I would like to know the specific scientific community opinion on this issue: tax havens. To get an idea of its impact on global economy, world GDP is about 80 billion € while the estimated capital in tax havens is around 25 billion € (more than 1/3 of world GDP). I wonder:
1) Why G20 and local governments do not try to eliminate tax havens, knowing that now represent merely opaque tools, which serve mainly to avoid taxes and that are based on principles against justice, free competition and transparency; which facilitates trafficking and laundering drug, theft and weapons (in short unjust, immoral, illegal and unlawful large-scale and even some of the main current of society 'problems')? What's this all about?
2) Any kind soul could filter altruistically and anonymously one name from the list of 789 Spanish people with restricted access in the 'regularization' tax? Where would be possible to find such information?
1. sorry for being Sarcastic but to your basic question: because they are not virtual problem :))
And to more serious note:
- States themselves often use one way or another the benefits of tax-heaven. If you remember before 2008 economic crisis - some countries, including USA were in panic due to severe change of Icelandic banking system, many companies were using Luxembourg in the times of Juncker being prime minister, so many states have their valuables in Swiss. Simple reason - these locations are usually safer in economic as well as tax manner. And, honestly, state have sovereignty to adjust their tax systems - on the other hand, people have sovereignty to adjust their personal finances according to their best interest. Since globalization enables world-wide dispersion of valuables, there is nothing wrong with the things as they are. I am strongly sure, everyone who is rich enough to have something to save from the state will try to do so. Only difference between free financial world (we move just money) and restricted financial world (we will move out of the country together with the possession we have). So i suggest shift in paradigm from tax-heaven to questioning what "honest, democratic, representative governments" are doing that they encourage people/companies to leave. If my state taxes me so much and provides so little - i will change the place of residence or just organize my funds in more efficient way. However, I am making this response, based that i earn money in a honest way and not by crime. You might ask if tax-evasion isn't a crime - it will be when the states will make sure that we have better life for what we would pay them. Slovenian state takes about 44% of GDP, tax levels are increasing but social services and quality of life are decreasing - i don't see wrong in the attempt that i try to protect my revenues from something that might be called bad use. In other words - tax-heaven is mainly attempt of incrimination of economic logic to protect the money from bad state policies instead of change the policies in the sense that people will have something from the paid taxes or to reduce the taxes to reasonable level - i am not giving you proper answers - but for sure i hope i am giving you another perspective on the issue.
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