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More than 80 countries signed an agreement in Berlin on Wednesday that could end banking secrecy in the global battle against tax evasion and fraud, even though critics pointed to shortcomings in the deal. Among the signatories were EU countries but also previously staunch proponents of banking secrecy such as Liechtenstein and tax havens like the Cayman or Virgin Islands. The deal — known as …

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Attack on bank secrecy for tax evasion backed by 80 countries

India’s government handed over the names of more than 600 Indians with foreign bank accounts to the Supreme Court on Wednesday after public outrage over rampant tax evasion.

The court, which ordered the government to release the list, has given the names to an investigative team that the government set up in June to find the illegal funds that tax dodgers have parked overseas.

The court set a deadline of March 31 next year for the team to complete its probe and begin legal action against tax evaders.

Prime Minister Narendra Modi says he wants to prosecute tax dodgers and bring money stashed in tax havens back into the country but little progress has been made since his landslide election victory earlier this year.

Attorney General Mukul Rohatgi said 627 people are named on the list. They all had accounts with a Geneva branch of HSBC, information that was disclosed in 2011 by an employee of the bank and passed to India but not acted on by the previous government. They are likely a tiny fraction of Indians with foreign bank accounts.

The Central Bureau of Investigation, India’s equivalent of the FBI, said in 2012 that $500 billion was held by Indians in tax havens overseas. Funds are stashed in tax havens such as Liechtenstein, British Virgin Islands, Switzerland, Mauritius, Jersey and the Isle of Man.

India has a flourishing “black money” economy that functions parallel to the legal economy. Undeclared income is used to fund election campaigns and buy land or real estate in order to avoid paying property taxes.

On Monday, the government disclosed the names of seven people who it said had illegal accounts abroad. That led to widespread outrage, prompting the court to step in and order the government to reveal all the names that it had.

The government told the court that it was committed to disclosing the names of people holding money abroad illegally. In an affidavit, the government said that since every account held by an Indian in a foreign country may not be illegal, it would investigate the accounts before disclosing the names of account holders.

India’s anti-corruption crusader Arvind Kejriwal said the special investigative team should carry out its probe in a rigorous and timely manner and that government action against tax evaders must be uniform.

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Govt to Probe Indians With Foreign Bank Accounts

BERLIN:More than 80 countries signed an agreement in Berlin on Wednesday (Oct 29) that could end banking secrecy in the global battle against tax evasion and fraud, even though critics pointed to shortcomings in the deal. Among the signatories were EU countries but also previously staunch proponents of banking secrecy such as Liechtenstein and tax havens like the Cayman or Virgin Islands.

The deal – known as the Multilateral Competent Authority Agreement – crowned two days of talks by the Global Forum on Transparency and Exchange of Information for Tax Purposes. The meeting was hosted by German Finance Minister Wolfgang Schaeuble.

Fifty-one countries signed one agreement to put in place an automatic exchange of information between the participating countries beginning in September 2017. The agreement designates the national authority in each country which will be responsible for collating the data and transferring it to the other countries. The aim is for every country to be kept fully informed about the offshore holdings of its citizens.

Around 30 other countries – including Austria and Switzerland, the Bahamas and the United Arab Emirates – pledged to join the agreement from 2018. “Banking secrecy, in its old form, is obsolete,” Schaeuble told the mass-circulation daily Bild in an interview. The danger of being caught is now “very high”, Schaeuble said.

The forum was set up under the auspices of the Organisation for Economic Cooperation and Development in Paris, which estimates that “offshore tax evasion is a serious problem for jurisdictions all over the world”. Economist Gabriel Zucman, a specialist in fiscal fraud, has calculated that about 5.8 trillion (US$7.4 trillion) is stashed away in tax havens, depriving authorities all over the world of around 130 billion in revenue each year.

US ACT AGAINST EVASION

The international movement to end banking secrecy has gained new momentum recently with the enactment in the United States of its 2010 Foreign Account Tax Compliance Act or FATCA. FATCA obliges foreign banks to report to the US Internal Revenue Service (IRS) on the offshore holdings of US clients in excess of 50,000.

The move prompted five European countries – Britain, France, Germany, Italy and Spain – to call for a generalised automatic exchange of information in 2011. Following months of talks, amid fierce resistance in countries such as Luxembourg and Austria where banks continue to uphold banking secrecy, the EU finally came up with an accord two weeks ago.

