The Panama Papers and the coming Tax Crisis?
The Panama papers that have just been revealed are about more than some tax avoidance.
It might be more about the financial base of our national states. A couple of trends make it so: 1. Wealth is increasingly concentrate by a few (now 0.5% of the population) who increasingly pay little tax. 2. Now also middle-class (from the Panama Papers it seems) is joining them. 3. Increasingly more tax is needed in national states, since governments share of the economy is only on the increase. Even “kapital” ventures as Uber are Government companies. 4. FIFA, but also many criminals are using tax havens. The black economy is in this way out of control? The tax-arm race (more tax from fewer people) is in full swing and not sustainable. On the social side: The tax office knows everything of poor people but finds it normal to know nothing about superrich people. The Panama papers represent just 10% of the companies on the Virgin Islands. The company would grow with 50.000 new clients next year. There are thousands of such offices in the world. This is not a small thing. More on tax here.