Siphoning profits

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As the Guardian reports this morning:

The world's second-largest beer company, SABMiller, is avoiding millions of pounds of tax in India and the African countries where it makes and sells beer by routing profits through a web of tax-haven subsidiaries, according to a report published by ActionAid today.

The company, whose brands include Grolsch, Peroni and Miller, and African beers Castle and Stone Lager, is accused by the development charity of siphoning profits out of developing countries and parking them offshore.

The report is available here.

Of course, country-by-country reporting would largely resolve this issue by removing the opacity behind which this abuse con take place. Action Aid rightly say that in their report.