Alphavalue/DIVACONS | The headquarters of five banks were the subject of judicial searches in and around Paris yesterday as part of an investigation into aggravated tax fraud, the National Financial Prosecutor’s Office (PNJ) said. According to the daily Le Monde, which broke the news, the banks under investigation are Société Générale (buy, P. O. 35.9 eur/acc), BNP Paribas (buy, P. O. 71.3 eur/acc), and its subsidiary Exane, Natixis and HSBC…
The experts of the Spanish Ministry of Finance (GESTHA in its english acronym) estimate that the investigation of large fortunes would raise half of the non-refundable European funds, after the International Consortium of Investigative Journalists (ICIJ) has uncovered the secret files of 14 law firms that reveal opaque societies of politicians, millionaires and artists from more than 90 countries. Specifically, GESTHA calls for the reinforcement of tax investigations into the most serious tax crimes and frauds in order to close the hole through which 38 billion euros – half of the non-refundable Next Generation EU Funds – are escaping due to the greater differential of the underground economy in Spain compared to the European average.
Ronen Palan via The Conversation | Finance ministers in London from the G7 group of wealthy nations have agreed a deal that has been described invariably as a landmark that will transform the landscape of global corporate tax. The supposed deal is certainly transformational. Transformation from what to what? Is it going to transform a system of taxation that simply does not fit for purpose in the 21st? Or is it going to transform the techniques of tax avoidance?
MADRID | The Corner | After the biggest banking leak in history, British bank HSBC admitted on Sunday that its Swiss subsidiary systematically helped big fortunes dodge taxes and hide millions of dollars of assets. Switzerland and the whole industry are under the spotlight: long known for its banking secrecy, the country signed a fiscal transparency agreement with Brussels in 2004 which has proved insufficient. A new, enlarged version of the accord is being debated now and expected to be ready in 2018. But will it be enough? And what until then?
MADRID | Álex García.
MADRID | By Ana Fuentes | Not an easy week for Jean-Claude Juncker. As the new head of the European Commission he is in charge of fighting flaws in corporate taxation in Ireland, the Netherlands and Luxembourg. And yet, he now has to explain how 340 multinationals avoided or potentially avoided millions of euros in tax thanks to signing secret sweet deals with Luxembourg during the 18 years he was the president of this country. The Luxleaks, revealed by the International Consortium of Investigative Journalists (ICIJ) investigation, points to outrageous tax avoidance schemes… which are completely legal.
BERLIN | By Alberto Lozano | While European media focus their attention on low inflation across Europe, concerns about the budgets of France and Italy, as well as the need for investment in Germany, more than 50 countries are about to take a crucial step in the fight against tax avoidance: the signing of the Multilateral Competent Authority Agreement on implementing a new international standard in the automatic exchange of information (AEOI).
MADRID | By Sean Duffy | The Irish Government presented its budget on Tuesday, keen to present the announcement of its projections for the year 2015 as the successful consequence of prudent fiscal planning. Critics have pointed out that it is much of the same, yet with the economic picture improving, the Government has sought to offer a respite from austerity, whilst also attempting to address the outstanding concerns of its international partners.
MADRID | By Sean Duffy | The OECD´s announcement this week that it was initiating a plan to combat tax avoidance schemes from multinationals has been met with almost universal approval across Europe. Ireland in particular has been the subject of criticism from its EU partners. Until recently, the country had determinedly defended its tax policy, famously refusing to negotiate on the issue when the country was in need of an EU bailout back in 2009.
MADRID | By JP Marín Arrese | The G 8 declaration doesn’t encompass any timetable to implement the tough foreseen discipline, nor a precise rule book on how turning into practice such good intentions.