Blaa

Blaa
9.9 Tax Investigation Framework
What is Tax Investigation
Tax investigation is an inspection of taxpayer's business and / or individual books, records and
documents. This inspection is to ensure the right amount of reported income and paid taxes required
under laws and tax provisions. The investigation will be carried out only in cases where is suspected
on the basis of precise and clear evidence that the tax payer is deliberately trying to avoid paying
taxes or having committed an act of willful deceit under the Act, such as real property gains Tax Act
ITA and 1976, the Petroleum(Income Tax) Act 1967, Promotion of Investment Act 1986, the Stamp
Act 1949 and the Labuan Offshore Business Activity Tax Act 1990. There are two ... Show more
content on Helpwriting.net ...
Where existing fiscal agent representing taxpayers a separate letter of authority required to work
with IRBM and tax agent / representative statements taken during interviews / meetings with the
IRBM can be used in litigation tax criminal investigation. Make sure all correspondence between
the IRBM and fiscal agent / Representatives are in the "Without Prejudice" basis, with except in
cases of criminal tax investigations they are allowing taxpayers to take notes of any conversations or
interview and a copy of the licensing interview or discussion notes within the application, such as
copy signed by both parties and the investigating officer shall explain all the facts, agreements, the
issues discussed are confidential between the IRBM and the taxpayer or its appointed agent. In cases
of criminal tax investigations, however, a copy of the interview / Note the discussions and recording
the testimony of witnesses can not be given to the representatives of taxpayers or witnesses. (Hasil,
2007).
4. Finalisation of Tax Investigation Upon finalisation of a civil tax investigation case, a written
settlement agreement will be entered into between the Director General of Inland Revenue (DGIR)
and the taxpayer. The following information should
... Get more on HelpWriting.net ...

Tax Havens And Its Effects On America
In addition to allowing corporations to store billions of untaxed dollars, tax havens are also used to
support dictators and undemocratic societies. All dictators like Muammar Gaddafi have had billions
of dollars stashed in tax havens all around the world. "Tax havens are also used as the principal
route through which laundered money escapes developing countries." (Palan)
The reason tax havens exist, is for the same reason why they existed 50 years ago; to attract money
and investments from around the world. When multibillion dollar corporations put billions of dollars
in the banking system, it gives the local economy of that country a little boost. That stored in the
banks can now be lent out to people to buy homes, cars, or even start a ... Show more content on
Helpwriting.net ...
Corporations have gone far too long without paying taxes. It's easy to recognize that the main
objective of corporations is to make more profit regardless of how it's done. This greed brought on
by the top companies in the world has cost America $100 billion a year. If these companies would
like to take advantage of the biggest market in the world, then they should respect the laws put in
place for that country. With that being said, we the people, who buy these products, must make a
stand and demand that these companies operate fairly. We know how much money is being lost,
where it's being stashed, and what countries are helping this happen. As the most powerful country
in the world we must take a lead and implement new international policies that will make corporate
tax evasion something of the past.
Even with all these reasons on why corporate tax evasions are bad, there are still some arguments
saying that the current tax system is fine as it is. These arguments usually derive from the fear of
change. People are scared of the actions that these companies will take in order to counter act the
new law set by the government.
The main argument comes for allowing tax evasion is that corporate tax evasion makes products
cheaper for consumers. While this is a possibility, it also doesn't make sense. The whole reason
corporations evade taxes in the first place, is to make as much profit as possible. So why would
these corporations

Tax Evasion
2. Why is there little tax evasion in Singapore or any other country of your choice? Is it because
Singaporeans fear state punishment or because they are satisfied with the performance of the state?
Or is there any other explanation? Which explanation(s) do you find most persuasive? Why?
Tax evasion, the illegal negligence in taxpaying and misrepresentation of tax returns to reduce one's
tax liabilities, is at a low level in Singapore. With Singapore's strong tax enforcement, Singaporeans
fear state punishment, deterring them from evading taxes. However Singaporeans' fear of state
punishment is insufficient to explain Singapore having little tax evasion. In an empirical study by
Alm and Jackson (1992), higher levels of state punishment ... Show more content on
Helpwriting.net ...
However Singaporeans have become irrational. They have in effect been duped by the state's
performance to increase levels of voluntary compliance, distracting Singaporeans from the
underlying foundational reason (state punishment) that they continue complying, in a pseudo–
parallel to the Marxists' concept of 'false consciousness'. Singaporeans are kept optimistic about
taxpaying, manipulated into believing that they pay taxes not because they are being coerced, but
because they want the state to continue performing well. Thereby although Singaporeans'
satisfaction with the state's performance has attributed to Singapore's low tax evasion, its underlying
principle is not as non–coercive as it may appear to be on the surface. State performance has been
used to coerce Singaporeans subtlely.
Subtle coercion is also carried out through the tax administration's innovations. These innovations
supposedly make the lives of Singaporeans easier by aiding them in paying taxes. However it is but
a means of manipulating them into paying their taxes to achieve higher compliance. E–filing, or
online taxpaying, was introduced to enable taxpayers to file their taxes online, and has seen much
success in acquiring tax compliance, with 96% of taxpayers e–filing (IRAS, 2007). Taxpaying is
made so convenient that taxpayers do

Financial And Non Financial Benefits Essay
Compensation has long been considered one of the business organizations' means of gaining
competitive advantage. Financial and non–financial benefits are likely to assume a critical role in
attracting necessary professionals and retaining competent personnel (Rosenbloom & Hallman, as
cited in Marsh & Kleiner, 2004; Shields, 2007; Tetrick, Weathington, Da Silva & Hutcheson, 2010).
"How people are paid affects their behaviors at work, which affects an organization's success"
(Milkovich, Newman & Gerhart, 2011, p.5). This notion presses employers to place great
importance and careful considerations in designing compensation package for the personnel. An
increasing number of employers tailor their compensation package to come up with the one that
would maximize their workers' earnings. The common approach of doing it is providing additional
monetary and non–monetary benefits on top of the base pay. Martocchio (2014) explained that
companies are offering many benefits to take advantage of tax incentives by reducing taxable
income. Tax avoidance on compensation (also known as tax shielding) is also being practiced by
some companies in the Philippines. Some individuals are already enjoying the benefits of tax
savings, while others are wavering to follow this practice for fear of being accused of tax evasion.
Tax shielding compensation is not necessarily evil. The Bureau of Internal Revenue (BIR)
promulgated revenue regulations that enumerate tax–exempt compensation and

Tax Avoidance
There is a very clear distinction between tax avoidance and tax evasion from academic publications.
Tax books have defined tax avoidance as "the lawful minimization of tax liability through sound
financial planning techniques, while tax evasion is the "unlawful attempt to minimize tax liability
through fraudulent techniques to circumvent or frustrate tax laws". The consequences of either
action are also clear. The former is not punishable by law while the latter is. However, the lines
between evasion and avoidance have become blurred between the government and the general
public.
In an academic publication, tax revenues are denoted as "the lifeblood of the social contract, vital to
the development and maintenance of physical ... Show more content on Helpwriting.net ...
On the other hand, Richard Murphy, 'anti–poverty campaigner and tax expert', has stated that "those
who argue that the matter is simple; avoidance is legal and evasion is illegal have forgotten how
hard it is to tell what is and is not legal". This is especially true because a lot of the tax avoidance
schemes these large entities are involved in are such complex matters that even HMR&C struggle to
unravel them. It seems like the Corporations are able to get away with it because, in an interview
with Liberal Democrats Treasury spokesman, Vince Cable, he stated that 'Banks and other
Corporations use the finest legal brains money can buy to avoid tax, but HM Revenue & Customs is
underpaid and overstretched, so it is far from a level playing field.'
Much of the complex tax planning strategies involves an international dimension; a prime example
is the Arcadia group. According to the Guardian, the businessman banked a record £1.2bn dividend
in 2005 which he paid directly to his wife. Richard Murphy, director of Tax Research UK, estimated
Green saved £285m by doing this. This raises the issue of non–domiciled status and tax havens that
many of the wealthy use to avoid paying tax. Even though the government introduced a flat charge
of £30,000 to those who have been resident in the UK for more than 7 out of the last 9 years as of 6
April 2008 (Goodman Jones), UK Uncut argue that this does not equate to the billions in pounds
that could be recouped from

