Isaac Posted April 2, 2015 Share Posted April 2, 2015 Luxembourg warned about its reliance on multinational corporations G20’s ongoing plans for tax reform mean the country must diversify its economy, says the Organisation for Economic Co-operation and Development Luxembourg flag must move away from its reliance on hosting internal financing functions for multinational businesses if it wants to guard against the impact of a G20-led crackdown on international tax avoidance, the Organisation for Economic Co-operation and Development (OECD) has warned. The grand duchy, which has a population of 550,000 and among the highest average income of any developed economy, received the warning from Angel Gurría, secretary-general of the OECD. “Luxembourg is one of the most prosperous countries in the OECD,” Gurría said, but warned that the country faced “important challenges”, including its heavy economic dependence on the financial sector. Gurría was speaking as the OECD published its 115-page economic survey of Luxembourg. The survey found: “There is a risk that in the near future Luxembourg could face lower revenues from multinational enterprises as a consequence of the ongoing evolution of international tax regulations that necessarily trigger changes of tax rulings.” Link to Guardian article Is the writing on the wall for the Isle of Man too? Link to comment Share on other sites More sharing options...
Albert Tatlock Posted April 2, 2015 Share Posted April 2, 2015 Hot air from the OECD. Link to comment Share on other sites More sharing options...
spook Posted April 2, 2015 Share Posted April 2, 2015 Does anybody really still need to ask? It's been writ large for some considerable time, what's more the writing is likewise on the wall for the on -line gambling sector too. But just as a business when the board has seen the brick wall the government is trying to keep the people diverted from seeing what is coming down the pike in order to squeeze all that can be squeezed until the wall is hit by which time the board / government inner circle will have undertaken a comprehensive CYA exercise leaving the mess behind as they moved on. Link to comment Share on other sites More sharing options...
spook Posted April 2, 2015 Share Posted April 2, 2015 Hot air from the OECD. I do not agree. A strong warning from the people who not only know but steer where the financial shakers and movers are going. Link to comment Share on other sites More sharing options...
Isaac Posted April 2, 2015 Author Share Posted April 2, 2015 Hot air from the OECD. Perhaps in the short term but there is a general long term trend which points in the direction they indicate. Link to comment Share on other sites More sharing options...
woolley Posted April 3, 2015 Share Posted April 3, 2015 Does the Isle of Man rely on multi-national corporations in the same way? I think not. No Amazons registered here. Link to comment Share on other sites More sharing options...
spook Posted April 3, 2015 Share Posted April 3, 2015 Does the Isle of Man rely on multi-national corporations in the same way? I think not. No Amazons registered here. I suspect that the measures taken to close the door on big time tax dodging will have far reaching effects across the whole offshore scene. HSBC are already 'taking steps'. Link to comment Share on other sites More sharing options...
sauin91 Posted April 3, 2015 Share Posted April 3, 2015 Does the Isle of Man rely on multi-national corporations in the same way? I think not. No Amazons registered here. Yes, most of the Isle of Man's financial/e-gaming sector workforce is surely employed by multi-national corporations? Link to comment Share on other sites More sharing options...
woolley Posted April 3, 2015 Share Posted April 3, 2015 Does the Isle of Man rely on multi-national corporations in the same way? I think not. No Amazons registered here. Yes, most of the Isle of Man's financial/e-gaming sector workforce is surely employed by multi-national corporations? Yes, but the thread relates to Luxembourg and the OECD campaign against the likes of Amazon registering there and artificially shifting revenue around jurisdictions. Much of ours, e-gaming for instance, is genuinely based and operated from here - for the moment at least. Link to comment Share on other sites More sharing options...
sauin91 Posted April 3, 2015 Share Posted April 3, 2015 I hope it does stay that way - or a lot of us will be out of a job and booking ferry tickets. Any reason to think it won't stay that way I guess is the $50,000 question. Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.