Extract from Scottish Parliament debate on Fair Tax Week - Sep 8

Rhoda Grant (Highlands and Islands) (Lab): The United Nations Principles for Responsible Investment states:

“Earnings that are reliant on tax planning rather than genuine economic activity are vulnerable to changes in tax regulation and enforcement ... Even if specific tax regulations are not changed, more proactive enforcement by regulators suggests the earnings risk resulting from these strategies is increasing. As countries and their tax authorities become increasingly concerned with the exploitation of loopholes in international tax frameworks and are under fiscal pressure to fund additional government programmes, the incidence of tax disputes and litigation will increase.”

Therefore, staking a company’s future success on a strategy that is based on tax avoidance is not only morally wrong—it is risky...

For context, CLICK HERE