Essay On Tax Compliance In Zimbabwe
1.1 Introduction
This chapter provides background information regarding tax compliance by SMEs in Zimbabwe.
The topics covered in the chapter include background of the study, statement of the problem, the
objectives of the study, main research question, sub research questions and justification of the study.
Other sub–topics covered include significance of the study, delimitations, and limitations of the
study and definition of terms.
1.2 Background of the study
A study undertaken by a research firm, Global Financial Integrity revealed Zimbabwe could have
lost $12 billion in the past 30 years through illegal financial outflows that include secret financial
deals tax avoidance and illegal commercial activities. The Policy Officer for ... Show more content
on Helpwriting.net ...
Thus, the informal sector and SMEs has become the major employer in the country. SMEs,
primarily formed by the retrenched workers are now filling the gap in revenue collection by
government. According to Maseko 2014 SMEs represent 95% of enterprises that generate over 50%
of private sector employment and when the country is suffering from a debilitating liquidity crunch
this has become a major concern, considering that the sector is not fully compliant with tax
collection by ZIMRA. There are a number of challenges related to revenue collection from SMEs by
government. According to the Minister of SMEs Nyoni (2014) a FINSCOPE survey report indicated
that 85% of Micrco, Small and medium Enterprises are informal and almost US7.4 billion is
circulating in the informal sector. The government is planning to seriously engage big companies on
the possibility of opening micro finance institutions to capacitate SMEs in order for them to start
making a meaningful contribution to the fiscus through tax collection. Through formalizing SMEs,
which constitute 95 percent of informal sector, ZIMRA will be able to put them on the radar of the
taxman. According to Tshuma (2014) ZIMRA officials adopted a more radical approach which
included raiding offices of SMEs for search and seizure of documents, raising assessments instantly
and garnishing clients' accounts to boost tax collection

Public Relation Dilemm Imran Khan And Panama Leaks Issue
REPORT ON PUBLIC RELATION DILEMMA IMRAN KHAN AND PANAMA LEAKS ISSUE
PUBLIC RELATIONS (COURSE) SUBMITTED TO: MA'AM FAIZA NASIR MA'AM FAIZA
ABDULLAH (COURSE INSTRUCTOR) SUBMITTED BY: RAJA KUMAR REG NO: 23985
MBA–WEEKEND DATE: 29TH JUNE 2016 INTRODUCTION: The Panama Papers is one of the
biggest leaks and largest collaborative investigations in journalism history. It reveals the secretive
offshore companies used to hide wealth, evade taxes and commit fraud by the world 's dictators,
business tycoons and criminals. Panama Papers are documents obtained from a Panama–based
offshore services provider called Mossack Fonseca. The documents were received by the German
newspaper Süddeutsche Zeitung and shared by the International Consortium of Investigative
Journalists (ICIJ) with the Organized Crime and Corruption Reporting Project (OCCRP). 0n 3 April
2015, panama paper leaks exposed 11.5m files from the database of the world's fourth biggest
offshore law firm, Mossack Fonseca. The records were obtained from an anonymous source by the
German newspaper Süddeutsche Zeitung, which shared them with the International Consortium of
Investigative Journalists (ICIJ)

The Role of Taxation in Economic Growth and Develoopment
It is very common acknowledged that taxation plays an important role in economic growth
development. In particular, taxes provide greater economic substance in order to build basic
structure and the quality of life in developing countries. Indonesia is nevertheless also in the position
that really depends on the collection of tax revenue as it generates almost approximately 70–80% of
national income.
Directorate General of Taxes (DGT), the main government body whose mission is to collect national
tax revenue will always put a lot of effort to realize its annual tax target. In 2014, DGT has a target
of 1.110 trillion rupiahs, 66% of the total national income of 1.600 trillion rupiahs – a slightly lower
percentage compared to preceding periods. In order to reach the target, DGT has provided strategic
plans to help meet the target. However, during the implementation of the plans, DGT has to deal
with a few strategic challenges such as Transfer Pricing, tax avoidance and tax evasion where they
will be such an obstacle of collecting tax revenue.
Among these strategic challenges, Transfer Pricing has been the most primary issue within DGT for
the past few years. DGT started establishing Transfer Pricing division in 2007 which administers,
analyzes and guides all tax officers whose task are dealing with Transfer Pricing cases. Meanwhile,
data from Ministry of Finance indicates that there has been considerable 4000 MNEs have not
fulfilled its tax obligation to pay tax

Advantages And Disadvantages Of Tax Havens
The central argument of this paper is that tax havens are not only mediums for tax avoidance and
evasion but belong more broadly to the world of finance. Viewed individually, tax havens may
appear small and insignificant; combined, they play a central role in the world economy, where
liberalization and deregulation of the financial sphere has caused an exponential growth of tax
havens in the last 40 years. I would define tax havens as jurisdictions that have sufficient autonomy
– and most importantly a deliberate interest – to write their own tax, finance, and other laws and
regulations. Their purpose is to ease transactions undertaken by nonresidents who have the intention
to avoid taxations and other regulations in their home country by providing a legally backed veil of
secrecy to make it hard to determine the true owners. Tax havens do so with the active support of ...
Show more content on Helpwriting.net ...
Apart from a low corporate tax rate – which on it's own does not imply the label "tax haven" –
country has to be well–governed, which includes an efficient and respected government, political
stability, rule of law, and the control of corruption. Small islands with a population below 1 million
are also highly favorable jurisdictions because they often lack natural resources and hence depend
on foreign investors. MNEs such as Google, Apple, Amazon and Starbucks have long ago
discovered the advantages of such small island economies. Yet, this paper also shows that tax haven
do not have to be located in some remote islands with sandy beaches – but they can also be in any
respectable country of the European Union. Many successful MNEs, for example, use financial
regulatory loopholes in Ireland, Luxembourg or the Netherlands to avoid paying their fair share of

The Identification Of The Tax Evasion Methods Developed By...
Milos (2013) concluded the challenges in the identification of the tax evasion methods developed by
companies and by individuals, as well as the difficulty to eliminate tax evasion, however optimistic
in finding potential solution to minimize and diminish tax evasion concerns (p.171). Milos suggest
the creation of effective fiscal control is necessary rather than dramatic punishment, implementation
of feasible legislative system, increase tax awareness or tax education among citizens, and
implementation of clear, concise, simple, precise and stable fiscal or taxation laws to fight tax
evasion (p.171). Milos recommended several approaches to fight against tax evasion that must be
implemented at once:
Optimizing the legislative – normative framework,
Continuously rendering effective the institutions that would fight tax evasion by eliminating the
persons that could be subject to corruption,
Diminishing the taxes and charges,
Finishing the integrated customs system of securing the borders,
Simplifying the taxation system,
Rendering transparent the system, process, results and others connected to fighting the taxation
evasion. (p.171) This is consistent with Skinner and Slemrod (1985) suggestion to strengthen
enforcement by heightened monitoring and amplified penalties for determine tax evaders, and the
benefit of maximize revenue, simplification of tax laws to diminish the loopholes or trim down the
breeding grounds of evading taxes schemes to lower the tax evasion

