Essays on Tax Haven

Commentary A: The Effects of a Slowing Chinese Economy on the World

Last year, the Chinese economy reported a 6.9% growth rate for the economy overall (The Economist Staff 2016). For all intents and purposes, a 6.9% annual growth rate is immensely healthy; a country like the United States generally experiences a significantly lower growth rate for a number of reasons. However, the United States is considered a developed nation, while China is still in the developing stages of growth (Qi 2016). However, despite these respectable numbers, some economists are quite alarmed at the current situation in China—and some have even begun to draw attention to the slowing Chinese economy ...

Tax Haven is a country or an area where either taxes are not levied at all or are levied at a lower rate as compared to other areas or countries. International taxation may lead to higher tax rate and hence a higher amount of payment, due to this the various entities having subsidiaries may establish themselves in a tax haven. Different countries are a tax haven for different entities and businesses. Such a situation may lead to competition among governments. Various business houses prefer to establish themselves in an area where the tax rates are low. As per a report in 2012, the amount of unreported ...

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Abstract

This paper intends to show the tax avoidance strategies which can be used by a tax lawyer or an accountant to reduce a multinational technology company’s taxes. Furthermore, this paper intends to show the difference between tax evasion and tax avoidance, as defined by specific scholarly articles. The strategies which will be mentioned include: the “Double Irish,” the “Dutch Sandwich,” and the “Check-the Box Rule”. Each strategy will be defined and examples of companies which have used such strategies will be given. This paper, which is essentially a tax plan which will instruct a multinational technology corporation (MNC) ...