What is really messed up about this is that the tax havens citizens don't really benefit from these practices. These economist don't look at the fact that the citizens of these tax haven countries are forced to shoulder the tax burden to maintain a system for these multinational companies to be able to use them without really benefiting.
He actually explains in the video how the tax havens get loads of tax revenue from all over the world. The problem is that the rest of the world isn't sanctioning these countries into oblivion.
@@VolcanicPenguin I actually live in a tax haven and the money does not enter the economy. The only thing that happens is the country's GDP goes up while the average money each citizen has remains the same less the increase in tax to sustain the borrowing the increased GDP allows.
@@VolcanicPenguin There is no large tax revenue. So, the government doesn't have any to spend. The advantage is the ability to borrow more money because the countries GDP seems higher than it is. The long term affect of this is that the citizens are forced to pay more in taxes.
Who do I vote for if I want lower taxes on labor but higher taxes on capital? Hard thing for politicians to propose unfortunately. Globalization allows capital to move globally, while government's authority is limited to within the border of the country. I don't see a solution to this without more global cooperation or more nationalistic policies from governments.
Very good proposals in the last few minutes of this video. Professor Zucman, have you considered the use of tax-treaties, double-taxation agreements, and tax-information exchange-agreements?
"tax the corporations, where they make sales (in a nation?)" (2019-04 Gabriel Zucman, Berkeley) --- why would that help any of the poor (people/nations) ? - who predictably are not those who buy.
It stops the race to the bottom so much therefore freeing countries domestic policies from some of the negative and bad effects of global capitalism. Therefore, as in saying, the countries domestically can be more free to "tax to invest", to build (spend) on their own countries people and their welfare (social services including infrastructure and education, not just social welfare for being poor) to build up their country, so they can then do things (economically, economic direction) that will and would improve their country's economic situation at the global level.
It is interesting that economists cannot suggest something as simple as making 700 year old double-entry accounting mandatory in the schools. Then they don't talk about the depreciation of all of the South called durable consumer goods like cars and air conditioners. What is NET Domestic Product?
Barbados is a very recent example of a country moving in this direction: the newly elected Government (May, 2018) (1) LOWERED all tax-rates and [2] EQUALISED local corporations' income-tax rates and foreign corporations' income-tax rates. There is no longer a disadvantage (i.e., relatively high tax-rates) to domestic companies; at the same time, the lower tax-rates are attractive to companies worldwide to invest in or through Barbados as a domicile for exports.
As I understand it; corporation tax rates are included within the scope of EU tax harmonisation regulations. Surely this prevents The Republic of Ireland, Cyprus, Gibraltar, etc. from offering tax havens to multinationals?
Since the year 1791 Bankers have been gnawing at creating the money in the USA economy. They succeeded by 1832. Once money is compromised everything else falls, corporations government. These bankers created a nearly pure credit economy. They set up a system where the issuance of money comes with debt paid to them. Anyone that claims that the national debt can be paid off has a 2nd grade understanding of the economy. Except for the coins and United States notes all our money comes as a result of credit. We are in a credit based economy. The system is set up so that MOST OF OUR MONEY COMES FROM CREDIT. So trying to pay off the debt in this type of system is like a dog trying to catch its own tail.
Still talking of taxing people?? Why should the government need to take any money in income tax? They are in league with the printers of money... It is the way that modern indentured servitude is instilled in the population. Time for a new intellectual class with better ideas for the future not controle programs from the past
This is why I used to think the EU was a Good Idea. But we are not there yet. I think when everyone speaks English (only because its winning so far) we can step closer.
So Apple would just withdraw from France and let the French buy their iPhones in Portugal or whatever . People want the product: they will get the product. Nations want to incentivize companies through lower taxes ( as in “ free competition”). They will do it. Nice analysis, poor “solution”.
Great solution, Prof Zucman. I read two of your books and overall they are very well-researched and have some reasonable solutions.
What is really messed up about this is that the tax havens citizens don't really benefit from these practices. These economist don't look at the fact that the citizens of these tax haven countries are forced to shoulder the tax burden to maintain a system for these multinational companies to be able to use them without really benefiting.
He actually explains in the video how the tax havens get loads of tax revenue from all over the world. The problem is that the rest of the world isn't sanctioning these countries into oblivion.
