Massive tax haven leak shows that international tax system is broken

ActionAid international tax campaigner Savior Mwambwa, responding to a tax leak from the Bahamas, said:

"This massive tax haven leak yet again demonstrates that the international tax system is broken. Those with the means to do so are able to break the rules on a massive scale, benefiting at the expense of some of the poorest people in the world.

“And it not just individuals who benefit from the global network of tax havens. Big companies can use some offshore schemes to reduce their tax bills in their home countries and in some of the poorest countries in the world. The IMF estimates that developing countries lose US$200 billion a year to corporate tax avoidance. Women and girls living in poverty pay the price as key public services like schools and hospitals are starved of funding.

“The governments of rich countries should champion a fairer international tax system. Demanding greater transparency from tax havens such as the Bahamas would be a good place to start."

"We call upon developed countries not to block developing countries calls for a global tax body in which developing countries will have an equal voice at shaping tax rules that would address such abuse of tax havens."

 

Editors' notes

The Latest tax haven leak has been publiched by the ICIJ at https://www.icij.org/offshore