The usual way economists look at this is that proxy taxes aren't really effective. So your company makes a ton of income and it's not taxed - but if every viab

The usual way economists look at this is that proxy taxes aren't really effective. So your company makes a ton of income and it's not taxed - but if every viable path of taking money out of the company is taxed, economists will argue it works better. So in your scenario they are arguing for a system where your apartment in Monaco either came from direct payments to you (taxed) or is a taxable benefit for you, etc.