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Tax exile: whose fault?

Many politicians criticise their rich citizens fleeing the country's punitive taxes.This was for instance the case in France after a famous actor and many well-known businessmen took up legal residence in Belgium to avoid in particular the wealth tax.It's a fact that in our global economy there are many governments competing against each other for the payment of tax.It's another fact that income inequality is rising in most of the world including Europe and India.In Europe officials of the EU would like to impose a uniform fiscal structure.Countries like the UK tackle this idea which would go against it's own interest and refuse to dismantle it's tax havens. Now the current law in the EU concerning the taxation system requires the unanimity of it's members to pass new rules.Consequently there is still a lot to do before the governments manage to fight against tax competition within the EU and citizen will continue to flee if they feel that there is a misuse of the tax system which leads to an unacceptable tax burden.In the meantime the public debt-to-GDP ratio increased to 83% in the EU and to 87% in the euro area and yet with no improvement in the population standing.People in the majority do not refuse to pay taxes but ask for a better running of their States and disagree with expenditures which become out of control.

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