If you liked the video about the Quants, which is always located in the footer of this blog, this is another film they made and it does good a job of explaining how the big corporations get their tax havens. Right out of the barrel they begin with Apple and interesting how they explain and the Netherlands has like no tax on intellectual property so the chain there is interesting on how it leads back to a US LLC. See how the names don’t always identify who they are as well. Wal-Mart is also covered in depth.
According to this video, there are always 4 companies present, (screenshot at the right) with most tax havens, all names you probably recognize too. Familiar advisers are why they are used and the constant feature. Without one or all of the firms you really will not have a good tax haven. Banks in there too, all of them. Banks, lawyers and accountants are the 3 needed elements. What is “neutral” taxation? It means “no tax”. Tax optimization is another term that means “no tax”.
The video shows the internal, secret world of where the billionaires live and travel. They make themselves invisible from money, nothing has their name on it and they deal with “cash”…amazing as they try to push consumers away from cash. The same laws and regulations don’t seem to apply to many of the billionaires.
The process of "globalization" was organized by the banksters at the helm of multinational companies with a single purpose in mind, make money. Certainly 35% which is the rate for the US is large percentage but somewhere between 35% and zero would be a help.
Intellectual property profits go to a Dutch “mail box” company for one example, where patents are held…so guess where the royalties go? You got it, the mailbox. Starbucks is identified as a mailbox company and the “trademark fees” flow back to the Netherlands so they are another one that hardly pays any tax. The one man interviewed here said it’s hard to compete with “zero”, in other words no tax.
The Parliament meeting in the UK with asking Starbucks about their 15 year running streak of no profits is rich “why are you still operating here”…you show you are losing money here and we need a better explanation. They hammer on Amazon pretty well too. The woman leading it gets right to the point in her speech and then apologizes.
It’s called working within the gaps of the law, why we digital centric types of laws soon that spell out the IT infrastructure and transaction paths. Accountants have had a pretty good ride and nobody has really questioned them. Why are the accountants no held accountable when banks failed? Nobody judges them and in the UK they are taking over the regulators, so we are back the same 4 pictured above.
What kind of models do these tax havens have, I guess we go back to the big 4 accountants for answers, right? Markets get distorted with all this as well with share prices. It’s the same old story with the middle class and the poor paying taxes. BD