Exploring Tax Morale Essay
The question of why people pay taxes is as old as taxes themselves. Allingham and Sandmo (1972)
provided the main theoretical model based on the economics of crime approach (Becker [1968]
1974) where individuals would evade taxes as long as the payoff from tax evasion outweighs the
costs of being caught evading. Increasing the costs of cheating – more audits, and stiffer penalties –
should reduce tax evasion. Unfortunately, over time that theoretical approach has shown its
limitations. First, it cannot explain why observed levels of tax compliance in empirical studies and
in experiments are higher than the model's theoretical predictions based on probabilities of detection
and penalties.
Second, exclusive reliance on incentives may crowd ... Show more content on Helpwriting.net ...
That has prompted the search for alternative models that may better capture the complexity of tax
compliant behavior (Alm, 1999). Theoretical concerns focused on the role of norms in explaining
tax compliance behavior or attitudes about complying with taxes (e.g. Cullings and Lewis 1997,
Schnellenbach 2006) Taxpayers may have an intrinsic motivation to comply with taxes which was
termed Tax Morale (Torgler 2003b, 2006) which is shaped by individual and institutional norms
(Torgler, 2003b). Unlike the traditional model of tax evasion, taxpayers' rationality is assumed as
limited; norms act as devices helping individuals to make their own tax compliance decisions
(Torgler, 2003b) Although limited by the still developing links between tax compliance attitudes and
tax compliant behavior (Halla, 2010) empirical results show plausibly Tax Morale may influence
taxpayer behavior as it appears correlated with the size of the underground economy (Alm and
Torgler 2006, Torgler and Schneider 2007).
The purpose of this paper is to work on the finding that trust in government affects Tax Morale to
propose a more precise explanation on how governments elicit taxpayers' trust. Using insights from
the literature on political trust and social capital, we will contend that what drives trust in
government are the actions of government officials – street–level bureaucrats – when they interact
with individuals at the adjudication of public goods and services.
The plan for the

The Key Causes For Tax Evasion
People can be driven to behave recklessly if an outcome is well supported by incentives. The
motivational aspect of an outcome is exactly what pushes companies and individuals alike to
perform a task that they would normally not do. Motivation is the key cause for tax evasion, since it
helps avoid a massive proportion of expenses that would generally be incurred. As illustrated by the
case study that was provided by the Australian Financial Review, a small number of people do
heavy tax lifting as opposed to the rest of the population. This means that there are a few people that
earn a significant amount of money and due to progressive tax rates, the overall amount of tax that
this small group of individuals would have to pay would be ... Show more content on
Helpwriting.net ...
This concept has shown prominence through every stage of business evolution and has still
remained as an essential factor that every business in the modern generation strives to achieve.
Profit not only shows a company's efficient performance, but it also dictates how the company will
be accepted within a society. This is supported by Friedman (1962, pp.23), as he mentions that
ethical compromises can be made to achieve greater goals. Since the most fundamental goal of
every business organisation is to earn profits and succeed amongst their competitors, it can be
agreed that companies would be willing to sacrifice a certain amount of ethical decision making.
The opportunity cost in this case is preferable for the people that would want to give up a portion of
their ethical mindset to earn a larger profit share for their own selfish career oriented desires.
(Lincoln, Pressley, & Little, 1982, pp.476).
Taking the aforementioned fact that profit is main goal of a company into consideration, it is crucial
to understand that accounting is the crux of every business organisation. The Conceptual Framework
clearly states that all information within financial reports should be free of bias and material error,
i.e. the information must be

Tax Avoidance
*
* Part A: Tax Avoidance and evasion
Introduction
According to Hyde (2010) tax evasion cost the UK treasury over £15 billion annually. This is
approximately 3% of the total tax liabilities that individuals and organisations are meant to pay to
the Her Majesty Revenue and Customs (HMRC). While an estimate of £25 billion is lost through
tax avoidance annually (Murphy, nd). These are huge sums of money that could go a long way to
help the government reduce the national deficit or could have been used for national development
projects but have eluded the government. This report seeks to compare and contrast tax avoidance
and evasion. Secondly, critically evaluate the effectiveness of HMRC's approach to the "tax
avoidance ... Show more content on Helpwriting.net ...
Engaging with customers about approach to avoidance
According to the BBC (2012), under the banking code on taxation, the banks that signed have
commitment themselves not to engage in tax avoidance scheme, therefore, anyone such as a bank,
accountant, lawyer or tax adviser, who devises a seemingly legal tax avoidance plan, is obliged to
tell the tax authorities about it within a few days of using it or marketing it to clients. This is a good
way by which the HMRC is working hand–in–hand with their customers to prevent avoidance. This
system will only work if the customers are willing to disclose the loophole to HMRC.
Conclusion
The HMRC looses an estimated sum of £40 billion annually through tax evasion and avoidance. Tax
evasion is a criminal act which perpetrators can face prosecution for it, while tax avoidance can be
seen as using the loopholes in the tax law to avoid paying the right amount of tax required. HMRC
are using the following strategies to tackling the problem of tax avoidance; making tax law robust
against avoidance and engaging with customers on to seal any loophole in the tax avoidance
industry.
* Part B: Inheritance tax * 1 Introduction
Inheritance tax (IHT) can be defined as the tax that is paid on ones estate after death on condition
that his/her estate is valued in excess of £325,000. IHT is chargeable to an individual who is
domiciled in the UK. It is chargeable in relation to all his/her property situated throughout the

The Problem Of Taxation Of International Businesses
The problem of taxation of international businesses was noticed in the 1920s. It was noted that
interaction of domestic tax system of two different countries can result in double taxation and in
such way negatively affect growth of global economy. International laws were introduced in order to
avoid double taxation and support global economy. However nowadays in a much more globalized
economy, such international rules create opportunities to minimize or avoid paying taxes in both of
the countries the business is established. The states that decided to provide such opportunities are
now known as " tax havens"
Today, Member of States (MS) and the European Union have put great efforts towards increasing
the transparency of financial dealings ... Show more content on Helpwriting.net ...
The main difficulty for the policy enforcement agents is that financial havens employ strict financial
secrecy that is hard to overcome, plus some MS are also engaged in the harmful practices and thus
do not support some of the initiatives. Due to these struggles all the EU agreements regarding tax
havens are considered to be rather symbolic in nature. (T. V. Addison, 2008 p.704)
Accordingly the main aim of this study is to evaluate the adequacy of the European initiatives on
fighting tax havens, money laundering and bank secrecy, and the impact of these attacks on the EU
own financial state. This aim will be achieved through explaining the nature of tax havens and
analysing the coherence of the past/current and proposed policies introduced by the EU and other
international bodies like Organisation for Economic Co–operation and Development (OECD). The
research will seek to explain the main struggles that the EU is facing in enforcing policies through
collection action problem. Answering these questions should help to construct a remedy
recommendations regarding what kind of enforcement powers can be implemented to make the
policies compliant.
The Research Problem:
This essay will briefly explain the most recent policies proposed by the EU and the OECD .All these
policies have one thing in common: increase transparency of the financial records and exchange of
information between tax authorities. Thus putting all the MS on an equal

