As the Tax Justice Network has reported this afternoon, Luxembourg has failed its second stage OECD Global Forum review because of serious and systemic regulatory failures. BVI, the Seychelles and Cyprus have also failed. Switzerland has failed to make it far enough through the process to fail, as yet.
As TJN also says, this is despite the appallingly low standards expected by the OECD that lets so many tax havens completely off the hook.
But let's put this in context: Luxembourg is the main entry point for multinational company foreign direct investment in Europe and it has failed regulatory standards. Is that coincidence or the reason why MNCs favour it so strongly.
I know what I think.
And guess who dominates the tax abuse market in Luxembourg? Why, the Big 4 accountants, of course.
Again, I see no coincidence.
It's time for the EU to act on this one. If the 'common market' is to mean anything rooting out abuse has to be a part of its role. Start with Luxembourg.