@@VolcanicPenguin I actually live in a tax haven and the money does not enter the economy. The only thing that happens is the country's GDP goes up while the average money each citizen has remains the same less the increase in tax to sustain the borrowing the increased GDP allows.
@@bonadventureconyers2015 Hmm.. So what does the government spend all the tax revenue from global corporations on?
@@VolcanicPenguin There is no large tax revenue. So, the government doesn't have any to spend. The advantage is the ability to borrow more money because the countries GDP seems higher than it is. The long term affect of this is that the citizens are forced to pay more in taxes.
@@bonadventureconyers2015 What country is this?
Who do I vote for if I want lower taxes on labor but higher taxes on capital? Hard thing for politicians to propose unfortunately. Globalization allows capital to move globally, while government's authority is limited to within the border of the country. I don't see a solution to this without more global cooperation or more nationalistic policies from governments.
This guy is very clever and brave. We need of this type of professors. He's a citizen of the European Union like me which makes me proud.
An unemployed marxist hahaha winning
I just love how he has a quite pronounced french accent, but he pronounces "Apple" in a quintessential American way
Very good proposals in the last few minutes of this video. Professor Zucman, have you considered the use of tax-treaties, double-taxation agreements, and tax-information exchange-agreements?
"tax the corporations, where they make sales (in a nation?)"
(2019-04 Gabriel Zucman, Berkeley)
---
why would that help any of the poor (people/nations) ?
- who predictably are not those who buy.
They sell
It stops the race to the bottom so much therefore freeing countries domestic policies from some of the negative and bad effects of global capitalism. Therefore, as in saying, the countries domestically can be more free to "tax to invest", to build (spend) on their own countries people and their welfare (social services including infrastructure and education, not just social welfare for being poor) to build up their country, so they can then do things (economically, economic direction) that will and would improve their country's economic situation at the global level.
It is interesting that economists cannot suggest something as simple as making 700 year old double-entry accounting mandatory in the schools. Then they don't talk about the depreciation of all of the South called durable consumer goods like cars and air conditioners. What is NET Domestic Product?
Barbados is a very recent example of a country moving in this direction: the newly elected Government (May, 2018) (1) LOWERED all tax-rates and [2] EQUALISED local corporations' income-tax rates and foreign corporations' income-tax rates. There is no longer a disadvantage (i.e., relatively high tax-rates) to domestic companies; at the same time, the lower tax-rates are attractive to companies worldwide to invest in or through Barbados as a domicile for exports.
As I understand it; corporation tax rates are included within the scope of EU tax harmonisation regulations. Surely this prevents The Republic of Ireland, Cyprus, Gibraltar, etc. from offering tax havens to multinationals?
OK, lets start doing it RIGHT NOW!
Corporations only look at the economic value they don’t care about anything but that.
Since the year 1791 Bankers have been gnawing at creating the money in the USA economy. They succeeded by 1832. Once money is compromised everything else falls, corporations government. These bankers created a nearly pure credit economy. They set up a system where the issuance of money comes with debt paid to them.
Anyone that claims that the national debt can be paid off has a 2nd grade understanding of the economy. Except for the coins and United States notes all our money comes as a result of credit. We are in a credit based economy. The system is set up so that MOST OF OUR MONEY COMES FROM CREDIT. So trying to pay off the debt in this type of system is like a dog trying to catch its own tail.
That is the best idea I have heard for fighting against tax evasion of the global elites.
Who would've thought...
Enlightening.
Brilliant !
Still talking of taxing people?? Why should the government need to take any money in income tax? They are in league with the printers of money... It is the way that modern indentured servitude is instilled in the population. Time for a new intellectual class with better ideas for the future not controle programs from the past
taxation is required to reduce the amount of money in circulation, otherwise rampant inflation?
This is why I used to think the EU was a Good Idea. But we are not there yet. I think when everyone speaks English (only because its winning so far) we can step closer.
Short answer " because I dont understand nuclear energy and refuse to take orders from people that do " that is all
University professor in California....hmmm....
So Apple would just withdraw from France and let the French buy their iPhones in Portugal or whatever .
People want the product: they will get the product.
Nations want to incentivize companies through lower taxes ( as in “ free competition”). They will do it.
Nice analysis, poor “solution”.
Then let’s see your solution apologist. And tax breaks to corporate greed has already been disproven.