Black Money
Black money is hot topic of common debate in the country now. This article explains in easily
understandable way the various aspects of black money, starting with defining black money,
generation of black money, how black money is washed and used as normal money, and need to
tackle the black money menace, and other related aspects
What does the term Black Money mean?
Black money means,the money or income not declared for tax to the govt or relevant authorities,
and hence the tax for which is not paid to the government. Thus, in simple words –black money is
income on which tax is not paid and deliberately evaded.How black money is generated?
Let us take the following two cases for example.
1. A person purchases a property or ... Show more content on Helpwriting.net ...
The huge flow of foreign capital to stock market and real estate are pointers to this.
Feeble law enforcement and slow legal system–Law enforcement action against tax evasion, is very
weak due to reasons starting from corrupt officials to shortage of manpower for proper investigation
information. Moreover the court formalities take a long time to come to a conclusive stage of
conviction and actual punishment. This encourages others to continue without moral fear.What is the
impact of black money on economy?
Country does not get its normal legitimate revenues due to evasion of taxes. As huge amount of
money is hidden, many vital statistics needed for macro planning the country 's welfare measures
and programmers are distorted. The money needed for many welfare measures are not available for
the productive economy. When black money is generated outside the country by Indian nationals or
taken away from India to foreign centres, the foreign exchange reserves get affected. The black
money returns to our country through routes via different countries, and different entities that
ultimately the real origin cannot be traced, and the money then gets washed and enters as normal
legal money.
Black money does not just affect the macro economy, and functions as a parallel economy. It affects
the common man in his daily life. The escalation of real estate, artificial boosting of gold price and

The Relationship Of Tax Avoidance With Corporate Social...
There is an ongoing debate on the relationship of tax avoidance with corporate social responsibility
(CSR) and ethical behaviour of companies. Specifically, corporate social responsibility can be
defined as companies undertake the responsibility for social welfare and development (Matten and
Moon, 2008). For ethical behaviour, it is referred to govern the actions of individuals and
organizations in the business under contemporary standards (Epstein, 1998). Moreover, this is the
difference between tax avoidance, which companies use appropriate methods to reduce the amount
of tax within the law, and tax evasion, which can be defined as illegal to reduce taxes (Hasseldine
and Morris, 2013). According to US Treasury (2009), each year the US government may lose more
than $345 billion revenue because of a variety of tax avoidance. Moreover, the UK government also
faces the problem of losing tax, at £40 billion each year (HM Revenue and Customs, 2010). In
recent years, an increasing number of governments, media, and non–government organizations
claim that corporate tax avoidance is not conducive to the development of society and ethical
behaviour of enterprises. The aims of this essay are to research the motivations of corporate tax
avoidance, and discusses to a large extent corporate social responsibility and ethical behaviour of
firms is in conflict with tax avoidance, even though they have some consistency. The first section of
the essay will research the motivations of

Speech On Corruption
One of the biggest global challenges of our time, Corruption chokes development, hinders economic
growth, impedes fight to alleviate poverty by giving birth to lawlessness, adulterated eatables,
spurious drugs and costs economy billions of pounds every year by syphoning off funds and distorts
political, economic and social life. Corruption diminishes morality and credibility of officials and
destabilizes the government and makes people more susceptible to the poisonous ideology of
extremists. India's growth would have been 5 percent faster since 1970s and could have been a
trillion economy nation had there been no corruption. The number of corruption cases is quite
shocking. Bribery to obtain government contracts, the sale of national assets and enterprises all
show bitter abuse in their positions of power for their private gain in presence of electoral
democracy. Another demon called Black money is the income generated from legitimate or
illegitimate activities like smuggling, illicit trade, counterfeit currency, arms trafficking, terrorism,
and corruption, including unaccounted income, underground wealth, parallel economy, fake
currency i.e any income on which the taxes imposed by public authorities have not been paid.
Combined effect of black money and fake currency is playing havoc with economy of our country.
Instead of using money as a medium in exchange of commodities, goods, services, and intellectual
works, it is treated as an income generating asset and for wealth

Strengthening Of The Corporate Criminal Justice System
Introduction
A recent debate has centred on the issue of strengthening companies' liabilities for their illegal
conducts. To prevent tax evasion, banks and foreign dodgers meet 'strict liability' criminal penalties
(Wintour 2015). Treanor (2014) reports that if banks fail, new criminal responsibilities will be held
by bankers. Accordingly the Curzon and Richards (2007), corporate liability is "the extension of
liability for the commission of offenses to companies". Gooch and Williams (2015) define the
corporate crime as "the acts or omissions of a company". "Corporate criminal liability is the liability
imposed upon a corporation for any criminal act done by any natural person" (US legal website [no
date]). According to the Convention (1999), ... Show more content on Helpwriting.net ...
First of all, there is a threat to the shareholders because being the head of the company and holding
the largest share may cause conspiracy to defraud and cheat; consequently, stealing corporate assets
from the own corporation. Card (2014, p.785) might argue that Offenses for which corporations
cannot be criminally liable were mentioned, when the offence cannot be committed by a
corporation, such as, perjury, bigamy and sexual offences. On the contrary, in actual fact some
Directors are driven by the target, not in the benefit for corporation and harm, prejudice the minority
of shareholders (Pinto and Evans 2003, p.83). In addition to that, the dodging tax bereaves
Government urgently necessary finance for execution public uses. Concealment the finance abroad
to avoid tax has been amended by HMRC's capability to fight offshore tax avoidance in the G20 and
via its G8 Presidency to change the worldwide transparency of tax in the past two years. As part of
these agreements with 94 nations, HMRC will obtain various data on UK tax citizens and foreign
accounts, launching in 2016 (Haslett 2015, p.5). After revelations of Panama papers, corporations
buying properties are expected to display the full advantageous ownership to control tax evasion in
Britain (Wintour 2016). The final

Tax Evasion And Tax Taxation
"Nothing is certain but death and taxes." Taxes are an important element of a developed society,
where people concern about them, grumble about them, and even attempt to stay away from them by
different means. Not only individuals, companies and firms also adopt different strategies to avoid
paying taxes, these include tax avoidance and tax evasion. Tax avoidance is generally defined as a
more 'legal' means with the taxpayer lowering his/her tax liability by making use of the loopholes
and vagueness of the tax policies to reduce the amount of tax paid in different areas, whereas tax
evasion refers to purposely understate his/her taxable amount in order to lower his/her tax liability
(Jain, 1987). Tax evasion is therefore strictly against ... Show more content on Helpwriting.net ...
In the second section, the essay will then evaluate which taxes are more vulnerable to tax avoidance
and tax evasion. The paper will suggest some particular tax bases that can be continued to use
whereas the tax bases that should not be used or should be refined. In the last section, the paper
concludes by concentrating on recommending different methods to tackle the problem of tax
avoidance and tax evasion.
To start with, people have exploited the freedom to build complex business structures to take
advantage of the loopholes in tax rules. Tax Justice Network (TJN), an independent international
network launched in 2003 that aims to arouse attention and discuss issues related to tax and financial
globalization, have been constantly stressed the need for different countries to adopt adequate
methods of corporate transparency for tax administration purposes, for example, business
ownerships registration, a popular type of tax avoidance (Corporate Reform Collective, 2014). Areas
of authority such as the British Virgin Islands are renowned for forming offshore companies to avoid
paying business taxes. Tax evasion creates social problems as well. If taxpayers successfully evade
their tax payments, the hidden income eventually becomes their own wealth. As mentioned before,
tax evaders are an important element of the black market

