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"Since Elsevier's obscene additional profits would be drained from America to the company's base in the Netherlands" I agree the proposed act is bad, but the a

"Since Elsevier's obscene additional profits would be drained from America to the company's base in the Netherlands" I agree the proposed act is bad, but the author does not do himself any favors by quoting such bone headed nationalism. Surely anyone with a mild grasp of the way world works knows that the profits go to the _shareholder_, not to the headquarters. Elsevier's shareholders are all over the map. Their headquarters are based in the Netherlands for tax reasons but it does not mean they don't pay tax in the US on profits made there.

raphman 15y ago
Minor correction: Elsevier's headquarters are in Amsterdam for historical reasons, not for tax reasons.
- speleding 15y ago
  my wife used to work as a tax attorney for Elsevier in Amsterdam and while it is true the company was founded in the Netherlands (Haarlem actually), the main reason they are still there are the excellent "tax facilities" (euphemism for a great deal with the tax man).
  - hessenwolf 15y ago
    A surprisingly large number of companies have a 'great deal' with the tax man behind closed doors whether in US or elsewhere. Published corporate tax rates are, admittedly anecdotally but from good sources, not representative of what corporations actually pay. Understandably, a company providing jobs and infrastructure investment in the local area can always strike a deal.
  - raphman 15y ago
    I stand at least partially corrected. Sorry and thank you.
obtu 15y ago
Here is an in-depth report on how the Netherlands is a tax-haven for multinationals: http://somo.nl/html/paginas/pdf/netherlands_tax_haven_2006_NL.pdf http://somo.nl/html/paginas/pdf/netherlands_tax_haven_2006_N... . IKEA (the world's largest charity) is an egregious example. A participation exemption allows corporate income and dividends to be channelled to a country with very low tax.
- soyelmango 15y ago
  The Economist on Ikea: http://www.economist.com/node/6919139 http://www.economist.com/node/6919139

raphman 15y ago

Minor correction: Elsevier's headquarters are in Amsterdam for historical reasons, not for tax reasons.

speleding 15y ago
my wife used to work as a tax attorney for Elsevier in Amsterdam and while it is true the company was founded in the Netherlands (Haarlem actually), the main reason they are still there are the excellent "tax facilities" (euphemism for a great deal with the tax man).
- hessenwolf 15y ago
  A surprisingly large number of companies have a 'great deal' with the tax man behind closed doors whether in US or elsewhere. Published corporate tax rates are, admittedly anecdotally but from good sources, not representative of what corporations actually pay. Understandably, a company providing jobs and infrastructure investment in the local area can always strike a deal.
- raphman 15y ago
  I stand at least partially corrected. Sorry and thank you.

obtu 15y ago

Here is an in-depth report on how the Netherlands is a tax-haven for multinationals: http://somo.nl/html/paginas/pdf/netherlands_tax_haven_2006_NL.pdf http://somo.nl/html/paginas/pdf/netherlands_tax_haven_2006_N... . IKEA (the world's largest charity) is an egregious example. A participation exemption allows corporate income and dividends to be channelled to a country with very low tax.

soyelmango 15y ago
The Economist on Ikea: http://www.economist.com/node/6919139 http://www.economist.com/node/6919139