dodging. The website shows that every person would pay $1,026. I find it greedy that these big companies and wealthy people are not willing to pay these taxes. They have the money to do that and more but they only care about themselves. They have the estimated amount you would pay if you were single or married and the combined income. The future I would like to have is getting married and having a joint income of around $125,000. The estimate they have is a rate of 14.15% compared to a tax dodger whose tax rate would be 6%. The difference is way too high, the prices come out to $17,687.50 tax bill for my family and $7,500 for the corporate tax dodger. That is a total of about ten thousand dollars more. There must be a way we can catch these companies and make them pay what they should.
    This reminds me of the discussion we had in class. The case with International Shoe Co. V. State of Washington. The companies are working in these specific countries and should be obliged to pay the taxes. These companies, save a couple of thousands of dollar but in the end it ends up hurting the US government and many other countries. The problem is that the companies do not care whether it is affecting any country, they only care about themselves. It is not right having the regular citizens be punished for the things the companies do not pay. Like the website shows, $100 billion is enough to quadruple the spending on education in 47 of the poorest countries. This is something that important in today’s world and it is something that should have major change. There should be major laws enforced to make everyone pay what they should be paying. If they try to find a way out of it, they should be punished. Sure many businesses do this, and it just shows how corrupt everything is nowadays. Some change must occur soon because the people have been punished enough by these corrupt corporations. They need to be stopped as soon as possible. It will only make them wealthier and make the good citizens of the US suffer.

  23. Robby Hazel September 16, 2016 at 5:16 pm #

    In this very interesting and informative article, I learned that multi-national corporations are dodging taxes by hiding their profits in off-shore tax havens. The loss in tax revenue equals roughly one hundred billion dollars each year, greatly harming a nation’s ability to improve its infrastructure and carry out other necessary operations throughout the year. For a nation like the United States, where corporate taxes only represent 9% of the U.S. Federal budget, this does not represent a great deal of concern, as we have enough tax revenue to operate efficiently without the income that is lost due to this tax dodging. However, poorer countries who are being exploited by multi-national corporations that sell to their citizens but avoid paying taxes, simply cannot withstand this loss in tax revenue. They have a much greater need for an improved infrastructure, and could use the money to help solve the poverty problem that is often very prevalent in such countries. This is becoming a huge problem and it needs to be stopped.

    As previously mentioned, countries that are not as prosperous as the United States are being taken advantage of to the fullest extent. Multi-nationals are carrying out normal business operations in said countries, but are hiding their profits in countries with minimal corporate tax rates to avoid paying taxes in other countries. I feel like this is very wrong because the countries who could really use this money are not receiving it, yet the wealthy multi-national corporations are hoarding their profits and making their executives very rich. That being said, nations simply do not work around the loss in tax revenue and decide to do without it, they instead raise the taxes for individuals across the country. I think I can speak for everyone when I say that I would not mind seeing corporations pay more, and myself pay less, when it comes time to pay taxes.

    As a business major that hopes to make a very good living one day, I can completely understand why corporations would want to protect their profits from steep corporate tax rates. Realistically speaking, if there is a way to legally avoid paying taxes, who wouldn’t utilize this to the fullest extent. This practice makes the most sense, and any business executive that values his or her job would likely do their very best to protect the company’s profits. However, I feel that there is an ethical issue that is being pushed to the side by multi-nationals. Bridges are not being repaired, roads are not being constructed, and ways to produce clean drinking water not being developed in areas of the world that need it the most. The article mentioned specific hypothetical situations that would become reality if the one hundred billion dollars was recovered including: the ability to provide clean drinking water to 2.2 billion people worldwide, as well as provide basic healthcare to the same amount of people.

    In my opinion, corporations should not be allowed to continue this practice, regardless of my business-friendly mindset. Multi-national corporations surely can accommodate for the losses they would incur due to paying these new taxes. It would also boost the company’s reputation by keeping them out of the headlines in a negative light.