More Money For Education Let's Start With Tax Analysis
In the article, "More money for education? Let's start with tax" the author provides the readers with
several valid points that shows education spending should be increased through taxes. The author
uses logos, pathos and ethos within the article to appeal to the reader and persuade them towards his
point. Increasing education spending through tax dollars is an issue that the author shows he has
studied a lot on and he provides a lot of reasoning to make his point stronger. He goes to tell that
increasing education spending with taxes will not only help poorer countries but can positively
impact education around the world. Within the article the reader will also find that it is hard for poor
countries to increase money for education so taxes is the best place for them to turn. The author
shows that increasing education spending has a positive effect on the majority rather than just a few.
Overall, throughout the article the reader will find several reasons why increasing education
spending through taxes will be beneficial for students, countries, and the economy. The argument
the author is trying to get across with this article is that it is near impossible for poorer countries to
find more money for their education. He is also trying to explain that increasing tax efforts can raise
money for education tremendously. The author adds information from studies showing that his view
point is correct and providing information on how raising taxes and putting it towards

International Tax Avoidance And Tax Evasion
After World War II, with the rapid development of their earnings increasingly international and
multinational companies, as well as the rise in many countries and the actual rate of tax,
international tax evasion and avoidance of potential benefits from the taxpayers have increased
cross–border so that international tax avoidance and tax evasion in the field more and more serious.
Since tax evasion in the domestic law of each country they belong to the infamous illegal, many
multinational taxpayers aware of tax evasion, once brought to light, causing harm to the company 's
earnings will be far greater than the tax evasion brought about, so instead bother States tax study and
differences between the legal loopholes to evade taxes to achieve a legitimate way to reduce the tax
burden purpose, making use of international tax avoidance more and more widely, the increasing
scale of international tax avoidance activities. International tax avoidance, while not illegal, but it
does not cause the normal flow of international capital, against the tax benefit of the State, the
taxpayer mental state had a negative impact.
While some high–tax countries find their own revenue along the visible and invisible loopholes
outflow, a variety of "remedial" anti–avoidance measures have come into being. The main method is
strict system, plug the loopholes. However, versed in international tax professional tax advisers able
to take advantage of differences in national tax laws to tax the taxpayer

So What Does It All Mean?
Video #1 – "So What Does It All Mean?" This video was particularly interesting re; the rapid
expansion of technology across the globe. One key fact that stood out was more data was created
this year than in the previous 5000 years combined. A main cause of this increased demand for
technology is the exponentially growing population. The video points out that if you are "1 in a
million" in China, that there are actually 1,300 people that are exactly the same as you. India has
more students with higher IQ's than the U.S. has students. Technology is constantly evolving. For
example, the top 10 in–demand jobs in 2010 did not exist in 2004. Employees are competing for a
chance to fix problems that aren't broken yet. With this advance technology and global commerce,
we are not only competing with our fellow countrymen but literally billions of brilliant minds from
around the globe. What I take away from this video is that technology is rapidly changing. And that
we must be able to change with it. The video said that the volume of information doubles every 2
years. This means that if I were taking a freshman EIS class, by the time I was classified as a junior,
half of the information would be outdated. Today the average worker is estimated to work at 10–14
different jobs by the time they're 38, according to the US Dept. of Labor. One in four workers has
been employed by their current employer for less than a year and 1 out of every 2 has been with
their employer for less than 5

Essay on Alphonse Scarface Capone
Alphonse &#8220;Scarface'; Capone
BACKGROUND INFORMATION
Alphonse Capone was born on January 17, 1899. He grew up in rough neighborhood in Brooklyn,
NY where he would attend school only up to the sixth grade, when dropped out. Capone got his
nickname &#8220;Scarface'; from a knife attack by the brother of a woman whom Capone had
insulted. The attack left him with three scars across his face and a new nickname.
Capone joined his first gang when he became part of the James Street Gang, headed by the well–
known Johnny Torrio. In 1920, upon the request of Torrio, Capone went to work for
Johnny&#8217;s Uncle, Big Jim Colosimo. Colosimo was ... Show more content on
Helpwriting.net ...
Capone was able time and time again to avoid criminal charges, and became a true racketeer, an art
of its own. Ironically, the government finally was able to put Scarface behind bars on charges of
federal income tax evasion. He was sentenced to eleven years in prison. Eleven years that
couldn&#8217;t even be saved by the four million–dollar bribe offered by
Capone&#8217;s attorneys.
In 1934 Capone was transferred to Alcatraz, and in 1939 he was paroled. Suffering from syphilis
that had begun to drive him insane, Capone knew he could no longer run his Chicago empire, so he
retired to his Miami Beach mansion. The exact place where on January 25, 1947 Alphonse
&#8220;Scarface'; Capone died.
IMPORTANCE IN THE TWENTIES
In 1920 when prohibition became law, a large portion of the population still wanted alcohol. But not
many were willing to put themselves at risk to sell it to others. Some did take advantage of
prohibition, but none more than Al Capone. With the rise of the telephone, the increase of
automobiles, the invention of the Thompson machine guns Capone was able to create an illegal
empire like no other.
When in came to bootlegging during the time of prohibition, Capone knew how to get to people, and
how to make a huge profit out of it. Another thing Capone was good at was avoiding the law.
Whether he blackmailed someone or he talked his way out of it, he

A Case Of Chinese And German Companies Essay
CENTRAL UNIVERSITY COLLEGE
FOREIGN COMPANIES' COMMITMENT TO TAX OBLIGATIONS
(A CASE OF CHINESE AND GERMAN COMPANIES)
BY
FUSEINI AHMED SALEEM
ACC/01/11/1711
SUPERVISOR; MR JULIUS AIDOO–BUAMEH
CHAPTER ONE
INTRODUCTION
BACKGROUND OF THE STUDY
In multi–national corporations (MNCs), taxation has caused heated debates and generated strong
criticism from civil society in recent years. Taxation is of great importance to the development of
every nation. It is a major source of revenue for the development of nations worldwide. In general,
the taxation of companies and business activities is a difficult task for states.
Taxation is said to be the means by which the government finance their expenditure by imposing
charges on individual citizens and corporate entities. Tax is a compulsory monetary contribution to
the state's revenue that is assessed and imposed by government on the activities, enjoyment,
expenditure, income, occupation, property of individuals and corporate entities. It can also be the
financial charge or other levy which is imposed onto a taxpayer by the state or the functional
equivalent of the state in that failure to pay, or evasion of or resistance to collection, is punishable by
law. Basically there are two types of taxes, which are the direct taxes and indirect taxes. Direct taxes
are levied on the income, profits, or other gains and are deducted at source and paid directly to the
tax authorities. These include corporate tax, property

OECD Advantages And Disadvantages
implementation of the convention on combating bribery of foreign officials in international business
transactions. The OECD may produce standards and models such as bilateral treaties on taxation,
corporate governance guidelines or environmental guidelines. Budget: The size of the budget is
determined every two years by the member countries. The OECD's financial statements are audited
annually by external, independent auditors. Planning and budgeting and management are performed
on a results based system. Each member country contributes funds based on a formula which takes
account of the size of the country's economy. The largest contributor is the United States followed
by Japan. Countries can make voluntary donations in times of crises. The organisation unlike the
International Monetary Fund or World Bank does not make loans or grants. Other stakeholders:
OECD.org (2017) identifies its cooperation with civil society and states it "is committed to giving a
voice to civil society stakeholders and helping ensure that their views are factored into the OECD's
work and hence making the OECD analyses stronger". It does this through engagement with various
agencies including Business and Industry (BIAC) and the Trade Union Advisory Committee
(TUAC). It also works with non–governmental ... Show more content on Helpwriting.net ...
The OECD's database of statistical and economic data assists countries in analysing and monitoring
their economic, social and environmental policies. Member countries have access to the expertise,
peer review, research and analysis carried out by the organisation. This work could not be carried
out by one country alone. Countries can discuss and identify globally acceptable standards and
solutions to common problems. The OECD has a working relationship with non–member countries
and member states benefit from dialog with all countries of the world. Interdependence demands
that all countries of the world play by the rules of the

