According to press reports it appears that large American international businesses (Companies or Groups of Companies) declare minimal profits abroad and only pay 2% of their taxes outside the USA !
This is astounding but is the real question not "Are US companies really the only ones which avoid tax to this extent "?
In order not to pay tax Companies or Groups must avoid making profits where tax would be payable. This can be done by invoicing sales to controlled subsidiary companies at inflated prices or invoicing costs which may not be really justitfied.
Who cares ? The Invoicing company, or the Directors of subsidiary companies which are controlled by the invoicing company ? Anyone ? No one in fact !!!
When a subsidiary is in a tax haven, who really worries what happens ?
With the increase of computer technologies together with the means, legal or almost legal, and of modern management techniques, how can Auditors of Companies be expected to detect all these possibilities of Fraud ?
Bankers are accused of getting huge "Bonuses" !!! Are there not other Directors in other branches of activity which also profit from "occult" extras ?
Is the "Real Question" not "Who is Responsible" for this state of affairs ? Is the person at fault not the Legislator in a given country, or one of the many "International Legislator Politicians" ? Or is it simply the fault of politicians who want more tax, too much more tax ?
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