Financial Transparency Coalition

This post originally appeared on the blog of Tax Justice Network, a Coordinating Committee member of the Financial Transparency Coalition.  If there’s one story you read today make it this one, from Politico Magazine. It’s triggered by the crisis in Ukraine, but it’s been a long time coming. The point of this short story is clear:

According to a recent editorial from The Guardian, the illicit activities that drive capital flight, such as drug trafficking and terrorist financing, are actually supported by legal infrastructure. Namely, the lack of transparency in regions designated as "tax havens" allows for elaborate tax avoidance schemes and money laundering that funds these sorts of activities. As an example, banking company HSBC reportedly held a Cayman Islands subsidiary that "handled some 60,000 accounts," which "drug lords used . . . to fuel their jet-set lives." According to the newspaper, politicians must address the issue of tax haven abuse. In affected countries such...

Manchester United, the world renowned English football club, is facing hard times financially. Although the club’s world class reputation speaks for itself (19 championships and a home to scores of star footballers), the club still depends heavily on cash flow. In 2005, the Glazer family (also owners of the Tampa Bay Buccaneers) bought out Manchester United from the London Stock Exchange for $1.47 billion, successfully taking on full ownership of the club (despite vehement public opposition.) Now, 7 years later, Man U is facing a massive debt crisis, according to the Associated Press.

  Republican presidential candidate, Mitt Romney, is unwilling to disclose his tax returns to the public but maintains that he has paid taxes on all incomes.  His company, Bain Capital, established off-shore accounts which attract more business from those attempting to avoid U.S. taxes.  The Romney campaign maintains that they may someday release his tax