A Brief Note On Tax Evasion And Tax
Reporting: Tax Evasion
Tax havens are sometimes called tax shelters, secrecy jurisdictions, international financial centers, or
simply offshores. They are the locations of a growing shadow economy of unregulated global capital
(Global Financial Integrity, 2015). As defined by the Canada Revenue Agency (CRA), tax havens
are jurisdictions with no or very low rates of tax, strict banking secret provisions, lack of
transparency and efficient exchange of information with other countries (Global Financial Integrity,
2015). Tax havens mainly help their users to pass any financial regulations illegal banking
transactions and to launder money earned illegally through drug trafficking or organized crimes and
hide them from criminal laws and ... Show more content on Helpwriting.net ...
The British Virgin Islands has 400000 corporations and requires no financial or personal records to
be kept so this makes it very easy to make larger transfers of money into Tax Havens undetected
(Tax Fairness, 2015). At the same time, laundering criminal proceeds can be easily done through tax
haven by finding a bank in a country that accepts your deposit without asking questions and sends to
whoever you wish to receive it. So is evading taxes–disguise income or assets through that country
and fail to report to your home country's authority (Global Financial Integrity, 2015). For example,
53.3 billion Canadian dollars have been sent to Barbados in 2011; 80 billions dollars estimated
revenue lost to tax avoidance in Canada and 24% of Canadian's foreign investments directed into
Tax Havens (Tax Fairness, 2015). This shows how tax evasion is becoming popular as people try to
find loopholes in the system and hide their assets with the help of lawyers and banks.
One of the largest international bank invasions is the Swiss HSBC case. This case is focused upon
majority of the Swiss account holders with HSBC. The investigation was sparked by an ex–
employee's whistle blowing. Herve Falciani, a former employee at HSBC 's Geneva private bank
leaked a list of thousands of suspected

Tax Evasion And Tax Avoidance
1.0 Introduction and Purpose of the Research
Over the years, the government has tried to combat tax avoidance and tax evasion schemes through
various approaches such as improvements to existing legislations, strict enforcements and
collaborations with international counterparts. This is done in effort of protecting the government's
main source of revenue and the integrity of the tax system. However, clear and distinctive
boundaries between tax evasion, avoidance and planning were never established in the legislation,
hence, it has caused many uncertainties. In Australia, the Court provides the judicial interpretation
as to the application of the tax law.
Aim of this research is to discuss how the court interprets the application the law ... Show more
content on Helpwriting.net ...
2.0 Concepts and Impacts of Tax Evasion, Tax Avoidance and Tax Planning
2.1 Tax evasion, tax avoidance and tax planning
Distinctions between tax evasion, tax avoidance and tax planning are sometimes difficult to be
drawn in clear and precise manners. In general, however, tax evasion typically relates to illegal
practices done intentionally to avoid tax payment, whereas tax avoidance refers to legal
exploitations on the shortcomings of the tax legislations (Barkoczy 2015, p. 721; Leow, Murphy &
Hooper 2010, p. 1026).
Generally, tax evasion involves concealment of tax liabilities, such as failure to disclose all taxable
income earned, and improper claims, such as deductions for expenses not incurred (Barkoczy 2015,
p. 721; ATO 2015a). Due to its legal implications, tax evasion is considered as criminal offence and
attracts pecuniary penalties and jail terms for the offenders (Barkoczy 2015, p. 722). Conversely, tax
avoidance, although uncommendable, is not illegal. Tax avoidance typically involves taking
advantage of concessional tax rates, shifting funds through several entities to minimize tax payable
(ATO 2015b), and exploiting tax breaks (ACTU 2011). Some examples of tax evasion and
avoidance practices can be seen from the following figure.
Figure 1 Source: GIZ 2010, p. 19
Unlike tax avoidance which tends to bypass the "spirit of tax law" (Barkoczy 2015, p. 721), tax
planning is a legitimate way of minimizing tax liabilities, if done in

The Plague Of Capitalism And Offshore Banking In The...
Benjamin Franklin once famously said in his private correspondence, "...in this world nothing can
be said to be certain, except death and taxes". Benjamin Franklin was correct, taxation is inevitable,
but the extent of taxation can be said to be close to nothing when banking offshore. Offshore
banking has become a plague in America, crippling small business, enlarging the wallets of top
corporations and keeping politicians afloat on a raft of "liquid money". Not only is this "plague"
very selective in its choice of victims, it directly affects the middle to low class, working American
dramatically. Offshore banking extorts the basis of United States economics and regulation and
should be illegal. Capitalism and offshore banking go hand in hand. Capitalism is characterized to
be, "...by the freedom of capitalists to operate or manage their property for profit in competitive
conditions"; the keyword is for profit. Offshore banking offers lower tax rates than if a capitalist
were to invest money in their own homeland. Foreign countries such as Switzerland, Luxembourg,
and ... Show more content on Helpwriting.net ...
Tax dollars are considered the drops of blood in a nation's vascular system. According to the United
States Census, in the year 2015, the United States collected approximately 338 billion, 387 billion,
and 49 billion US dollars in individual income taxes, regular income taxes, and corporation net
income tax respectively. These numbers fund our federal programs, pay wages for public service
workers, and keep the infrastructures stable so that people have electricity at night. Even though
these numbers are immense, they're also appalling. How accurate is this calculated number and how
much revenue is actually being taxed? These loopholes involving offshore banking not only gives
the richer a quick buck, but screws the middle class and, more importantly, the lower class from
sponsored programs and federal

Merit-Based Utopia Essay
People are the building blocks of a society. The society is perfect only if each individual achieves
happiness through his/her own satisfaction from achievements. In order for that to happen, the
society should be merit–based. A place where people have an incentive to work for themselves
without harming others will ensure a safe, respectful, and successful community. Unlike our society
in the twentieth century, people are actually encouraged to strive for success and get rewarded
according to the level of accomplishment in this utopia.
The main idea of a merit–based society is a person receives what he works for. The most
hardworking people are the wealthiest, most respected, and most loved. At the same time, these
people are very happy ... Show more content on Helpwriting.net ...
Incentive is an invisible but effective force that causes people to act a certain way, according to the
ten principles of economics. (Mankiw, 7) Firstly, the role of government is very different in a merit–
based society compared to the American government. In a merit–based society, the government is
only responsible for enforcing a law that forbidden a person from doing harm to others, arresting
those who break this law and sending them to jail. This idea is similar to Ayn Rand's objectivism, in
which she says, "Punishment is the only proper function is government." ("Ayn Rand First Interview
1959 (Full)") If punishment exists, people will refrain from causing harm to others because of the
idea that people avoid punishment called secondary negative reinforcement proved by a
psychological experiment. (Logan)
The government also differs from the American government in its treatment of welfare. In the
merit–based society, there is no welfare. The government does not tax nor lend help to anyone
because welfare discourages people from fully using their potentials. If welfare is available to the
non–wealthy, people tend to become one of them by not working and being fed by the government.
Taxes are also eliminated because some people restrict their income to a certain degree by processes
called tax avoidance and tax evasion because they want to pay less tax to the American government.
(Mankiw, 244) A merit–based society provides no

