Exploration of the Roles of International Banks on Tax Evasion Mitigation in Developing Countries
Posted: 12 Jan 2015
Date Written: January 5, 2015
Since the 2008 economic crisis, countries are finding it more difficult to balance the budgeted revenues with their national expenses. The situation is worse in developing countries. Taxes, as part of government revenues are therefore viewed as an important element to deal with the above mentioned problem. However, tax evasion, seen as the illegal evasion of taxes by individuals and corporations from their intended destination to other destinations, has become a game in various developing countries. The question that arises is what roles international Banks can play on tax evasion and avoidance mitigation? The current article is an attempt to explore ways and means used by international banks to mitigate these issues.
The first part of the paper draws a dark picture of the issue of tax evasion in the current global economy and its consequences on the well being of stricken citizens in developing countries. The second part gives an overview of roles that international banks can play on tax evasion mitigation. The last part of the article develops an effective road map for an effective tax evasion and avoidance mitigation in developing countries.
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