  24. Jalal Zahir September 23, 2016 at 8:27 pm #

    Unfortunately, the title of the article is far from surprising. I have read extensively in my Macro and Microeconomics courses on how corporations successfully use tax loopholes in order to save themselves millions, if not billions of dollars in taxes. One hundred billion dollars is a monstrous amount, but it is far from surprising. The article was very informative in just how corporations are able to, essentially, steal billions of dollars from the American people. Corporations are willing to use these loopholes to avoid paying taxes for two reasons, greed, and they don’t have to live with the consequences. Corporate America is stronger than ever. Every year revenue and productivity increases while worker’s wages have remained stagnant. Since the beginning of the 1980s worker’s productivity has grown over around %80 and the income of the top 1% of Americans has risen over 240% (Gilson). However, the income of the average household has only marginally increased as worker’s wages have stagnated even though productivity has increased over twice fold (Gilson). Corporate America does not need more money. They are not overburdened by taxes or regulations. They are not discriminated against, and in fact have more than enough laws written in their favor. They make more money each year and each year they pay workers a proportionately less amount. But this isn’t enough. Living in a capitalist society has made it so that there is never enough money for anyone person. Greed drives these corporations to funnel all their money in off-shore accounts. Greed is what caused the 2008 recession, and greed is what currently stagnates the economy.
    Another major reason why corporation have offshore tax accounts and try so hard to avoid paying taxes is because they are not personally affected by it. The leaders of these corporations are some of the wealthiest individuals on the planet. They have millions and billions of dollars and live in gated communities far away from the lives of average folk. They do not have to deal with public transportation, public housing, or public schools. The loss of one hundred billion dollars worth of taxes does not affect them because they do not deal with those public institutions. The leaders of these corporations cannot see past themselves and they do not care about what is best for the common people. The article states that one hundred billion dollars is, “Quadruple spending on education in the world’s 47 poorest countries.” It can also, “provide basic life-saving health services for 2.2 billion people every year. Provide basic safe water and sanitation services for 2.2 billion people.” At one point in American history, corporate leaders and their employees used to live in the same neighborhood. Their kids would attend the same schools. They used to deal with their employees in a humane way and cared about them as people. Then the gap between the 1% and the 99% began to widen, specifically in the early 1980s, and it has exponentially grown ever since. The wealth gap has stripped any humanity from the corporate world. Employers do not see their employees as people anymore, only as numbers to help them make more money.
    As with any sane American, the website infuriated me. The fact that the system is rigged for these billion dollar corporations goes against everything preached about the American Dream. If the average American evades paying taxes, he goes to jail. If a wealthy person does the same thing, he goes on vacation. It is necessary that these loopholes and off-shore accounts are shutdown, but that might simply just not be possible. The United States cannot force corporations that do business here to have store all of their money within the country so it can be taxed. It does not have the ability, or the legal authority to do such a thing. This allows corporations to put their money in international accounts and use the different international tax rates to their advantage. In 2015 Apple paid just a 0.005% tax on its international profits (Kottasova). That is a tax rate of fifty dollars for every million made. They did this by making private with European countries. Apple made a deal with the Irish government back in 1991. Apple was allowed to split these profits between its Ireland branch and an Apple head office that existed only on paper (Kottasova). Apple paid the standard Irish tax rate of 12.5% on only a small percent of its earnings. The article states, “In 2011, Apple Sales International made 16 billion euros in profits. Less than 50 million euros were allocated to the Irish branch. The rest went to the “head office,” out of reach of any tax authority.” Apple was able to store its profits in a place that doesn’t exist. As infuriating of a practice as this is, it is one hundred percent legitimate and legal. Even if the United States could stop this practice in Ireland, Apple would just move and make a new deal with a new country that suited what they wanted. In order to stop such a practice permanently, the United States would have to make a deal with every major country across all continents, and that is not diplomatically possible. The reason why Ireland, along with dozens of other countries, allow corporations like Apple to abuse their tax system is that it brings jobs to their country. Apple has six thousand employees in Ireland and has brought jobs to some of the poorest parts of the country. From a purely economic perspective it takes little to no sense for Ireland to care that Apple is abusing the tax system. Apple gives them jobs, and Ireland willingly turns a blind eye.
    Another reason why there is little chance that major reformations will be passed is because Corporate America has a stranglehold on Congress. Corporations like Apple, Walmart, and Microsoft pay congressman to create laws in their favor. There are 15 Fortune 500 companies that do not pay a single cent in taxes (Weil). This is allowed to happen in this country because Corporate America is the one writing the laws, not the American people. Any legislation that comes across as being anti-corporations gets vetoed because Congress gets paid to vote against it. No matter how irresponsible and flawed the system may be, I have no faith that we will be able to change it. The average American has little to no control over the laws passed, so no matter how hard we yell our voices won’t be heard. This nation was founded as a democracy, but the control that the rich and wealthy have on Congress has steadily turned it into a plutocracy.

