I contest that not only many of the purposes of the yellow zone but also the green zone are socially unhelpful, and the privacy argument is usefully employed by tax lawyers but is a straw man - as the registers can easily be configured to protect privacy in the cases mentioned.
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Replying to @mrpaulmay @FollowAlisonT and
I agree the question is what in the yellow and green zones are socially useful or harmful. I don't think the privacy question is quite so easy. Public registers imply loss of privacy. There are trade offs & questions
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Replying to @MForstater @FollowAlisonT and
Imply is not the same as 'prescribe'. As I mentioned, public registers that operate with respect for privacy are commonplace.
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Replying to @mrpaulmay @FollowAlisonT and
How is that possible? e.g. If you are a PSC of a UK co you have to be on the register unless there are ‘exceptional circumstances’ (serious risk of violence or intimidation). U cannot say 'I'd prefer to keep that info out of public domain
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Replying to @MForstater @mrpaulmay and
So there is a loss of privacy. Maybe that loss of privacy is justified - necessary & proportionate. But we cannot say there is no loss of privacy for law abiding people.
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Replying to @MForstater @FollowAlisonT and
And here within is where the debate should begin. Who should have to disclose what on a public register, and why? Should you be able to avoid the register if you're a HNWI? Should paying to obscure ownership be possible? Far better questions.
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Replying to @mrpaulmay @MForstater and
In your CGD policy paper, you scrutinize the figures on losses from tax revenue with some skepticism... https://www.cgdev.org/sites/default/files/CGD-policy-paper-69-Forstater-tax-dodging-dev-finance_2.pdf …
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Replying to @mrpaulmay @MForstater and
... may I ask you to provide some figures to support your assertion that in offshores "money is generally not ‘parked’ offshore but ultimately invested in the real (onshore) economy"? How are you able to assess that this is 'generally' the case without visibility?
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Replying to @mrpaulmay @FollowAlisonT and
Its a general description of the financial system -- money is not 'parked' as cash in bank vaults - deposits become loans etc.. you can park a yacht somewhere or put gold bars in a safe, but most financial assets are backed by liabilities & activities not on a small island.
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Replying to @MForstater @FollowAlisonT and
Liquidity does not alone predicate investment. And luxury private assets hardly qualify as the 'real economy', less a 'social good'.
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That's my point though. When hurricane Irma hit the BVI, the only 'offshore assets' that were harmed were yachts & buildings -- other assets were not at risk because they were not 'parked' there
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