The tension at the heart of it all is this: when a multinational from one country invests or sells in another, which nation taxes its profits?
Don’t tax profits, tax incomes. Companies are legal persons, not natural ones. There’re only us natural persons here to be actually taxed – any tax lightens the wallet of a live human being. So, tax the people, not the fiction.
And to give an idea of Shaxon’s academic rigour on the subject:
These profit-shifting shenanigans cost the US an estimated $100bn a year,
Well, no, not really. The reference is to this paper. By, yes, K. Clausing again. Which is based upon 2017 tax year numbers. The American corporate tax system has already been changed by Trump – for the 2018 tax year – which massively changes how it all works.
What is it toads do?