“The more countries sign up, the more difficult it will be for others to attract investment,” said the OECD’s director for tax policy and administration, Pascal Saint-Amans. However, a number of financial centres remained a “source of concern”, he said. Panama, for example, still had not set a concrete date for its exchange of information.

Saint-Amans said the OECD will compile a list of countries that do not automatically exchange information, a measure which could act as a disincentive for investment funds and international organisations looking to invest in those countries. But experts in fiscal fraud, such as Andres Knobel of Tax Justice Network, believe such a “blacklist” would prove a rather feeble deterrent.

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80 countries back deal that could end banking secrecy

Hopes are rising that multinational companies operating in New Zealand may soon be paying a fairer share of tax.

The French official leading the global clampdown on multinational tax rorts says the scrapping of the notorious “double Irish” tax loophole shows aggressive tax planning is on the way out.

Organisation for Economic Cooperation and Development (OECD) tax director Pascal Saint-Amans said tax planning had become the core strategy of some companies, which were competing on how much tax they could avoid rather than on the quality of their products.

Speaking to Fairfax Media from Paris, Saint-Amans said the environment was changing. But he said new moves by some countries, including Ireland, to offer companies tax breaks on profits that were derived from patents had the potential to undermine progress, if rules concerning the concessions were not made clear.

Saint-Amans is in charge of the OECD’s Base Erosion and Profit-Shifting (Beps) programme. It was established with the support of the G20 last year to prevent multinationals exploiting gaps in international law to dodge tax.

The Beps project appeared to chalk up an early victory recently when Irish Finance Minister Michael Noonan announced the country would call time on the double-Irish rort by 2020.

Companies including Google, Apple, Facebook, Starbucks and Pfizer are reported to have routed billions of dollars of profits to Caribbean tax havens using the loophole, which exploits the fact that companies can be registered in Ireland but not deemed resident in the country for tax purposes.

Ireland’s decision showed the Beps project was being taken seriously and a game-changer, Saint-Amans said.

“It is a recognition that the environment has changed and that tax planning will not be as it used to be in the future. Companies should of course optimise and should plan, but to reduce marginally the tax burden, not to massively reduce it as the core element of their strategy,” he said.

Angst over multinational tax rorts has been bubbling in New Zealand for several years, aided by a Dominion Post report in 2010 that Google New Zealand expected to pay just $7726 tax in respect of its previous financial year, less than the average teacher or construction worker. Bloomberg put the international spotlight on Google’s tax affairs in 2010 when it reported that the internet search giant paid just 2.4 per cent tax on the billions it earned outside the United States.

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Multinationals feeling heat on tax rorts

Tax office blitz chases billions

Billions of dollars in assets could be returned to Australia by people trying to avoid an Australian Tax Office blitz and harsh new penalties.

Already $1 billion in assets and $180 million in previously secret offshore income has come to light under the ATO’s Project DO IT.

The project aims to give people with big amounts of income or cash in overseas tax havens a chance to come clean.

Penalties for not paying enough tax will be reduced for those who own up before the project’s cut-off on December 19.

The reduced penalties include not being referred to police for criminal investigation.

So far, 900 people have gone to the ATO and 600 have made an expression of interest.

Deputy tax commissioner Michael Cranston said there was clear interest from people in getting their affairs in order.

“What we’re seeing is people waking up to the fact that it doesn’t make sense anymore to hide assets and income offshore,” he said. “Recent developments in exchange of information between countries and improved data matching mean there’s nowhere left to hide.”

Most cash stashed overseas has been in Switzerland. Other tax havens include Israel, Britain, Singapore and Hong Kong.

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Tax office blitz chases billions



NDP MP Murray Rankin asks why Conservatives target birdwatchers, not tax havens
The Conservatives' “tough on crime” agenda has now extended to birdwatchers.

By: Murray Rankin

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NDP MP Murray Rankin asks why Conservatives target birdwatchers, not tax havens – Video

By Peter Campbell for the Daily Mail

Published: 01:17 EST, 20 October 2014 | Updated: 01:35 EST, 20 October 2014

The campaign to make corporations tax affairs more transparent has received a boost after a FTSE 100 firm vowed to be completely open about its finances.

Energy giant SSE will today become the first big company in Britain to qualify for the Fair Tax Mark, which was launched earlier this year to encourage firms to disclose whether they use tax havens or avoidance schemes.

The company paid 430m of corporation tax in the UK last year. SSE boss Alistair Phillips-Davies said the company has a responsibility to contribute to the societies in which it operates.

