Tax and corporate responsibility

Topic Selected: Business

General Article icon Type: General Article
This article is 5 years old. Click here to view the latest articles for this topic.

Introduction

Tax paid is, arguably, the strongest indicator of a corporation’s social responsibility that there is.
I hope no major corporation evades tax. Tax evasion is illegal. I think that without exception major corporations avoid tax.


What tax avoidance is

Tax avoidance is legal. Tax avoidance exploits the loopholes in tax law to ensure that less tax is paid than those creating that legislation expected. This can be done in individual states, where, however, it is relatively easy for governments to combat it. For multinational corporations there is a much more lucrative opportunity for tax avoidance. That comes from exploiting the loopholes that exist between the laws of different states.
The opportunity for international tax avoidance is based on three variables. The first is the number of companies making up a multinational corporation: the more companies there are in a group the easier it is to avoid tax.
Secon

Would you like to see the rest of this article and all the other benefits that Issues Online can provide with?

Sign up now for an immediate, no obligation FREE TRIAL and view the entire collection