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2017 | Buch

Offshore Finance and Global Governance

Disciplining the Tax Nomad

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Über dieses Buch

This book analyzes shifting international taxation strategies in pursuit of tax nomads, individuals and companies who minimize their tax obligations among multiple countries. Focusing on the efforts of the United States, the collective endeavours of the European Union and the global initiative of the OECD under G20 guidance, it investigates their attempts to understand and control the mechanisms employed by such nomads. The author directs particular attention to intellectual property, used by multinational corporations to move income from high-tax to low-tax locations. Contrary to claims that globalization hinders tax collection, Vlcek argues that state sovereignty and state power remain the defining characteristic of international taxation. The EU and OECD in turn, he concludes, are leveraging cooperation with the US to force other countries to share taxpayer information with them. This significant work will interest economists, political scientists and tax experts.







Inhaltsverzeichnis

Frontmatter
Globalisation and the Tax Nomad
Abstract
Vlcek provides the central argument for the book and situates it as an issue of global financial governance with popular media traction. Widely viewed as a problem created by globalisation, nonetheless, it is felt that individuals and firms should pay their ‘fair share’ of taxes. This situation is illuminated with the story of Libussa of Bohemia for the relationship of taxation to state control. Vlcek acknowledges that different methods are used to pursue wealthy individuals as compared to multinational corporations, and both forms of tax nomad are considered in parallel throughout the book.
William Vlcek
Sovereignty and the Tax Nomad
Abstract
In this chapter Vlcek establishes the theoretical background for the book, starting with the important role that state sovereignty plays in determining tax policies and practices. The concept of a tax nomad is then developed, and the differences between the individual tax nomad and the corporate nomad are highlighted. The application of Michel Foucault’s concept of governmentality is explained with the importance that governmentality places on the conduct of power in the relations between the state and the nomad.
William Vlcek
Multinational Corporations and the Digital Economy
Abstract
The function of intellectual property (IP) in the practices of the corporate tax nomad is the central theme for this chapter. It begins by explaining the nature of IP with the use of several examples. Vlcek shows that IP itself can be nomadic and then presents several examples where corporate tax nomads used their IP to minimise corporate income tax.
William Vlcek
A Collective Response to the Tax Nomad
Abstract
Using the concepts developed in the preceding chapters, Vlcek turns to the case of the European Union’s (EU) efforts for dealing with tax nomads. The European Savings Tax Directive (EUSTD) is explained as the revival of the tax farmer, with limited success for the EU. The collective effort to agree a common strategy for corporate income tax among the Member States is reviewed, and then Vlcek explains the European Commission’s (EC) strategy for investigating Member State tax rulings as illegal state aid to the multinational corporation (MNC).
William Vlcek
Hegemonic Response to the Tax Nomad: Using a Financial ‘Big Stick’
Abstract
In this chapter, Vlcek provides a close consideration of the practices of the USA to deal with its tax nomads. After providing the historical context, the Foreign Accounts Tax Compliance Act (FATCA) is investigated not only for its role to pursue individual American tax nomads but also for its use by other countries in pursuing their tax nomads. The situation for American corporate tax nomads is quite different, and Vlcek shows it is a consequence of US corporate income tax policies.
William Vlcek
Global Tax Governance and the Tax Nomad
Abstract
Global governance versus the tax nomad is the theme for this chapter. The tax nomad emerged after the financial crisis as an agenda item for the G20 which tasked the Organisation for Economic Cooperation and Development (OECD) with the responsibility to develop solutions. Vlcek describes the evolution of global initiatives at the OECD to counter the tax nomad and the emergence of greater cooperation since the financial crisis. He emphasises the point that the actions of the USA against its individual tax nomads provided the basis for the OECD’s progress. At the same time, the OECD’s measures to deal with corporate tax nomads appear to some observers to target US digital economy corporations.
William Vlcek
Tax Nomads Versus the State
Abstract
In the final chapter, Vlcek pulls together the various lines of inquiry developed in the preceding chapters. Together they support an argument that a global governmentality regime is emerging from the OECD in an effort to counter the presence of the tax nomad in the world economy. The politics of taxation is a debate over the distribution of goods in society, and several questions for further research are introduced by way of conclusion. In addition to questioning the legitimacy of the G20 and OECD to practice global governance, Vlcek questions the potential for continuing support from the USA for their global governmentality regime.
William Vlcek
Backmatter
Metadaten
Titel
Offshore Finance and Global Governance
verfasst von
William Vlcek
Copyright-Jahr
2017
Electronic ISBN
978-1-137-56181-7
Print ISBN
978-1-137-56180-0
DOI
https://doi.org/10.1057/978-1-137-56181-7

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