Canadians Move Over 170 Billion Offshore
May 5, 2014 Taxation in Canada
OTTAWA – Canadians have moved billions into offshore companies and bank accounts, drying up funding for social development.
On May 2nd the non-government organization Canadians for Tax Fairness (CTF) issued a new report showing that the national tax authorities have details and information about at least CAD 170 billion of funds held by Canadian taxpayers in the offshore jurisdictions most commonly used by Canadians for the purposes of international tax planning.
The report was compiled based on officially available data on flows from Canada into Barbados, Bermuda, British Virgin Islands, Cayman Islands, Cyprus, Ireland, Luxembourg, Switzerland, Hong Kong, and Singapore.
According to the executive director of Canadians for Tax Fairness Dennis Howlett, the full extent of offshore flows could be much higher, as neither the CTF nor the Canadian Revenue Agency have exact information on illegal or unreported movements.
Explaining the impact that the offshore flows have on Canada, Dennis Howlett said that the government is being “…outmaneuvered by corporations and very rich people looking to get even richer at the expense of the rest of us,” actively reducing the amount of funding available “…food safety, rail inspections and services for veterans and their families.”
Photo by: Nattu