    Works Cited
    Gilson, Dave. “Overworked America: 12 Charts That Will Make Your Blood Boil.” Mother Jones. N.p., July-Aug. 2011. Web. 23 Sept. 2016.
    Kottasova, Ivanna. “How Apple Paid Just 0.005% Tax on Its Global Profits.” CNNMoney. Cable News Network, 31 Aug. 2016. Web. 23 Sept. 2016.

  25. kaitlyn healy October 13, 2016 at 10:17 pm #

    Tax loopholes are center stage in the media right now. This advertisement by Oxfam America address what happens when on hundred billion dollars goes missing and what we could be using that money for. Every year corporations and wealthy individuals have to pay taxes like all Americans but tax laws are written with loopholes that can enable an individual and corporations to move their money to a safe haven and avoid paying taxes on that money. This advertisement was basically saying that with that money we would be able to create jobs and improve our roadways and education and build hospitals and also improve the countries bridges and tunnels. The advertisement even went on to say that with this money back into our countries economy we would reduce the everyday American citizens taxes and not have to increase taxes. The advertisement stated that on average a person would have to pay an extra one thousand twenty six dollars more to make up those one hundred billion dollars. It also went on to say that that amount there is seven trillion dollars hidden in off shore accounts. When I looked it up off shore accounts are countries that have a very little or zero percent tax rate. That amount of money is more that Germany and Britain’s economy combined. This seems like a ridiculous amount of money that is being made in this country and hidden. So I had to ask myself why? Unfortunately right now what most of these companies and indiviuals do is completely legal and within tax laws. Is it ethical no but legal yes. So how can we prevent it and make people pay their fair share? We need to change the laws and close these loop holes. I do have some concerns about this?

    If we close these cooperate loopholes who is to say that companies won’t move out of the country and we stand the chance to lose jobs. Is it also a risk that wealthy people won’t want to invest their money here in the United States due to increase tax rates? I know after listening to the debates and trying to understand all of these issues it seems pretty safe to say there are two sides to this tax issue. I was talking to my father about how his company sends products to be made in small countries because it is cheaper to manufacture. Basically this is the same thing, we are taking money away from American workers. What will keep these companies here to pay higher wages and create more American jobs? The only answer that I can come up with is tax breaks. Companies and people need incentive to invest here in the United States. Honestly if someone said to you that you could make much more money in a different venue of course you would do it, it’s all about business and the bottom line. When you Google search this topic the idea of trickle down economics comes up, where tax breaks for the wealthy will create new jobs and a better overall economy. The chance we take is will the rich still take the tax breaks and not trickle down the wealth, which will cause greed. I guess the answer is to close loophole and create new tax laws that will accommodate and give people incentive to invest in the United States.

  26. Jacob Pietras October 14, 2016 at 9:35 am #

    Nobody likes to pay taxes, but they are a normal fact of life. They are also necessary for the maintaining of our transportation network of roads, bridges, and also affect school and hospital funds. They are what keep our country alive so that we have an army and a government that runs the country. When you see an article that states $100000000000 is missing due to offshore tax evasion accounts, it makes you just shake your head and say why or how is this fair?
    The people that use they tax havens are either the top 1 percent of people or big corporations that have a ton of money. The fact that they are so greedy that they don’t want to pay the extra money to help support the very economy that made them all this money in the first place, is outrageous. It’s almost an oxymoron cause in a way they are only hurting themselves for the future. If the economy fails, their sources of income will stop but if they paid their full amount in taxes and the government could reinvest back into the economy for our infrastructure or other items, just think how much that would help the economy and therefore some of these big corporations. Take Wal-Mart for example who ships almost everything all over by truck. If they had no offshore accounts and the United States was able to reinvest that money back into say the roads, think how much smoother and faster the trucks could travel across the network. That would help Wal-Mart and make them more money in the end.
    I think the most amazing thing I saw in this article is the fact that in order to compensate for all the off shore accounts we Americans, the good paying tax citizens, would have to each shell out and extra $1026 out of our pockets to make up for it. Now is that right? That 1 out of every 4 dollars is all that is reported to pay for taxes? Something needs to be done to stop that or prevent it otherwise the whole nation is going to suffer. These rich people and big companies need to be taught and shown that they are not really helping themselves at all by doing this, they are hurting the very vessel that made them money in the first place and are ruining it for future generations.

