When people think of the corporate tax cuts that were included in the so-called Tax Cuts and Jobs Act (TCJA) enacted by Trump and congressional Republicans in 2017, they usually think of the reduction in the corporate tax rate from 35 percent to 21 percent. But that was not the only corporate giveaway.
In a 2019 report FACT pointed out the growing momentum for tax transparency. Now, it seems, that growth is explosive.
In February, FACT member Transparency international released a report outlining perceived corruption globally. Adding to a troubling trend over the last few years, the U.S. again fell in its ranking with its lowest score since 2012.
As 2021 began, Congress passed two landmark laws that will help improve the transparency of federal contractors and combat the use of anonymous shell companies for money laundering.
Swiss bankers, and many other tax haven operatives, have always complained that they are unfairly victimised by international anger over their financial secrecy practices. “What about Delaware,” they routinely asked, “how come they can get away with it?”
And, at least in this respect, they had a point, even though it was merely a cheap exercise in what-aboutism. But, as of January 1, no longer:
Particularly in the wake of the tumultuous events of last week, it feels as though America’s divisions are so deep that our government cannot take meaningful action. However, there have been recent moments of successful bipartisan cooperation that deserve celebration.
