Tax havens: conduits for corporate tax malfeasance

Abstract

This paper is an effort to demystify tax havens- what they mean, what they offer and why they are harmful. It offers a detailed analysis of abusive tax planning by multinational corporations, involving the use of tax havens, shedding light on how corporations employ 'egregious' tax sheltering techniques right from their incorporation to avoid payment of income taxes. The paper also discusses global efforts against the phenomenon and policy recommendations.