Tag Archives: Cayman Islands

$1 trillion in the shade – the annual profits multinational corporations shift to tax havens continues to climb and climb

Looks like paradise – especially if you’re a multinational corporation in need of a tax haven.
LeoPatrizi/E+ via Getty Images

 

Ludvig Wier, University of Copenhagen and Gabriel Zucman, University of California, Berkeley

CC BY-NC-ND

 

About a decade ago, the world’s biggest economies agreed to crack down on multinational corporations’ abusive use of tax havens. This resulted in a 15-point action plan that aimed to curb practices that shielded a large chunk of corporate profits from tax authorities.

But, according to our estimates, it hasn’t worked. Instead of reining in the use of tax havens – countries such as the Bahamas and Cayman Islands with very low or no effective tax rates – the problem has only gotten worse. Continue reading

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US Surpasses Cayman Islands to Become Second Largest Tax Haven on Earth

“This is not a ranking in which the U.S. wants to be number one or even number two. We have one of the strongest economies and one of the most secret. It’s a perfect recipe for attracting the proceeds of crime, corruption, and tax evasion.”

By Julia Conley, staff writer for CommonDreams. Published 1-30-2018

The U.S. holds 22 percent of global offshore services, up from 14 percent in 2015. (Image: Offshore Shell Games)

Proving its role in the global race to the bottom on tax avoidance and  contributing to a multitude of abuses around the world, the United States is now second-largest tax haven on the planet, according to an updated international index.

The Tax Justice Network found that the U.S. has surpassed the Cayman Islands as the number-two place where corporations can easily stash their money to avoid tax liabilities. Switzerland retained its top place on the list. Continue reading

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