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You can't draw a line, which is part of the problem. In addition, the moral compass of various people can and will be different. What I think is fine, someone e
by charlesdm 9y ago
You can't draw a line, which is part of the problem. In addition, the moral compass of various people can and will be different. What I think is fine, someone else will think is excessive.
As long as there are smart people, you will have avoidance. The capital gains deferral is a simple example of something that is hard to fix. And there are a ton of situations like that.
If this was an easy problem to solve, it would have been solved. In fact, I'd go as far as saying that it can't actually be solved. You can get rid of tax havens, but tax avoidance has existed for 2000+ years. In fact, in most cases, you don't even need to go "offshore" to secure great tax benefits.
There used to be a window tax: https://en.wikipedia.org/wiki/Window_tax https://en.wikipedia.org/wiki/Window_tax. Guess what? People avoided it by bricking up their windows.
- harryh 9y agoWhy does the cap gains deferral need to be fixed? The gov't will get its money one day. Who cares if exactly when gets moved around a few years one way or the other?
- charlesdm 9y agoI honestly don't. But then again I don't care about tax avoidance either, and the Panama and Paradise papers weren't exactly ground breaking and shocking to me.