Will Tax Loopholes Close for Large Corporations?
During the G-20 summit in Moscow a few months ago, governments from the world’s richest nations agreed that widely used tax avoidance loopholes by multinational corporations should cease. Such loopholes have allowed large multinationals to pay a pittance in corporate income taxes for years.
It will most likely be many years before any changes actually take place, but this is the first time so many nations agreed that new implementations are necessary. However, it is expected that large companies will bring out their best lobbyists to fight against such measures.
Even so, the government has a strong motivation to push such changes…with lack of funds being the big one. Furthermore, common citizens are more aware than ever that they are paying higher tax rates while large corporations are legally getting away scot-free. Apple, for example, being the most profitable technology company in America, avoids billions of dollars in taxes globally. Get more information in this detailed article in the New York Times: http://www.nytimes.com/2013/07/20/business/global/g-20-nations-back-plan-to-curb-corporate-tax-evasion.html?pagewanted=all&_r=0