Editing Corporate haven (section)

===Execution===

Building the tools requires advanced legal and accounting skills that can create the BEPS tools in a manner that is acceptable to major global jurisdictions and that can be encoded into bilateral tax treaties, and does not look like a "tax haven" type activity.  Most modern corporate tax havens therefore come from established [[financial centres]] where advanced skills are in-situ for financial structuring.<ref name="dut5"/><ref name="dut3"/>  In addition to being able to create the tools, the haven needs the respectability to use them.  Large high-tax jurisdictions like Germany do not accept IP–based BEPS tools from Bermuda but do from Ireland.  Similarly, Australia accepts limited IP–based BEPS tools from Hong Kong but accepts the full range from Singapore.<ref name="dut4"/>  

Tax academics identify a number of elements corporate havens employ in supporting respectability:<ref name="ftt">{{cite news|url=https://www.ft.com/content/d9b4fd34-ca3f-11e3-8a31-00144feabdc0|title=Tax avoidance: The Irish inversion|newspaper=[[Financial Times]]|date=14 April 2014|access-date=19 May 2018|archive-url=https://web.archive.org/web/20180519085507/https://www.ft.com/content/d9b4fd34-ca3f-11e3-8a31-00144feabdc0|archive-date=19 May 2018|url-status=live|df=dmy-all}}</ref>
{{ordered list|type=lower-roman
|Non-zero headline tax rates.  While corporate tax havens have ETRs of close to zero, they all maintain non-zero "headline" tax rates.  Many of the corporate tax havens have accounting studies to prove that their "effective" tax rates are similar to their "headline" tax rates,<ref name="pwcrates"/> but this is because they are net of the {{slink||IP-based BEPS tools}} which consider much of the income exempt from tax;

{{quote|Make no mistake: the headline rate is not what triggers tax evasion and aggressive tax planning. That comes from schemes that facilitate [base erosion and] profit shifting [or BEPS].|source=[[Pierre Moscovici]], ''Financial Times'', 11 March 2018<ref name="pierre">{{cite news|url=https://www.ft.com/content/2b356956-17fc-11e8-9376-4a6390addb44|title=Multinationals pay lower taxes than a decade ago|newspaper=Financial Times|date=11 March 2018|access-date=13 May 2018|archive-url=https://web.archive.org/web/20180429092102/https://www.ft.com/content/2b356956-17fc-11e8-9376-4a6390addb44|archive-date=29 April 2018|url-status=live|df=dmy-all}}</ref>}}

|OECD compliance and endorsement.  Most corporate tax structures in modern corporate tax havens are OECD–whitelisted.<ref name="pod">{{cite news|url=https://www.irishtimes.com/business/economy/paschal-donohoe-rejects-report-branding-republic-world-s-biggest-tax-haven-1.3529061|title=Irish Finance Minister Paschal Donohoe rejects Gabrial Zucman report branding Ireland as the 'world's biggest tax haven'|quote=Minister Donohoe pointed out that the Republic earned the "highest rating possible in terms of transparency" in the OECD's latest review. |newspaper=[[The Irish Times]]|date=13 June 2018}}</ref>  The OECD has been a long-term supporter of IP–based BEPS tools and cross-border intergroup IP charging.  All the corporate tax havens signed the 2017 OECD [[Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting|MLI]] and marketed their compliance, however, they all opted out of the key article 12 section;<ref name="itm"/><ref name="caid"/>

{{quote|Under BEPS, new requirements for country-by-country reporting of tax and profits and other initiatives will give this further impetus, and mean even more foreign investment in Ireland.|source=''[[Fordham Intellectual Property, Media & Entertainment Law Journal]]'', "IP and Tax Avoidance in Ireland", 30 August 2016<ref name="fordam"/>}}

|{{slink||Employment tax}} strategies.  Leading corporate tax havens distance themselves from zero tax jurisdictions by requiring corporates to establish a "presence of substance" in their jurisdiction.  This equates to an effective "employment tax" of circa 2–3% but it gives the corporate, and the jurisdiction, defense against accusations as being a tax haven, and is supported in OCED [[Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting|MLI]] Article 5.

{{quote|If [the OECD] BEPS [Project] sees itself to a conclusion, it will be good for Ireland.|author=[[Feargal O'Rourke]], CEO PwC Ireland, ''The Irish Times'', May 2015.<ref name="fer"/>}}

|Data protection laws.  To maintain OECD–whitelist status, corporate tax havens cannot use the secrecy legislation.  Activists assert that companies keep the "effective" tax rates of corporations hidden with data protection and privacy laws which prevent the public filing of accounts and also limit the sharing of data across State departments (see [[Ireland as a tax haven#Captured state|here]] for examples), however most of the situation that have reached the media have been based on information published by the subject companies.

{{quote|Local subsidiaries of multinationals must always be required to file their accounts on public record, which is not the case at present. Ireland is not just a tax haven at present, it is also a corporate secrecy jurisdiction.|source=[[Richard Murphy (tax campaigner)|Richard Murphy]], co-founder of the [[Tax Justice Network]] and the [[Financial Secrecy Index]], June 2018.<ref>{{cite web|url=http://www.taxresearch.org.uk/Blog/2018/07/04/irelands-playing-games-in-the-last-chance-saloon-of-tax-justice/|title=Ireland's playing games in the last chance saloon of tax justice|publisher=[[Richard Murphy (tax campaigner)|Richard Murphy]]|date=4 July 2018|quote=Local subsidiaries of multinationals must always be required to file their accounts on public record, which is not the case at present. Ireland is not just a tax haven at present, it is also a corporate secrecy jurisdiction.|access-date=6 July 2018|archive-url=https://web.archive.org/web/20180708221837/http://www.taxresearch.org.uk/Blog/2018/07/04/irelands-playing-games-in-the-last-chance-saloon-of-tax-justice/|archive-date=8 July 2018|url-status=live|df=dmy-all}}</ref>}}

}}