Essay on tax evasion in india

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A spokesman for HSBC declined to comment. But it has already not been a good week for the bank, which announced 4, job losses and parted ways with CEO John Flint on Monday. The bank has now made and committed to a significant overhaul of its practices to counter financial crime risks following the Belgian allegations, prosecutors said. European governments have stepped up their pressure on banks and tax havens in recent years after a string of media revelations — including of the disclosure of the Panama Papers , exposed tax avoidance and evasion schemes that helped the wealthy to avoid paying taxes in the bloc. The prosecutors estimated that money transferred to these financial vehicles could amount to several billions of dollars. UBS, which is under investigation in Belgium for a similar case, denies the charges.
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Panama Papers and the ‘thin line’ for legal tax dodging

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Taxation in India - Wikipedia

Tax evasion is a big problem in Pakistan. Owing to the less-than-adequate revenue collection, as evident from the tax-to-gross domestic product GDP ratio of only In fact, the tax-to-GDP ratio remains within a narrow band of 9. The ratio of non-tax revenue to GDP has also decreased from 3. In view of the extremely low and dwindling non-tax revenue, tax revenue remains the leading source of funds for the government to balance the budget.
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HSBC fined $336m to repay Belgium after huge tax fraud

Taxes in India are levied by the Central Government and the state governments. The authority to levy a tax is derived from the Constitution of India which allocates the power to levy various taxes between the Central and the State. An important restriction on this power is Article of the Constitution which states that "No tax shall be levied or collected except by the authority of law".
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Please join StudyMode to read the full document. And in generally, company which have more profit should have higher tax rate, but with the growth of the company, many tax avoidance strategy were used by management as result of minimize the tax bills and also without obey the law, There are 3 strategies that I would talk about the most common way that company would use in order to shrink their tax bill with out breaking the law. These strategies would defiantly benefit for the companies and decrease the income of government.
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