The Relationship Between Tax Avoidance And Corporate...
There is an ongoing debate about the relationship of tax avoidance with the corporate social
responsibility (CSR) that companies undertake the responsibility for social welfare and development
(Matten and Moon, 2008), and ethical behaviour of companies, which can be defined as govern the
actions of an individual in the business organizations under contemporary standards (Ferrell and
Gresham, 1985). Tax avoidance, which refers to companies use suitable methods to reduce the
amount of tax within the law is different with tax evasion, which illegally reduction of tax
(Hasseldine and Morris, 2013).
[There is an ongoing debate that the relationship of tax avoidance with corporate social
responsibility and ethical behaviour. Specifically, corporate social responsibility, which can be
defined as companies undertake the responsibility for social welfare and development. For ethical
behaviour, which refers to govern the actions of individuals in the business under contemporary
standards. Moreover, this is the difference between tax avoidance, which companies use suitable
methods to reduce the amount of tax within the law, and tax evasion that illegally reduction of
taxes.]
According to US Treasury (2009), each year the US government may lose more than $345 billion
revenue because a variety of tax avoidance. Moreover, the UK government also faces the problem of
losing tax, with £40 billion each year (HM Revenue and Customs, 2010). In recent years, an
increasing number of

Analysis Of The Price We Pay Harold Crooks
The Price We Pay by Director: Harold Crooks
The documentary covers the investigation of major using tax haven secrets of ultra–rich exposed to
keep from paying the taxes. Many of the stories in the documentary focus on politicians,
multinationals, celebrities, and high–net–worth individuals using offshore trusts, foundations, and
shell companies accounts to keep from paying taxes in the United States.
If Companies makes money from United States citizens buying your products, then you should pay
taxes in the United States. No one is worried about the fact that some are financially doing better,
we want our business to be successful. The problem is that those who are doing better need to
shoulder their fair share of the burden instead of dodging

Tax Evasion
asionTHE SOCIO–ECONOMIC PROBLEM OF TAX AVOIDANCE AND EVASION IN
NIGERIA: AN OVERVIEW Dominic Asada LL.B. (Hons.) B.L, LL.M. Tax Avoidance and Evasion
are some of the most perplexing problems facing the nation today. It is widely believed that there is
a considerable difference between estimated revenue from taxation every year and what is actually
collected. This disturbing aversion to taxation has some historical antecedents. Traditionally, there
has always been a hostile response to the payment of tax by the people who viewed tax collectors as
a nuisance to the society. And for the few that paid tax, they did so with the greatest reluctance.
Even in the Bible, instances abound where the Jews treated the tax collectors with disdain and ...
Show more content on Helpwriting.net ...
Duke of Westminster, Lord Tomlin observed in respect of T ax Avoidance that: "Everyman is
entitled, if he can to order his affairs so that the tax attaching under the appropriate Acts is less than
it other wise would be. If he succeeds in ordering them so as to secure this result, then however in
appropriate, the commissioner of Inland Revenue or his fellow tax payers may be of his ingenuity,
he cannot be .compelled to pay an increased tax".8 Thus in spite of the generally held opinion that
tax avoidance is unpatriotic and anti–social, it is clear that it is not a moral or legal issue unless the
legislature expressly prohibits it. Tax Evasion on the other hand is the deliberate refusal or failure to
pay one's tax or the reducti9n of ones tax liability through illegal or fraudulent returns or failure to
make a return or pay tax on time.9 Implicit in the definition is that Tax Evasion apart from being a
moral wrong also amounts to a breach of the tax law. Perhaps the distinction between Tax Avoidance
and Evasion will be better understood and appreciated from the vivid illustration of the Royal
Commission on "Taxation of profits and Income".10 The Commission distinguished as follows:
"The latter (that is evasion) denotes all those activities which are responsible for a person not paying
the tax that the existing law charges upon his income. Exhypothesis, he is in the wrong, though his

Tax Law and Accounting Paper
Tax Law and Accounting Paper In today's financial world, preparation and reporting of income taxes
has become one among the other main reasons why individuals and businesses are keeping and
maintain their financial records. However, there has been some controversy between tax laws and
accounting under the General Accepted Accounting Principles (GAAP). Simply because IRS is not
always agrees with GAAP's principles and thus creates its own tax laws. This paper will discuss the
objectives of modern income tax statutes, compare and contrast the GAAS and tax accounting, and
differentiate between tax avoidance and tax evasion.
Objectives of Modern Income Tax Statutes The primary objective of the modern income tax statutes
was to amend the ... Show more content on Helpwriting.net ...
It is basically a legal process of avoiding paying too much taxes through finding tax loopholes, by
using the existing tax laws at own advantage (Murray, 2008). One example of tax avoidance was
shown by Browning in her article, IRS Aims to Curb Offshore Tax–Avoidance Tactic, where she
showing on how internationally trading companies try to avoid taxes by using the transfer pricing
tactics. The transfer pricing tactic stands for companies transferring their income back overseas by
undercharging or overpaying foreign subsidiaries for goods and services (2008, p. 6). While such
companies are supposed to calculate those prices as if they were between independent entities and
pay taxes, typically 35 percent, on profits brought back to the United States (Browning, 2008, p. 6).
Other examples of tax avoidance include but not limited to various tax allowances for education,
medical bills, to reduce some amount for each depended, etc. Tax evasion, on the other hand, is the
other side of the tax avoidance and is considered to be a crime. It is a willfully attempt to evade or
defeat the payment of federal income taxes (Lectric Law, 2008). The tax evasion involves failing to
report an income, or improperly failing deductions which are not authorized by the IRS. Stark
(2008), provides some examples of tax evasion. First example includes sales tax evasion, when a
retailer offers to let a customer pay cash and provide a false

Why Corporations Are Avoiding Paying Millions On The...
Corporations are avoiding paying taxes to the government of the United States and other countries.
This tax avoidance costs the governments of various countries millions, if not billions of dollars in
tax revenue every year. The government needs to stop the manipulation of tax loopholes by US
corporations who are avoiding paying millions of dollars in taxes each year and eliminate the tax
havens and loopholes once and for all. Tax loopholes need to be eliminated because multinational
corporations avoid paying billions of dollars in taxes to the United States. They use various
malicious strategies using subsidiaries in other countries to avoid paying the statutory 35%
corporate tax rate. OXFAM America, an organization that fights poverty, hunger, and injustice
around the world, lists some of these strategies in a media briefing they released mid–April. These
strategies include: artificially shifting ownership of assets, inversion, and "earnings stripping." The
first strategy is where companies move the ownership of assets to subsidiaries. These subsidiaries
only exist on paper in tax havens like the Cayman Islands, according to the OXFAM report. The
report also states that assets like patents and other intellectual property are transferred to the
subsidiary, and the US company pays royalties for use of the intellectual property, decreasing the
profits of the US company, and increasing the profits of the Cayman Islands subsidiary. The
company is then paying less of their

