Archive for Tax Havens

The Menace Of Tax Havens

Posted in America, Britain, European Union, Germany, Modern World, News, Russia, Saudi Arabia, Theft, USA with tags , , , , on 17/11/2016 by floroy1942

I read an article on Yahoo today that says all tax havens should be quarantined. That I certainly agree with! While you and I try as best we can to make enough money to live on, the rich are hiding away their ill-gotten gains in tax havens so they don’t have to pay tax. This has an astounding affect on all of us.

The gist of the article says that all tax havens should be cut off from the global financial system. “They call for making it illegal for anyone in cooperative countries to have an account in a non-cooperative jurisdiction, or for someone in a cooperating country to be a shareholder in a corporation in a non-cooperative one.”

This means that it would be illegal for people to stow away money in a country or system that is not open to the world of finance. All these areas must be open to outside scrutiny and in effect, global auditors must be able to scrutinize all bank accounts wherever they are.

This idea of hiding away trillions of dollars from the tax people in any country in the world is a scandal, for if these politicians and businessmen paid the taxes that were due, most of the world’s monetary problems would be solved.

These billions of dollars could be used to aid the poorer countries of the world, feed those dying of hunger, and solve the sickness that is so prevalent in many countries in the world. Without a doubt, it could be used to solve the major debt problems across the world.

The sad thing is, these ultra-rich people just let it lie there in these accounts and never think of doing some good with their money. There are exceptions of course like Bill Gates and Warren Buffet who use their billions to do good in the world, its just a pity that all the ultra-rich do not think the same. Most of these people have more money than they could spend in three lifetimes, but they prefer to hide it away and do nothing with it. The phrase “It’s all mine, mine, mine!” comes to mind. It’s more about bucking the system and being able to brag about the fact that they are billionaire’s.

I have for a long time advocated that all these multi-billionaires should pay taxes on their often ill-gotten gains and do some good with it, but will it ever happen? There is a slim hope now that all these people will be caught with their ill-gotten gains if this plan goes ahead. Let’s hope it does.

Roy.

The Cameron ‘Tax Scandal’

Posted in America, Britain, David Cameron, England, European Union, Germany, News, Politics, UK, USA with tags , , , , on 09/04/2016 by floroy1942

Typical Press - Inaccurate Information

Many people in Britain are incensed about the Cameron ‘tax avoidance’ scandal and demand that he resign as Prime Minister, but is this right? From all the news bulletins I have seen it is clear that he has done nothing wrong. People have accused him of hiding money or making large profits from offshore accounts, but this just isn’t so from what I have seen.

From reports it would seem that he made a measly £30,000 profit when he sold his interests in his father’s money, which let’s face it, is nothing! Also he paid all the relevant taxes on that money, and it was all done before he became Prime Minister. So what is the big deal!!!

While other people are making millions from offshore accounts he made a paltry £30,000 which is less than the average living wage in the U.K. today.

When confronted by the Press he said that while Prime Minister he had not made any profits or been involved in hiding money away from the tax man which is correct. He later went on to admit that his father did have money in offshore accounts but these were nothing to do with him, which is correct.

A few days later he admitted selling off his share of his father’s money for the aforesaid £30,000 before he became Prime Minister. I do not see anything wrong with this, but still there are people out baying for his blood!

I am well aware that he is not the perfect man for the job, but then who is? Corbyn???????

If that man ever got to be Prime Minister it would signal the end of our once great country, for he would finish off what the traitor Tony Blair started. In my view, apart from Blair, he is the worst Labour leader we have ever had to put up with. But all that is another story.

David Cameron does not deserve all the dirt that is being thrown at him, for in my view he has acted honestly over the tax evasion news. What he did before he became Prime Minister is irrelevant so long as he has done his job properly, and in the interests of the people.

Concerning the In/Out Referendum, which other European nation has put such a vote to the people? Not One!

He could have ignored the entire episode and refused to listen to the calls for us to leave the Union, but he didn’t. He decided to take a bold step in the interests of the people. I don’t see the likes of Angela Merkel or Francois Hollande giving the ordinary people a vote on whether to stay in the Union or not – Do you?

This of course may happen if the British people vote to leave, for there is also a lot of discontent within these countries and many others at the way Brussels is continually trying to take over the governance of all E.U. countries. It is clear their aim is a United States of Europe  where they govern everybody.

