WRONG_WOEID WRONG_WOEID

Political Divine Right vs The Wisdom of Mankind

The Business of Politics"The opposite of poor is not wealth, the opposite of poor is justice" - Brian Stevenson.
Greek philosopher Plato pointedly theorized the eventuality of income tax avoidance and failure of democracy "Where there is an income tax, the just man will pay more and the unjust less on the same amount of income.”  

Surely W.E. B Du Bois, contrast between executive political divine-right and elite businesses disfranchising the public was a pellucid indictment: "It is the growing custom to narrow control, concentrate power, disregard and disfranchise the public; and assuming that certain powers by divine right of money-raising or by sheer assumption, have the power to do as they think best without consulting the wisdom of mankind"

Therefore through sheer brute force and greed, globalization power of economic subterfuge serves to advance the interest of capitalist exploiters!. It is argued globalization is a force for environmental devastation, exploitation of the poor, and suppression of human rights. For example Action Aid UK expose of Associated British Foods Group (ABF) tax avoidance in Zambia. ABF, a major supplier of sugar in Zambia ".....generated profits of $123 million, but admits to paying “virtually no corporate tax in Zambia" Additionally, other losses include over $80 million in funds moved to tax havens ,and a $47.6 million 'management fee' from British Food Group's Irish subsidiary.


 
In comparison to ABF a different principle apply to Zambia market trader Caroline Muchanga who lives next to the sugar plantation "...paid more corporation tax in some years than the giant company, while her children go to bed hungry at night"  ( Chris Jordan tax specialist at Action Aid)
 
Zambian public services lost an estimated US$27 million as a result of the company’s tax avoidance schemes and special tax breaks which is enough money to put 48,000 children in school. The revenues lost to tax havens is 10 times bigger than the amount the UK gives Zambia in aid for education each year. In Zambia 45% of children are malnourished and two thirds of the population live on less than $2 a day.

A recent  study by Swedish agency Forum Syd condemn multinational conglomerates operating in Africa, abetted by their governments in the flight of billions, under-development  and inequality "Money taken illegally from the developing world is worth 10 times annual global aid budgets" (ALJAZEERA -January 16, 2012)

The Business of Politics
 
It is widely believed this inequity of wealth expands the gap between rich and poor, another example Bruce Rapapport's 'success fee' or 'management fee' authorized by the former ALP government. In addition to the billions of funds misappropriated by politicians and the business elites! These shenningangs bankrupt Antigua and Barbuda, depriving social services, and at the same time escalating poverty and crime.
 
Tim Hector's descriptive analysis of West Indies Oil Company is a suitable example: "West Indies Oil Company’s profits are estimated at a maximum US$15 million or EC$40.5 million per annum! Antigua and Barbuda got a measly $3.2 million per annum in taxes and other revenue from West indies Oil. Clearly the people of Antigua and Barbuda were the phantoms at the Phantom of the Opera, staged by West Indies Oil" (Outlet 2001])
 
The relationship between politics and business is obvious, particularly Rappaport's blatant disregard involving non-payment of West Indies Oil Company (WIOC)  terminal operations from 1980 to 1993!  Rapapport was an all-powerful power-elite in Antigua & Barbuda controlling the politics of business. A clear-cut theft of 'democracy'

On the other hand, the poor are consumed by the business of politics. Equality of representation does not exist, participatory democracy is absent, imperfect justice reigns.  Taxes and human rights are no different to governance and accountability. Today, the World Taxpayer Union (WTU) advocates taxing consumption rather than personal income, since Personal Income Tax (PIT)"....has been and will continue to be a deterrent for growth...." From a business perspective Opposition Leader of the Antigua Labour Party (ALP) Gaston Browne and Antigua Employers Federation (AEF) both advocate eliminating PIT to stimulate economic activity contrary to the vital and socio-economic importance of taxes to fiscal policy. Tax Justice Network (TJN) report outlines income tax as one of the most vital socio-economic fiscal policy providing "the maximum of its available resources towards human rights advancement."  The report stressed  “.,paying tax is a critical part of state-building and strengthening democracy”  contributing to the public good, in three specific areas, financing public goods and services, redistribution of income and assets, and counteract conduct detrimental to human rights. (Policy Brief of Tax Justice Network - Germany # 08e February 2013).

Kwame Nkosi Romeo

Reporting by Caribarena news, publishing by Ofer Shaked.


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2 Comments In This Article   

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I respect your opinion

#2 Kwame Nkosi Romeo » 2014-02-10 12:54

Tenman,

Another article will be published either Wednesday or Thursday on the income tax issue. I respect your opinion but I am not influenced by it
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Kwame Nkosi Romeo

simply my opinion

#1 tenman » 2014-02-10 11:35

Quote:
paying tax is a critical part of state-building and strengthening democracy -John Christensen”
Don't see where John Christensen was specific about the type of tax. VAT or Revenue recovery charge or Import duties are taxes. As far as policies to protect the poor, when setting up a VAT system, government's should ensure that its done in a way where the burden is not placed on them. This is why many times items in the essential basket of goods are zero rated. In fact this is exactly what John Christensen advocates when it comes to VAT. Persons already know there are easy methods available to the very rich, in avoiding income tax. When you already have corporate tax exemptions for 20 years or so, all you simply do is ensure that you take a low salary and have the moneys come via dividends. All persons like Mr Stewart need do is make his executive managers share holders in whatever local shell company they set up here and them reward them via dividends, as a method of ensuring their true wages are not subjected to the existing income tax.

Where it comes to the statement allegedly from TJN in regards to income tax: "the maximum of its available resources towards human rights advancement", I cannot find that exact quote any where online. Must add I am not in agreement with their advocacy for progressive taxes but I agree we should never have a situation where the poor pay more dollar wise in taxes than the rich
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tenman

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