The Relationship Of Tax Avoidance With Corporate Social...
There is an ongoing debate that the relationship of tax avoidance with corporate social responsibility
(CSR) and ethical behaviour of companies. Specifically, corporate social responsibility can be
defined as companies undertake the responsibility for social welfare and development (Matten and
Moon, 2008). For ethical behaviour, it is referred to govern the actions of individuals and
organizations in the business under contemporary standards (Epstein, 1987). Moreover, this is the
difference between tax avoidance, which companies use suitable methods to reduce the amount of
tax within the law, and tax evasion that illegally reduction of taxes (Hasseldine and Morris, 2013).
According to US Treasury (2009), each year the US government may lose more than $345 billion
revenue because a variety of tax avoidance. Moreover, the UK government also faces the problem of
losing tax, with £40 billion each year (HM Revenue and Customs, 2010). In recent years, an
increasing number of governments, media, and non–government organizations claim that corporate
tax avoidance is not conducive to the development of society and ethical behaviour of enterprises.
This essay will research into the motivations of corporate tax avoidance, and discusses to a large
extent corporate social responsibility and ethical behaviour of firms is in conflict with tax
avoidance, even though they have some consistency. The first section of the essay will research the
motivations of corporate tax avoidance. In the

The Growing Problem On Tax Evasion
The Growing Problem on Tax Evasion
Background
Each and every countries deal its own classic nightmares from the wicked tax evaders. Milos (2013)
defined "The legal tax evasion is the action of the taxable subject to go around the law, finding
various means to exploit the insufficient legislation, and intentionally avoiding, in a legal manner,
the tax provisions"(p.166). Milos study of tax evasion is focus and represent Romania, as tax
evasion is a "well spread phenomenon" faced largely by this country, although tax evasion has been
a hot topic worldwide, in fact, Milos mentioned Bulgaria, Bahamas, Bermuda, Macao, Cyprus,
Cayman Islands, Switzerland and more others, as the "tax heavens", meaning these countries has
favorable legal ... Show more content on Helpwriting.net ...
The research questions are:
1. What are the common traits of tax evaders?
2. What are the motivation, opportunity, and problem of tax evasion?
3. What are the potential causes and solution to the growing global problem of tax evasion?
Review of Literature
Tax Evasion in Romania Milos (2013) research shows an increased on income tax evasion, social
insurance and value–added tax evasion from 7.3% in 2004 to 10.3% in 2010, of which Bulgaria
came first 32.3%, while Romania came second 29.6%, then Lithuania 29%, and Estonia 28.8% are
the top four countries with highest tax evasion (pp.167–168). Milos econometric studies of the
economic growth and tax evasion level identified no relation and invalidated the perception
according to the increase in economic growth, as well as the increase in tax evasion, where in
reality, a reduction of tax evasion would have result to positive economic growth (p.168). Milos
explained that this is more likely due to the fact that taxation is not the primary element in the
determination of economic growth (p.168).
Common Tax Evasion Schemes in Romania
Milos (2013) identified tax evasion harmfully encountered by Romania was caused by the incorrect
application of the issued tax laws of harsher punishment, which supposed to mitigates tax evasion
and maximize government budgetary income (p.167). Milos recognized entities engage in forging
external invoice by calculating the excise tax on lower price invoice and not on the actual or

Prohibition and Al Capone
Out of the turmoil and the collapse of law and order in the 1920's, perhaps the most recognized
figure to emerge from the time is Al Capone. "The New York Times said of Al Capone that he was
"the symbol of a shameful era, the monstrous symptom of a disease which was eating into the
conscience of America. Looking back on it now, this period of Prohibition in full, ugly flower seems
fantastically incredible. Capone himself was incredible, the creation of an ugly dream"."
(www.umich.edu) He impacted society through his ruthless tactics, secret alliances, and penetrant
for violence typified by the St. Valentine's Day massacre. Capone controlled many businesses in
Chicago such as speakeasies, gambling houses, brothels, horse and race tracks, etc. at an
approximated income of $100,000,000 a year. For several years, Al Capone was never convicted for
the crimes he committed, and when he did, he had an alibi or there was never sufficient evidence
against him. Al Capone had more power in society than most of the political leaders did during that
time period. It took Al Capone his whole life to achieve the power he had in the Roaring 20's.
Alphonsus Capone, best known as Al Capone, was born on January 17, 1899 in Brooklyn New
York. At the age of fourteen, he dropped out of school and became a member of the Five Point Gang
in Manhattan. He started to work at a Brooklyn bar called the Harvard Inn, and this is when Al
Capone received his nickname "Scarface" after being in a fight.

Business Law
MEMO
TO: Professor Michael E. Rychel
FROM: Harmanpreet Kaur
DATE: March 26 2014
SUBJECT: Difference between tax evasion, tax avoidance, and tax fraud?
The times when taxes were first imposed on American Citizens, from that day people have been
trying to find different ways to escape from taxes. While some taxpayers continue to find legal ways
to avoid taxes on the other hand some choose to evade taxes, or not to pay at all.
Three ways to avoid taxes are tax evasion, tax avoidance, and tax fraud. The distinguishes are:
Tax Evasion It is an illegal practice where a person, organization, or corporation intentionally avoids
paying their tax liability. However, typically tax evasion schemes involves an individual or ... Show
more content on Helpwriting.net ...
Even the use of loopholes which named because they provide legal means to legislative intent is not
punishable by law. An example of Tax Avoidance is: Big Four accounting firms Ernst & Young
agreed to pay Federal prosecutors $123 million to settle criminal tax avoidance charge stemming
from $2 billion in unpaid taxes from about 200 wealthy individuals advised by For Ernst & Young
senior patterns between 1999 and 2004.
Tax Fraud It occurs when an individual or business entity willfully and intentionally falsifies
information on a tax return in order to limit the amount of tax liability. Tax fraud essentially entails
cheating on a tax returns in an attempt to avoid paying the entire tax obligation. There are many
ways to do tax fraud, some of them are, including deliberately under reporting or omitting income,
making false accounting entries, taking deductions that the taxpayers is not entitled to, claiming
personal expenses as business expenses, or hiding assets. Tax fraud cheats the Government out of
millions of dollars each year. It is illegal and punishable by fines, penalties, interest, or prison time.
However, it is important to note that tax fraud is generally requires willful and intentional activity
for the purpose of lowering a tax liability, not mistakes, or accidental misreporting. An example of
Tax Fraud is: On September 2012 in Oklahoma City,

Government Tackles Tax Evasion
U.S Government Tackles Tax Evasion
Many U.S citizens disagree with the Internal Revenue Code when it comes to the percentage they
must pay out of their earned and unearned income; as a result, many of them might use some type of
strategy in order to report less income to the Internal Revenue Service (IRS) and don't pay that much
in taxes. For example, many taxpayers decide to use tax planning strategies such as timing
strategies, income–shifting strategies and conversion strategies to reduce their before tax income.
All these strategies mentioned before are an example of tax avoidance, which is a legal way to
minimize tax liability. On the other hand, there are also some strategies that fall within the scope of
tax evasion, which is the illegal ... Show more content on Helpwriting.net ...
On April 2016, the WSJ detailed on the article "The "Panama Papers" Scandal" the wrongdoing of a
Panamanian Law Firm, Mossack Fonseca, which specialized on offshores holding companies. These
companies were protecting "their clients by hiding wealth or suspicious transactions in tax havens."
Public figures, executives and celebrities were some of the clients of those companies, reported the
WSJ. This article also reports that "more than 70 Swiss banks confessed to the U.S. that they
encouraged tax evasion, many said ... using Panamanian corporations." In other words, the Panama
Papers bring to light the possibility of tax evasion by many taxpayers who deposit funds illegally
into those companies without a true business purpose. As a result, "the U.S Justice Department says
it is reviewing the documents to see if they contain evidence of corruption that could be prosecuted,"
stated the

Blaa

Recommended

Recommended

More Related Content

More from Tracy Clark

More from Tracy Clark (20)

Recently uploaded

Recently uploaded (20)

Blaa