Cameron has at least openly given us a chance to get out from under the crushing hypocrisy of those idiots in Brussels.

It is time we went back to running our own country as we see fit, and not having to accept the dictates from Brussels.

So far as the whole tax avoidance scandal is concerned, we need an international effort to ensure that these offshore tax havens are made to publish the details of all accounts they hold so that these multi-billionaires can be forced to pay the taxes they owe. If such a thing happens it would solve the economic problems of many countries around the world.

Roy.

The Off-Shore Accounts Scandal

Posted in America, Australia, Britain, Canada, European Union, Germany, Justice, News, Theft, United Nations with tags , , , , on 06/04/2016 by floroy1942
See What I Mean!

See What I Mean!

Like everyone else I was shocked at the leak of offshore account details by Panama, but to be honest, it did not surprise me. We have known for years that many rich people have hidden their money in these accounts, and of course many do it to avoid paying taxes.

But now the ‘cat is out of the bag’ and they are sitting with red faces because their wealth has become public. We have heard denials from various individuals about the fact that they have not been avoiding paying taxes on their wealth and it may be true is some cases, but certainly not all.

The big question though is what to do about it! In my view all these tax havens should be wound up and made illegal, but the problem is, those that must do it are the ones hiding money away i.e. politicians.

There can be little doubt that a way must be found to stop this practice. Maybe the United Nations can set a law that these places must declare all their customers, and how much each account holds. Again this is not likely to happen.

The problem is that those avoiding tax revenue could probably put an end to the financial crises of many countries in the world. Imagine if those resident in Greece were to pay all the taxes they owed to the government, then that country’s financial crisis would disappear, the same goes for many other lands, including Britain.

The amount owed by these people must run into trillions of dollars and could solve many of the hardships being suffered by people across the world.

What good will come of this whole farce I don’t really know, but for the good of many countries someone, somewhere must put a stop to it. Let’s just hope the authorities in various countries go after these people.

Roy.

Time To Make Tax Dodging Illegal

Posted in America, Britain, England, Equality, European Union, Justice, News, Parliament, Politics, UK, USA with tags , , , , on 09/02/2015 by floroy1942

You and I have to pay our taxes whether we like it or not, and if we don’t the system comes down on us hard, so how is it that the super rich are allowed to dodge paying their rightful share? The world is littered with so-called ‘Tax Havens’ where the rich stash away trillions on which they do not have to pay any tax. This just doesn’t seem right to me.

HSBCIt came out today that the HSBC bank has been actively helping clients including international criminals, corrupt businessmen, politicians and celebrities, to hide hundreds of millions of pounds in secret  off-shore accounts.

It appears that a whistle-blower gave information on 106,000 clients in 203 countries which included almost 7,000 clients from the United Kingdom. Many of the UK account holders have not declared these accounts to the tax authorities.

The bank is said to be cooperating with an investigation by the authorities in the US, France, Belgium and Argentina, but the staggering thing is, no action has so far been taken in Britain! This I find unbelievable.

Labour MP for Birmingham Ladywood Shabana Mahmood.

Labour MP for Birmingham Ladywood Shabana Mahmood.

In the House of Commons Labour MP for Birmingham Ladywood Shabana Mahmood said, “We need to understand whether actually HMRC have been putting lots of cases before the Crown Prosecution Service (CPS) and it’s the CPS who’ve been refusing to prosecute and those are questions that I hope that the government will answer.” That is a question I would like to know the answer to also.

Although the HMRC received this information in 2010 they have identified 1,100 people, but five years on only one has been prosecuted. Switzerland is one tax haven and so far  £135m in tax, interest and penalties have now been paid by those who hid their assets there.

While it is not illegal to avoid taxes and have off-shore accounts, deliberately hiding money to avoid taxes is. So how do these people get away with it? It is clear that without the cooperation of the banks it would not be possible.

It has been revealed that HSBC not only turned a blind eye to these tax evaders, but even gave one client an international credit card so he could withdraw money from these accounts anywhere in the world. The bank also actively assisted clients to stay one step ahead of the law.

When the information was first leaked the leader of HSBC was Stephen Green who shortly afterwards became a Conservative peer and was appointed to the government. He served as a minister of trade and investment until 2013. When asked about the affair Treasury minister David Gauke defended Lord Green’s appointment saying, “I am not aware of any evidence that suggests that Lord Green was involved in this sort of activity.”

