Governments of all sizes and shapes have been chronically short of cash since the global financial meltdown five years ago. The result: From the United Kingdom to Zambia, lawmakers have been under constant pressure to reduce their budget shortfalls. Their inclination lately has been to, among other things, increase taxes on corporations, compelled by a popular belief that multinational companies are not paying their fair share.
Not only is that assertion false in most cases, but it’s also a misreading of history. Governments, especially in developing countries, have successfully lured investors from more established nations by promising not to double-tax their income and to keep their domestic taxation in line with other countries.… Seguir leyendo »