Boost:Energy giant SSE will become the first big company in Britain to qualify for the Fair Tax Mark

He added the firm seeks to pay the right amount of corporation tax at the right time, in the right place and explain how it does it.

Richard Murphy, director at the Fair Tax Mark, said: Today is a major breakthrough for the campaign for responsible tax behaviour. Corporation tax avoidance costs the UK economy billions a year money needed to support vital health, education and social security services in this country.

Energy companies tend to incur big tax bills.

Centrica, the owner of British Gas, is one of the largest tax-contributing companies in the UK, and last year paid more than 1bn to HMRC.

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Campaign to make corporations' tax affairs more transparent receives boost after SSE vows to be completely open about …

Finally, when it comes to the tax affairs of large corporations, a good news story.

SSE called Scottish & Southern Energy, previously is the first firm, in the FTSE 100, to receive a Fair Tax Mark. The company which has 9 million customers – has promised to be transparent about its corporation tax payments and to avoid both tax havens and tax avoidance schemes. Companies are allowed to take advantage of legitimate tax breaks but transparency is demanded.

MP, Margaret Hodge, is in favour of the Fair Tax Mark, Too often companies hide behind commercial confidentiality to disguise their activities, claiming that transparency about their tax affairs would damage their competitiveness. I dont buy that, and the public dont buy that. SSE clearly feels it has nothing to fear and potentially a lot to gain from responding to public demands for greater openness. There is no excuse for other companies not to do the same, and make this new standard in transparency the norm, not the exception.

Chief executive of SSE, Alistair Phillips-Davies, said: As a provider of an essential service SSE firmly believes it has a responsibility to contribute to the societies in which it operates. Paying the appropriate amount of tax is core to this; and we are determined to abide by both the spirit and letter of the UKs tax regulations.

The awarding of a Fair Tax Mark will come as positive PR material for SSE. The firm was fined by Ofgem last year to the tune of 10.5 million – for misleading customers.

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The Fair Tax Mark a first for a FTSE 100

The energy company has published retrospective accounts and pledges to stay away from tax havens Energy companySSEhas become the first FTSE 100 business to be awarded the Fair Tax Mark , a scheme that aims to hold companies to account over their tax affairs. SSE, which has nine million customers, has published retrospective accounts showing how much corporation tax it pays alongside pledges to …

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SSE becomes first FTSE 100 company to be awarded Fair Tax Mark

US pharmaceutical company AbbVie said it was reconsidering its $55-billion takeover of Shire in the wake of US government moves to curb deals designed to cut tax, wiping $13 billion off the London-listed firm’s stock price.

Chicago-based AbbVie said late on Tuesday it was responding to the US proposals which aim to make it harder for American firms to shift their tax bases out of the US and into lower cost jurisdictions in Europe. AbbVie’s move for Shire, a leader in drugs to treat attention deficit hyperactivity disorder and rare diseases, was announced in July amid a spate of similar takeover deals within the US and European pharmaceutical sector.

It proposed creating a new US-listed holding company with a tax domicile in Britain, which applies low tax rates to patent income and has passed laws that make it easy for companies to shift profits into tax havens.

The news hammered shares in Shire, sending them down 27 per cent, back to where they were before the deal talks emerged in June.

Shares in larger rival AstraZeneca, which had rebuffed its own takeover deal by US group Pfizer fell four per cent while replacement knees and hips maker Smith & Nephew, which had also been touted as a target, slipped three per cent.

AbbVie’s move wrongfooted Shire investors, coming just weeks after AbbVie chief executive Richard Gonzalez, in the wake of the Treasury proposals, told employees of both companies he was “more energised than ever” about the deal.

Also tax advisers had said the Treasury measures were unlikely to significantly impact most inversion deals.

Although the new rules will make some deals costlier and others more difficult, fast-food chain Burger King Worldwide Inc said it will proceed with its $11.5 billion transaction with Canada’s Tim Hortons.

Gonzalez had said Shire’s appeal stretched far beyond its tax domicile, pointing to its portfolio of drugs, some of which command prices of hundreds of thousands of pounds for an annual course of treatment, and its pipeline.

Buying Shire would reduce AbbVie’s reliance on its Humira drug, the world’s top selling arthritis medicine which loses US patent protection in 2016.

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AbbVie reconsiders $55-bn Shire deal after US tax changes

New Delhi, Oct 17 (IANS) The central government Friday told the Supreme Court that it could not disclose the names, received from foreign governments, of people who have allegedly stashed away their ill-gotten money to tax havens, as it was bound by the confidentiality clause under the double taxation avoidance agreement.