Chair of the Public Accounts Committee Margaret Hodge

Chair of the Public Accounts Committee Margaret Hodge

But the chairwoman of the Public Accounts Committee, Margaret Hodge said,  “Either he didn’t know and he was asleep at the wheel, or he did know and he was therefore involved in dodgy tax practices. Either way he was the man in charge and I think he has got really important questions to answer.” It looks to me as if an investigation is called for, and if found guilty he should be stripped of all titles and go to prison.

If all these tax dodgers paid their dues I am sure you could imagine how this would help economies that are currently in trouble. If all these people paid what they owed the amounts gathered would run into many trillions world-wide. But it is the same old story, the rich get richer and the poor get poorer! To my mind it is up to the authorities to come down hard on these people.

Tax Havens

Tax Havens

It would be to everyone’s advantage for the whole idea of tax havens to be scrapped so this sort of thing would not be possible. All tax havens should be made illegal, and anyone who goes down this path should be prosecuted. Why should the super rich be able to hide their money from the tax man while the man in the street cannot.

So far as the banks like HSBC are concerned, they too should be made to pay a penalty for their illegal activities and an investigation launched to root out those in management who are involved in this practice. When they are found they should be prosecuted and given a prison sentence before being banned from ever working in the financial sector again. Only by taking such tough measures will this tax avoidance scheme be stopped.

I fully realize that it is alright to say this, but both you and I know that it will never happen because these people have a way of covering for each other. In the meantime the lessor people will continue to pay!

Roy.

To Beat Austerity Measures, Pay Your Taxes

Posted in Benefits, Budget Cuts, Europe, Government Spending, Spain with tags , , , , , on 22/02/2013 by floroy1942

The people in both Spain and Greece have made it known they are fed up with their governments austerity measures, but in part, they are the ones making them necessary. The number of tax dodgers is rising day by day, and that fact alone means governments are not getting the money they need to get the economy back on its feet.

More People Want Cash Transactions

More People Want Cash Transactions

I can talk from personal experience here in Spain, because when someone does something for you here they invariably ask for cash instead of a card payment or bank transfer. Why? Because a cash payment does not go through the bank and is therefore not recorded, hence they do not have to pay tax on it. Even some shops will only take cash now as the economic squeeze bites. Many big businesses are not paying the level of taxation they should, and this too is hurting the economy.

Falling House Prices In Spain

Building Boom Collapse

The government is hemorrhaging money to keep the economy afloat and the ever-increasing number of tax dodgers only makes the situation worse.  Both the Spanish and Greek governments are struggling to pay social security and unemployment benefit to those who need it, and the number of unemployed is rising daily, which only increases the load.

With prices rising, pensions and benefits being cut, people are looking for any way possible to make ends meet and the most obvious is to avoid paying taxes. It is a cycle for destruction of the entire economy and both countries are heading into the abyss.

A Comparison Of Tax Evasion By Country

A Comparison Of Tax Evasion By Country

The Greeks have always avoided paying the proper level of taxes on a massive scale, and that is the main reason for the breakdown of their economy in the first place. Spain is now going down the same road. I do not blame just the people, for the governments of both countries need to get their spending priorities right and make the paying of taxes fair across the whole population.

The Greek Rich Are Moving Their Money Overseas

The Greek Rich Are Moving Their Money Overseas

Many super rich in Greece have not paid taxes for decades because they were bringing investment and money into the country, and the ordinary people had to carry the load, although most of them avoided paying their full share through corrupt tax officials. In the last few years the rich have been moving their capital out of the country to off-shore accounts to avoid heavy tax bills. Many of them have so much money they could probably settle the Greek debt on their own. It’s the old story; if you are rich you can easily move your money around, unlike the man in the street.

Unfinished Apartments Due To The Building Trade Collapse

Unfinished Apartments Due To The Building Trade Collapse

The big problem with Spain, unlike Greece, is that the catalyst for this current debacle was that everyone put ‘all their eggs in one basket’, i.e. the building industry. The collapse of the banks, coupled with the massive fall in property prices and the related stagnation of the building trade put Spain on the road to economic collapse.

