To me the issue is caused by how we determine how much tax is paid.
If you’re wealthy, you can structure your income in such a way that you are not earning any and therefore don’t need to pay tax on that “non-existent” income.
It’s also how the multinational companies structure their finances to make little or no profit except in the lowest taxing country around where “all” their “profits” are taxed.
In other words, we need to restructure the tax system globally to measure income and profit differently instead.
With the current crop of Neanderthals in charge, it’s unlikely to happen in our lifetime unless something drastically changes. I’m not holding my breath.
as i say, there’s a lot of loopholes and gotchas that one doesn’t think of at first. That’s why we need to draft serious plans and discuss them carefully, so things get moving.
Not sure whom you’re replying to here, but I can tell you that the Australian Tax legislation is absolutely massive to account for such “loopholes”. There was an enquiry into this and I believe that most of the recommendations have been ignored. I do not think that globally there is an appetite to actually fix this, because those in charge have amassed their wealth from the exisiting tax infrastructure and there is no incentive to address the inequities surrounding this, since the majority of those who vote are subject to the same tax code.
The “use assets as collateral to get a loan, and loans aren’t taxed as income” thing needs to be patched out. There are probably many other exploits but that one seems like an easier fix.
To me the issue is caused by how we determine how much tax is paid.
If you’re wealthy, you can structure your income in such a way that you are not earning any and therefore don’t need to pay tax on that “non-existent” income.
It’s also how the multinational companies structure their finances to make little or no profit except in the lowest taxing country around where “all” their “profits” are taxed.
In other words, we need to restructure the tax system globally to measure income and profit differently instead.
With the current crop of Neanderthals in charge, it’s unlikely to happen in our lifetime unless something drastically changes. I’m not holding my breath.
as i say, there’s a lot of loopholes and gotchas that one doesn’t think of at first. That’s why we need to draft serious plans and discuss them carefully, so things get moving.
Not sure whom you’re replying to here, but I can tell you that the Australian Tax legislation is absolutely massive to account for such “loopholes”. There was an enquiry into this and I believe that most of the recommendations have been ignored. I do not think that globally there is an appetite to actually fix this, because those in charge have amassed their wealth from the exisiting tax infrastructure and there is no incentive to address the inequities surrounding this, since the majority of those who vote are subject to the same tax code.
The “use assets as collateral to get a loan, and loans aren’t taxed as income” thing needs to be patched out. There are probably many other exploits but that one seems like an easier fix.