July 3, 2015
In an effort to hide assets from the tax man, Walmart creates new subsidiaries that it places strategically in locations known as tax havens. While the article below is one month old, I found it laughably ironic that it was forwarded to me the day before our holiday celebrating American independence. These massive corporations out-compete small and medium businesses and then offshore their assets – and like a bunch of morons we sit around and wonder why the United States’ infrastructure is decaying – could it not be that we now find ourselves in a economy that is now controlled by much fewer, and much larger, corporations – corporations that find every opportunity to not contribute as they once did?
… A new study has found Wal-Mart has at least 78 offshore subsidiaries and branches, more than 30 created since 2009 and none mentioned in U.S. securities filings. Overseas operations have helped the company cut more than $3.5 billion off its income tax bills in the past six years, its annual reports show.
… All of Wal-Mart’s roughly 3,500 stores in China, Central America, the U.K., Brazil, Japan, South Africa and Chile appear to be owned through units in tax havens such as the British Virgin Islands, Curacao and Luxembourg, according to the report from the advocacy group. The union conducted its research using publicly available documents filed in various countries by Wal-Mart and its subsidiaries.
[By Jesse Drucker and Renee Dudley @ Bloomberg Business]
We can’t help our drive to hoard material and money – it’s in our genes; this entire nation was founded by people that didn’t want to pay taxes… rightfully so – I would have a very big issue paying a distant monarch my hard-earned money as well. Yet, modern society, and all that comes along with it, relies on tax revenue… not only to pay cockroach politicians, but to maintain the physical infrastructure of the nation, pay for public education, defense [or, unfortunately, offense], and many other items.
Walmart aren’t the only individuals doing this and it is not a problem isolated to the United States; it has quickly become standard practice for the large corporation, just as it is for the wealthy elite. Late last year, Bernie Ecclestone, CEO of Formula One, was found to owe the UK ₤1 billion (that’s 1 with nine zeros following it)… in taxes. Ecclestone then struck a secret deal and was held accountable for only 1/100 of that amount – paying a tidy ₤10 million.
**Update**: Looks likeMr. Ecclestone is not in the clear yet.
My calendar reads 2015; why do we continue to allow this stuff and why do we continue to allow these shady individuals and their friends to shovel globalism down our throats? Why do you people with kids reprimand your children if they don’t want to share with others? If this is the system we are going to allow to fester you parents out there should be rewarding your children for being selfish and for not empathizing with their peers. Maybe then they’ll have a shot at finding a niche within the upper percentile.