Keeping Out The Stench Of Corruption

Keeping Out The Stench Of Corruption

Corruption has also cost the economy dear with just about anyone in a responsible position taking bribes and in some cases, skimming money. The April 7 2006 arrest of practically the entire local council of Marbella on corruption charges is a prime example. Recent allegations of corruption have even been made by the press against the current Spanish Prime Minister, Mariano Rahoy and his Party, although it is not for me to speculate on whether they are true or not. Since that time Rahoy has stated that he will crack down on corrupt practices in both national and local government, but that is hard to do when most people are at it. I wish him luck.

Roy.

Time For The Rich To Pay Taxes!

Posted in America, Britain, England, Equality, Modern World, UK, USA with tags , , , , , , on 22/07/2012 by floroy1942

Many parts of the world are suffering the biggest financial turmoil for many decades and yet there are tens of thousands of individuals across the globe who pay but a tiny fraction of the taxes they should. Of course, by that I mean the super rich! A band of selfish, greedy, self-important, conniving, shady, lying, cheating…. Oh Dear! Did I go too far??? I am sure many of the super rich will be quite upset at these words, but thank god for free speech and the right to express your opinions in a democratic world.

And These Are Just The European OnesNow to the nitty gritty! Why do I write such things about the super rich? The reason is a major study has taken place, much to the dis-satisfaction of those who are the subject of it, into tax-free havens and the huge amounts of money that are squirreled away in secret bank accounts on many of these secretive off-shore hide-aways.

It may astound you to know that the wealth hidden away at the end of 2010 is equal to the size of the US and Japanese economies combined i.e. $21 TRILLION! That is 21 times 1,000 billion dollars. This far reaching investigation is the work of James Henry, a former chief economist at the consultancy McKinsey, and was carried out at the request of the Tax Justice Network.

There can be little doubt that should you have lots of money it is easy to hide it away in many of the tax havens like Switzerland, Lichtenstein, Luxembourg and Monaco and the off-shore havens like The Bahamas, the Cayman Islands and the Virgin Islands. The more money you have, so the more your ability to employ the right people to move it around and avoid paying taxes.

…Except About His Tax Returns!

Being an average individual with a high moral code and set of standards, I find it distasteful to say the least that those among us with the most money get away with not paying taxes on their income while the rest of us ordinary folk get bled dry to pay for their excesses. I know for sure that I could not live with myself knowing that my tax contribution would put an end to ordinary people being thrown out of their homes for not being able to pay the mortgage while I sat in my castle counting my ill-gotten gains. It is without doubt one of the greatest injustices in the world today. I can well understand why Mitt Romney doesn’t want the world to know how much tax he has paid in recent years! It’s probably a fraction of what he should have paid.

You have to look at it this way, if all these privileged people paid the taxes they are supposed to, the current financial crisis would be over in  minutes. People would be back in work, homes would be secure and everyone would know their is some justice in the world.

So I have to ask, why cannot the governments of the world come together at the United Nations and put an end to this disgrace by shutting down all these tax-free havens? If there was nowhere for these people to hide their vast fortunes they would have no choice but to start paying taxes. If they did, the tax rates everywhere could be brought down to a realistic level for all, including the rich.

It is unfair on society that the majority must pay the lion’s share of taxes so the rich can make more money! Most of these people have more than they could spend in two lifetimes, and yet they are so greedy and heartless, they stand idly by and watch as hardworking people are thrown out of their homes, quietly rubbing their hands with glee at their massed wealth.

Bill & Melinda Gates and Warren Buffett

As most readers of this blog will know, I like to be fair, and in doing so, I have to mention that some super rich people do use their money for good causes. Bill Gates, co-founder of Microsoft is one such person, who with his wife Melinda, formed the world’s largest transparent private foundation i.e. the Gates Foundation. It is dedicated to globally enhance healthcare and reduce extreme poverty, and in America, to expand educational opportunities and access to information technology. The billionaire Warren Buffet works with Bill and Melinda Gates, and there are other rich people who do charity work with their wealth, it’s just a shame there are not enough like them, for there are countless others who hide their money away and do everything they can to avoid the tax man. I have nothing against people getting rich, but I do balk at the idea of them doing it at the expense of everyone else.

Money, like power, has become the number one drug everyone is addicted to, and no matter how much some people have, they always want more. It is definitely time to change the rules so that all men, and women, pay their dues in today’s society. Will it happen? Not on your life because most government’s could not stand without the backing of these powerful people, and they are out to protect themselves at all costs.

Roy.

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