Small EU team leads tax battle against corporate goliaths | Reuters

Reuters reports that a small team of European Union officials is spearheading an investigation that could force some of the world’s biggest companies to pay billions of euros in avoided taxes.

Source: Small EU team leads tax battle against corporate goliaths | Reuters

Whilst the EU is having some modest success, it is missing billions of Dollars of taxes that are avoided by big corporates. The article highlights how the team is inexperienced and under-resourced. Meanwhile extra billions of Dollars are being found in contingency coffers to cope with the refugee crisis.

Surely, the EU’s investigation teams should be beefed up in resources?


One response

  1. Dr Alf is correct, a small EU team trying to stop tax avoidance stands no chance whatsoever against the serried ranks of Big 4 trained chartered accountants, tax lawyers and offshore special purpose vehicle experts that global big business can muster.

    Even with extra resources, I think they will fail because jurisdictions will not agree on a common approach and the EU is not such an attractive place to do business that they are in a position to dictate.

    What works is the commonsense approach of Singapore, whereby excellent public services and strong law enforcement go hand in hand with low taxes and a clear framework of corporate law which provides certainty and predictability.

    The EU is bloated and inefficient, allegedly riddled with fraud and malfeasance and has too much regulation and high taxes. Worse than that, it is slow and ponderous, whereas the multinational tax avoiders are fleet of foot and employ latter day versions of Dr Alf who can out-think the EU tax avoidance specialists and regulators.

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