  27. Michael Papotto November 11, 2016 at 8:56 am #

    This is a huge problem that is harming countries all around the world. While the tax savings are making a small minority of people rich it is hurting the majority of people all around the world. I believe that it is important for countries all around the world to work together to try to take away these tax heavens and force businesses to pay the taxes that they owe. I’m not arguing for high corporate taxes or making it too pricey to do business, I am simply arguing that it is important that businesses pay the amount of taxes that they owe in country they need to stick to following the nations that they operate in tax codes. If a group of countries all around the world work together and set up a uniform type of code that gets rid of these heavens it would be good for the all nations.

    A large counter argument to this is that businesses argue that it becomes to pricey to do business with high taxes and regulations. I do believe that this is an important argument to consider, as businesses do have a lot of costs and things and it can be challenging to give up a large chunk of their profits. Therefore it is important to develop a code that will sort of incentive business to stay so its not too high but will also make sure that it is enough revenue coming to the government. It is a tough thing to do because policy makers will all have so many different views and also it can be hard to countries to work together. It will also be tough because business will always want to avoid taxes and pay the least amount possible so there is trouble all the way around. However if we could develop a way to make sure businesses can’t have theses heaven’s it would benefit the a lot of people around the world.

  28. Alex Strom April 7, 2017 at 6:32 pm #

    The most successful people in America tend to be the most corrupt. An example of this is seen by the person who runs the United States: Donald Trump. There is billions of dollars avoided every year in tax frauds, which ends up hurting the pockets of every day Americans. We should not be held responsible for the corruptness of corporations who fraud the American government of billions every year, which is why this is such a problem in this modern era. Donald Trump is taking some major steps backwards with some laws that he is passing, or even repealing, which is going to put us in an even bigger hole in regards to this problem.
    This article starts off by proclaiming that there is $100,000,000,000 missing in tax fraud every year by multinational companies that hide their profits in offshore tax havens. With this 100 billion dollars that we are missing, we would be able build and improve things such as schools, roads, bridges and hospitals. These dodges in taxes makes the average American pay $1,026 out of your pockets every year, which affects each and every one of us. It is reported that one out of every four dollars made by multinational companies goes unrecorded, which therefore goes untaxed. It is said that in 2012, United States multinational companies alone shifted 700 billion dollars from countries where the money was truly earned to locations with very low, or even zero taxes. This is unfair to us as American people because we, in turn, have to account for the lost taxes. 100 billion dollars would be enough to quadruple spending on education in the world’s 47 poorest countries, provide quality living standards for 2.2 billion people, which include safe water and sanitation services. This is a problem that can solved, which could lead to other problems being solved in turn.
    Tax fraud is a white collar crime that happens every year, but we do not see this being destroyed. Huge companies do this every year to literally save billions, but it is not done without a consequence. The American government needs their money, and they are going to throw a fit if they do not get it. Since they have to get their money, they take it from all the other Americans, who pay their taxes loyally without the attempt of tax fraud. The Average American pays an extra thousand dollars every year in taxes, which could be totally eliminated if everyone was honest. Greed is something that has been present in America since day one, and these companies are being extremely greedy with the avoidance of these taxes. If they are paying billions of dollars in taxes, it is presumable that they are billionaires, or even trillionaires. If this is the case, why do they need to avoid these taxes? They already have enough money in the world, why could they possibly want more? Greed is what drives these people, which only leads to corrupt results, which we can see in these tax frauds. I do not understand how the leaders of these companies can sleep at night knowing that they are basically stealing money from every single hard working American. This is a serious problem, and is something that we need to act upon. Unfortunately, I do not think that we will be making any moves in that direction with Donald Trump as President, which is a true shame.

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