How corporations pay little tax... through legal tax avoidance

How corporations pay little tax... through a legal tactic of tax "Avoidance"

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Here is a simplified example, from my understanding of how tax avoidance works:

1. You decide you need to buy a pair of pants...
2. A US national store chain "S" has a pair of pants you want to buy for $100... 
3. "S" is a multinational corporation headquartered in the US... and needs to report profits and gain for tax purposes in the US...
4. Company "S" has also 'secretly' set up a separate international business corporation (IBC) in a tax haven country like Panama, The Cayman Islands, The Isle of Man, etc. called Company "A"...
5. Company "A" has no legal link to Company "S" and acts as broker who purchases the pants for $5 from a manufacturer in Burma...
6. Company "S" then orders and purchases the pants from Company "A" for $90...
7. This allows Company "A" to make a profit of $85 on the pants. There is legally no tax liability to Company "A" since it is domiciled or located outside US tax jurisdiction and is legally not a division of Company "S"...
8. Company "S," after costs of $90 to purchase pants along with $8 for operating costs, reports a profit of $2 [2%] as their tax liability on the sale of the pants...
9. Other real profits [85%] made on the pants are legally held in sheltered accounts offshore...
10. This is considered legal tax avoidance and not tax evasion (which would be a criminal offense in the US).
11. While there may be some moral or ethical issues with deceptive or secretive practices, there are no illegal activities involved according to the rules of the game in each country or jurisdiction.

In addition, the offshore profits can be transferred to another IBC and eventually used by Company "S" in the US through business loans. This would also provide "S" with the opportunity to deduct some interest as business expenses on what is actually their own hidden money, laundered through several offshore accounts back to "S" in the form of a 'loan.'
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This information has been gained through research. I am not an expert or certified in any of these areas. This information is provided only as an example for educational purposes.

Militias: Mass consciousness and choice

There is some talk and encouragement these days to go out and make citizen arrests of people in power positions who are part the power elite who have committed crimes against humanity.

There is a big problem with these calls for action. While those who speak of this, such as “Drake” and “Minuteman,” advocate due process and non-violent modes of taking people in… there has been little or no education as to how this is possible. There are also no lists or documents that are available to prove criminal activity except the “facts” that are pushed on certain interviews, podcasts, and websites. Many of these groups appear to be militia who are advocating non-violence, except when there is no other choice.

It is true that there is much injustice in the world. It seems to be true that corporate profits and banking profits usually come before what is the best interest of you, me, and the environment. It is true that some politicians probably do act without regard for the constitution and simply respond to the highest corporate bidder. I am not suggesting those in power positions are innocent by any means.

This is not the time to try to do something we are not prepared to do. Hopefully there will be documentation that proves allegations and that those who are guilty will be apprehended by forces that have the right and professional knowledge to act for the good of all.

Non-violent protest and occupy movements will continue to help raise consciousness. Our communications will help raise awareness. We will see how serious those in charge of stopping illegality and injustice are as we watch the continuing investigations of the banking industry, particularly in response to the disclosures of the LIBOR rate-fixing practices going on for who knows how many years or decades.

Let us not get caught up in mass hysteria or group consciousness, but rather follow the love strings of our own heart songs. It is appropriate that we feel anger or whatever we feel at the injustice in the world around us. And we can chose….we have the power of free will and individual choice as to how we will respond... and impatience is not a good motivation in my opinion.

Let loving kindness be our guide as we also do our best to stop the ongoing injustice in the world. We sometimes forget that forgiveness, renewal, and rehabilitation is the way of love…and also know that love can stand firm and say, “enough… this injustice is no longer appropriate.”

Much Love and Be Safe,
John

Waiting for .........???

Samuel Beckett wrote a play entitled "Waiting for Godot" in which two characters distracted themselves from the silence while they were waiting for the arrival of this unknown "acquaintance" named Godot. The entire play goes on about the absurd things we do ... waiting....

The word "wait" usually refers to the passage of time in which we are anticipating something else to happen... something other than what is happening in our present moment...

• a child or teacher eagerly waits for summer vacation...
• we wait for the days off, the weekend, the vacation...
• waiting for the "rapture"...
• waiting for the doctor...
• waiting in line...
• waiting for the project to be completed...
• can't wait till Christmas...
• waiting for the kids to grow up...
• waiting for the bus...
• waiting for the next meal...
• waiting for the check to arrive...
• waiting to win the lottery...
• waiting to find out what the Cruise-Holmes settlement will be...
• waiting for ET to return...
• waiting for that special someone to come into our life...
• waiting for things to change...
• waiting for a mission, purpose, or direction to be clarified...
• waiting, waiting, and waiting... on and on... from one to thing to another....waiting for the next big fun thing or the next big crisis... on and on...

Now it seems the biggest problem with the waiting 'aspect' is that it removes us from the present moment to a place of anticipation... the anticipated pleasure or fear of tomorrow's fantasy. Often we find ourselves becoming involved in distractions to "bide our time"...

Then there are time when the "wait" is a good idea...  such as waiting until the light turns green before entering the intersection... So, there are many times in life when waiting may be the best choice... and I would suggest that being in repose or being inactive or being in the silence can be a real act of "Presence" that is not waiting at all... it is simply and profoundly BEING in the present moment. Sometimes we have to "wait"... and this doesn't mean we have to somehow distract ourselves from the present moment... We can enjoy the presence of Life streaming through our every cell and our gift of Life... of being... of being here now.

I have been reading blogs and forums and various comments recently about all that is anticipated to happen in this transition year of 2012. Some people are getting downright angry because things are happening fast enough and they are "tired of waiting"... Letting go of what we thing should happen and when is a first step  in coming back the reality of the present. It is not a matter of being "patient"... I would like to suggest it is a matter of being "Present" with our Life, with Love, and with the Flow of the NOW.  All or at least most of the spiritual lessons I have learned in this incarnation have directed me simply back to this moment... it is the only one there ever will be... and this is where we enter the timelessness of the Infinite Energy of All.

Peace and Much Love to All,
John