5 thoughts on “Morality and Tax: legal “tax avoidance” is a violation of international human rights law? so FATCA is created which violates human rights of “US Persons Abroad””

1. FATCA is double taxation…A quick glance the article does not cover that Taxes in Canada are higher than the USA. I feel so betrayed , used and doomed.

2. I hadn’t seen this before (July 2013):
   http://www.moneynews.com/Kleinfeld/tax-haven-US-investor/2013/07/08/id/513734

   Tax havens serve two vitally important purposes to everyone lucky enough to have private investment capital.

   First, they are a source by which foreign capital can be routed into the United States or other countries with tax efficiency.

   Second, they represent a safe haven where investors’ private capital can flee from overbearing governments of all kinds — democratic, republic, dictatorship, monarchy and just plain thugs and despots — and with a comfortable level of privacy, confidentiality and secrecy.

   What is the world’s largest tax haven?

   Human rights for some but not others? I’m just trying to get my head around why what is good for the goose is not good for the gander. The world’s countries need that ‘level playing field’ and that will not be until the US changes from citizenship-based taxation to residence-based taxation. FATCA US reciprocity does not exist, just faux reciprocity. When will other countries realize it’s a one-way, US favoured, the game-is-rigged ploy? If reciprocity did exist — the US providing financial information to other countries on its citizens “foreign” banking in the US, it would do no good unless there were a level playing field — all countries playing by the same rulebook.

3. Nice to hear someone breathing fresh air into the issues surrounding tax evasion and avoidance and the dangers of mis-categorizing certain types of behaviour. Taking advantage of the child tax credit is ‘tax avoidance’! Just more evidence of the Orwellian world we live in, and evidently what Harper lives in by insisting Duffy pay back what he was legally entitled to – or was that just political pandering like FATCA is to those who believe it will be effective in making everyone pay ‘their fair share’ (which it won’t)?

4. The IBA also makes an important point further down in their report, which few of the “Tax Justice” FATCA promoters care to emphasize:
   http://www.ibanet.org/Article/Detail.aspx?ArticleUid=4A0CF930-A0D1-4784-8D09-F588DCDDFEA4

   From a human rights perspective, there is an important issue related to the potential misuse of the information that is exchanged for tax purposes. Two main concerns were underlined by stakeholders from different perspectives: first, the potential misuse of tax and personal information by other government departments or agents, including to harass or persecute political opponents or dissidents; and, secondly, the potential for tax and personal information to fall into the hands of criminals and be used to target individuals for robbery, extortion or kidnapping. These concerns tended to be more frequently raised in the Task Force’s consultation in developing countries, where examples were given of current and past misuse of tax information for political purposes. Indeed, the IBAHRI has previously intervened in cases of harassment of lawyers, judges and human rights defenders where tax information has been used inappropriately.

   These real and potential instances of misuse of tax information point to the need for safeguards in any exchange of information system, especially as momentum builds towards an automatic system where much greater volumes of information will be exchanged. There are currently safeguards that are part of the international standards promoted by the OECD. Furthermore, the OECD Global Forum’s peer review process also assesses the adequacy of the safeguards that the tax authorities (of participant countries) have in place, in terms of the legal framework and actual practices.

   Consequently, tax experts and other stakeholders suggested excluding from any automatic information exchange system countries that misused tax information in the past or that have a poor human rights record. While there should be a presumption in favour of exchange of information, there is a need to ensure that the procedures and mechanisms for information exchange can respond effectively to genuine human rights concerns. One option is to develop an oversight body that can provide guidance and criteria for when information exchange may need to be restricted.

5. Capital should be able to find the place where it will produce the best return. Every thing all governments of all stripes have done, is to impede the flow and most efficient use, of Capital. It is as if every person elected to any office anywhere, hates Capitalism. Winston Churchill said about Capitalism, ”it is the worst economic system except for all the rest”. It is messy when practiced as it should be practiced, but it has produced the most for the most and has provided a standard of living never seen before in any past civilization in history. The Marxists hate it simply because they have not embraced Capitalism as the best, because they want equality of results without equality of effort.