Question of the day: should we bail out companies that use tax havens?

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As was noted in some media yesterday:

Denmark and Poland are refusing to let companies registered in offshore tax havens access financial aid from their coronavirus bailout packages.

The Danish finance ministry on Saturday extended its bailout program into July but stressed that firms based in tax havens would no longer be covered.

"Companies seeking compensation after the extension of the schemes must pay the tax to which they are liable under international agreements and national rules," a translation of the statement said.

Many would seem to agree that this is fair.

The situation is contrasted with that of the UK where Richard Branson continues to seek financial support for his airline, with its British Virgin Island links.

I have made it clear that I think it is reasonable for the government to apply conditions to the bailout funding it supplies including:

  • An end to tax haven links;
  • Publishing country-by-country reporting for tax;
  • Better tax governance to end use of any known tax avoidance mechanisms;
  • Adopting better environmental standards;
  • Setting net-zero carbon targets;
  • Recognising unions;
  • Tackling gender pay inequality;
  • Paying real living wages.

I think society has a right to expect a return that is more than just financial from the support it supplies.

What do others think?