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Can't reveal names of account holders in tax havens, government to SC

New Delhi, Oct 17 (IANS) The Narendra Modi government's submission in the Supreme Court Friday that it cannot disclose names, received from foreign governments, of people who have allegedly stashed away their ill-gotten money in tax havens abroad triggered a war of words between the Congress and BJP.

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Political duel after government says can't name tax haven account holders

The central government Friday told the Supreme Court that it could not disclose the names, received from foreign governments, of people who have allegedly stashed away their ill-gotten money to tax havens, as it was bound by the confidentiality clause under the double taxation avoidance agreement.

Its stand was made in an application seeking modification of an earlier court order asking it to disclose the names all such people it had received from German government to the petitioner Ram Jethmalani.

Attorney General Mukul Rohatgi mentioned the application for an urgent hearing before the a bench of Chief Justice H.L.Dattu, Justice Madan B. Lokur and Justice A.K.Sikri.

The government has said that the names of such account holders against whom the prosecution has been launched could be disclosed as they are in public domain but in case of others, it was bound by the confidentiality clause.A

The government has said that such disclosures would be counter productive for get information on black money stashed away in tax havens as foreign governments would not share such information in future.

The court had Aug 20 directed the central government to give Jethmalani details of the account holders in banks of Liechtenstein that were submitted to the court on May 1. The court’s order came as senior counsel Anil Divan told the court that government had given him the names of 18 people against whom prosecution has been launched but held back the names of eight people.

However, senior counsel Ram Jethmalani, the petitioner in the plea seeking steps to bring back the black money stashed away to tax havens, assailed the government position saying that it could be position of people involved in taking ill-gotten money to tax havens and not that of the government.

Jethmalani Friday told the court that he had written a letter to Prime Minister Narendra Modi on the issue.

The apex court by its July 4, 2011 order had set up the SIT which was mandated to undertake the investigations into the unaccounted money stashed away outside the country in tax havens and foreign banks and take steps to bring it back.

The SIT comprises the revenue secretary, the deputy governor of the Reserve Bank of India, the director of the Intelligence Bureau, the director, enforcement directorate, the director, of the Central Bureau of Investigation, the chairman of the Central Board of Direct Taxes, the director general of the Narcotics Control Bureau, director general, Revenue Intelligence, director, Financial Intelligence Unit, and Joint Secretary, (FT & TR-I) in the CBDT. The court had said that SIT would also include director, Research and Analysis Wing (RAW).

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Can't reveal names of account holders in tax havens, government to Supreme Court

Minister for Finance Michael Noonan announced the ending of the so-called double Irish tax structure. Photograph: Alan Betson

The international movement against aggressive tax planning by multinationals, which saw the Government this week announce the closing of a tax structure used by Google, Facebook and others, holds significant opportunties for Ireland, according to research by the Department of Finance.

The research concludes that the practice by multinationals of directing large amounts of their turnover to offshore tax havens where their intellectual property resides is set to come under ever greater pressure.

This in turn will prompt multinationals to look to move their intellectual property from tax havens and Ireland should continue to monitor change in this area, as a competitive tax rate could become highly relevant.

The research by the department concludes the work being done by the Organisation for Economic Co-operation and Development, which is aimed at drafting new global rules for corporate taxation, fits with the policy that has operated in Ireland since the 1950s.

This is because the OECD is seeking to create a greater alignment between where the substance of a companys business resides and where it pays tax. Historically, Ireland has used its low corporation tax base to attract real and substantial business activities here.

The same research notes the importance and risk to Irelands economy that lie in the fact it is so dependent on foreign direct investment. A paper by the Revenue Commissioners that forms part of the research shows one 1 out of every 8 in tax raised in 2012 came from corporation tax, and almost three-quarters of the corporation tax raised in 2008 to 2012 came from foreign-owned multinationals.

The top ten companies were responsible for 24 per cent of the corporation tax raised. Furthermore, foreign multinationals have higher productivity than most domestic companies and wages tend to be twice those paid by indigenous firms.

In his budget speech on Tuesday, Minister for Finance, Michael Noonan announced the ending of the so-called double Irish tax structure, where companies could book sales from around Europe and further afield to their operating company in Ireland, before that company paid huge royalty or licence payments to another, Irish-registered company that was tax resident offshore.

At the same time, he announced plans to put in place a so-called knowledge development box, a structure that would create tax advantages for companies that locate their intellectual property here.

