Essay About Assessment Of Tax Justice        Tax Inequality And World Social Forum

Assessment of Tax Justice
Essay Preview: Assessment of Tax Justice
Report this essay
Assessment of Tax Justice        Tax inequality has existed since the time there was inequality between income. Major corporations find various methods everyday to dodge tax due to various loopholes within the tax policy. At the same time the government work hand in hand with these corporations and provide them with various tax incentives which cause a huge outflow of the peoples funds.        However in many cases we see that many of these corporations setup their operations within countries where the tax law is relaxed. The World Social Forum has stated that these corporations are lowering the tax base of those countries, making those countries poor due to these relaxed tax policies. But the reality is that if the tax policies are changed to such a extent that the government can earn high taxes from these corporations, then it would backfire on the people.        These poor countries barely have any active investment in their economy thus it allows these nations to remain poor. But if the tax policies are relaxed instead of focusing on the corporations, then it would allow for more foreign investment. This will bring in new business to the country allowing the countrys people to receive many benefits such as reduced unemployment, higher GDP, higher disposable income and many more. It is only because that these countries have relaxed taxation policies that causes the multinational companies to setup their business.        It has been stated in the article that tax funds should be prioritized on spending of vital services such as food, water, electricity, medical services, education,  housing and sanitation. The problem is that most of these services are provided by the government but the quality does not improve regardless of tax condition. Whenever these services are provided by private companies the situation becomes different. Private companies value customer satisfaction above all because they know that if the customer is not happy then they cannot do business. Governments on the other hands are immovable. Most of the time they will not care for their people and will not take significant action for the improvement of the peoples conditions. The people on the other hand remain powerless to make the government take action thus the entire situation remains in a stalemate. Thus it would not matter if the tax funds of the governments are increased.