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Global tax changes create Irish opportunity

U.S. pharmaceutical company AbbVie said it was reconsidering its $55 billion takeover of Shire in the wake of U.S. government moves to curb deals designed to cut tax, wiping $13 billion off the London-listed firm’s stock price.

Chicago-based AbbVie said late on Tuesday it was responding to the U.S. proposals which aim to make it harder for American firms to shift their tax bases out of the U.S. and into lower cost jurisdictions in Europe.

AbbVie’s move for Shire, a leader in drugs to treat attention deficit hyperactivity disorder (ADHD) and rare diseases, was announced in July amid a spate of similar takeover deals within the U.S. and European pharmaceutical sector.

It proposed creating a new U.S.-listed holding company with a tax domicile in Britain, which applies low tax rates to patent income and has passed laws that make it easy for companies to shift profits into tax havens.

The news hammered shares in Shire, sending them down 27 percent, back to where they were before the deal talks emerged in June.

Shares in larger rival AstraZeneca, which had rebuffed its own takeover deal by U.S. group Pfizer fell 4 percent while replacement knees and hips maker Smith & Nephew, which had also been touted as a target, slipped 3 percent.

AbbVie’s move wrongfooted Shire investors, coming just weeks after AbbVie chief executive Richard Gonzalez, in the wake of the Treasury proposals, told employees of both companies he was “more energized than ever” about the deal.

Also tax advisers had said the Treasury measures were unlikely to significantly impact most inversion deals.

Although the new rules will make some deals costlier and others more difficult, fast-food chain Burger King Worldwide Inc said it will proceed with its $11.5 billion transaction with Canada’s Tim Hortons Inc.

Gonzalez had said Shire’s appeal stretched far beyond its tax domicile, pointing to its portfolio of drugs, some of which command prices of hundreds of thousands of pounds for an annual course of treatment, and its pipeline.

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AbbVie Cools on $55B Shire Deal After U.S. Tax Changes

Ireland pledged Tuesday to close a corporate tax loophole that has brought it under the international spotlight as it unveiled a budget that ends a cycle of austerity cuts. Finance Minister Michael Noonan told parliament that the "Double Irish" system, which allows multinationals to transfer profits to tax havens, would be abolished next year for new companies, and by 2020 for existing users of …

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Ireland closes tax loophole as unveils post-austerity budget

Senate committee chairman Sam Dastyari has vowed to investigate corporate tax avoidance. Photo: Alex Ellinghausen

Forty ofAustralia’s biggest companies will be asked to explain their tax affairs to a Senate committee investigating corporate tax avoidance.

Companies shown, in a recent report, to have the lowest “effective tax rate” over the past decade and to operate the most subsidiaries in tax havens have been given the chance to outline their tax strategies before the committee decides which corporate leaders to call in to appear before public hearings.

The Senate can subpoena witnesses and committee chairman Sam Dastyari has vowed to use that power if the inquiry encounters resistance from big business.

Companies that will be invited to explain their persistently low tax contributions, according to the report, include shopping centre company Westfield, building products firm James Hardie, motorway group Transurban,SydneyAirport, Telstra, SingTel and Echo Entertainment, owner ofSydney’s Star casino.

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The Greens, who led the push to form the tax inquiry, have vowed to call multinationals Apple, Google and Swiss-based miner Glencore to face questions about their tax contribution toAustralia.

The report, Who pays for our common wealth?,found almost a third of the nation’s largest companiesare paying less than 10 in the dollar in company tax and some companies, including global broadcaster 21st Century Fox and Toll Holdings, operate dozens of subsidiaries in low-tax jurisdictions such as the Cayman Islands, the British Virgin Islands and Bermuda.

A recent tax justice report in the United States found that US companies that claim to have business in tax havens declared profits that equate to $870,000 for each person that lives in those three tiny island nations.

There is a certain office block, known as Ugland House, in the Caymans that is the registered address of 18,857 companies.

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Tax probe to issue 'please explains'

Senate committee chairman Sam Dastyari has vowed to investigate corporate tax avoidance. Photo: Alex Ellinghausen

Forty ofAustralia’s biggest companies will be asked to explain their tax affairs to a Senate committee investigating corporate tax avoidance.

Companies shown, in a recent report, to have the lowest “effective tax rate” over the past decade and to operate the most subsidiaries in tax havens have been given the chance to outline their tax strategies before the committee decides which corporate leaders to call in to appear before public hearings.

The Senate can subpoena witnesses and committee chairman Sam Dastyari has vowed to use that power if the inquiry encounters resistance from big business.

Companies that will be invited to explain their persistently low tax contributions, according to the report, include shopping centre company Westfield, building products firm James Hardie, motorway group Transurban,SydneyAirport, Telstra, SingTel and Echo Entertainment, owner ofSydney’s Star casino.

Advertisement

The Greens, who led the push to form the tax inquiry, have vowed to call multinationals Apple, Google and Swiss-based miner Glencore to face questions about their tax contribution toAustralia.

The report, Who pays for our common wealth?,found almost a third of the nation’s largest companiesare paying less than 10 in the dollar in company tax and some companies, including global broadcaster 21st Century Fox and Toll Holdings, operate dozens of subsidiaries in low-tax jurisdictions such as the Cayman Islands, the British Virgin Islands and Bermuda.

A recent tax justice report in the United States found that US companies that claim to have business in tax havens declared profits that equate to $870,000 for each person that lives in those three tiny island nations.

There is a certain office block, known as Ugland House, in the Caymans that is the registered address of 18,857 companies.

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Tax 'please explains' on the way

Senate committee chairman Sam Dastyari has vowed to investigate corporate tax avoidance. Photo: Alex Ellinghausen

Forty ofAustralia’s biggest companies will be asked to explain their tax affairs to a Senate committee investigating corporate tax avoidance.

Companies shown, in a recent report, to have the lowest “effective tax rate” over the past decade and to operate the most subsidiaries in tax havens have been given the chance to outline their tax strategies before the committee decides which corporate leaders to call in to appear before public hearings.

The Senate can subpoena witnesses and committee chairman Sam Dastyari has vowed to use that power if the inquiry encounters resistance from big business.

Companies that will be invited to explain their persistently low tax contributions, according to the report, include shopping centre company Westfield, building products firm James Hardie, motorway group Transurban,SydneyAirport, Telstra, SingTel and Echo Entertainment, owner ofSydney’s Star casino.

Advertisement

The Greens, who led the push to form the tax inquiry, have vowed to call multinationals Apple, Google and Swiss-based miner Glencore to face questions about their tax contribution toAustralia.

The report, Who pays for our common wealth?,found almost a third of the nation’s largest companiesare paying less than 10 in the dollar in company tax and some companies, including global broadcaster 21st Century Fox and Toll Holdings, operate dozens of subsidiaries in low-tax jurisdictions such as the Cayman Islands, the British Virgin Islands and Bermuda.

A recent tax justice report in the United States found that US companies that claim to have business in tax havens declared profits that equate to $870,000 for each person that lives in those three tiny island nations.

There is a certain office block, known as Ugland House, in the Caymans that is the registered address of 18,857 companies.

Read the rest here:
Senate inquiry demands answers from low-tax companies

Senate committee chairman Sam Dastyari has vowed to investigate corporate tax avoidance. Photo: Alex Ellinghausen

Forty ofAustralia’s biggest companies will be asked to explain their tax affairs to a Senate committee investigating corporate tax avoidance.

Companies shown, in a recent report, to have the lowest “effective tax rate” over the past decade and to operate the most subsidiaries in tax havens have been given the chance to outline their tax strategies before the committee decides which corporate leaders to call in to appear before public hearings.

The Senate can subpoena witnesses and committee chairman Sam Dastyari has vowed to use that power if the inquiry encounters resistance from big business.

Companies that will be invited to explain their persistently low tax contributions, according to the report, include shopping centre company Westfield, building products firm James Hardie, motorway group Transurban,SydneyAirport, Telstra, SingTel and Echo Entertainment, owner ofSydney’s Star casino.

Advertisement

The Greens, who led the push to form the tax inquiry, have vowed to call multinationals Apple, Google and Swiss-based miner Glencore to face questions about their tax contribution toAustralia.

The report, Who pays for our common wealth?,found almost a third of the nation’s largest companiesare paying less than 10 in the dollar in company tax and some companies, including global broadcaster 21st Century Fox and Toll Holdings, operate dozens of subsidiaries in low-tax jurisdictions such as the Cayman Islands, the British Virgin Islands and Bermuda.

A recent tax justice report in the United States found that US companies that claim to have business in tax havens declared profits that equate to $870,000 for each person that lives in those three tiny island nations.

There is a certain office block, known as Ugland House, in the Caymans that is the registered address of 18,857 companies.

Read more here:
Companies asked to please explain



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