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The Breakdown of Irs Tax Enforcement Regarding Multinational Corporations




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Excerpt from The Breakdown of Irs Tax Enforcement Regarding Multinational Corporations: Revenue Losses, Excessive Litigation, and Unfair Burdens for U. S. Producers: Hearing Before the Committee on Governmental Affairs United States Senate One Hundred Third Congress First Session March 25, 1993 U.S. Senate Committee on Governmental Affairs, Washington, DC. The Committee met, pursuant to notice, at 1:36 p.m., in room SD-342, Dirksen Senate Office Building, Hon. Byron Dorgan, presiding. Present: Senators Dorgan and Levin. Opening Statement of Senator Dorgan Senator Dorgan. The hearing will come to order. This is the Senate Committee on Governmental Affairs and we are pleased that all of you are here at this hearing today. We apologize very much for the disruption this morning. As you know, the Senate held a long series of votes with no debate, 15 minutes for each vote, and it was simply impossible to hold a hearing at that time. All the hearings, I believe, that were scheduled this morning had to be rescheduled. We appreciate your patience. We will perhaps try to contract this hearing just a bit, because there are some people on the witness list who have airplanes to catch this afternoon. Having said all that. I would like to make a brief opening statement, and then I would like to call on the witnesses we have with us today. To see why we were here today, a good place to start would be at the U.S. Tax Court down the street. There in room G-24, you could see the debris from the nation´s current multinational tax enforcement system. One recent case is a good example. It occupies 19 file boxes full of legal and economic arcana that took 10 years and a small fortune to produce. The judge in the case called this sophistry mainly "useless." He needed 4 years to slog through the mess, and his decision came to 240 pages - and that was just one case and one corporation. What was the point of this monumental paper chase? To argue over the "correct" prices for some spare airplane parts that a U.S. corporation produced in the tax haven of Singapore and shipped back to its U.S. operations. About the Publisher Forgotten Books publishes hundreds of thousands of rare and classic books. Find more at www.forgottenbooks.com This book is a reproduction of an important historical work. Forgotten Books uses state-of-the-art technology to digitally reconstruct the work, preserving the original format whilst repairing imperfections present in the aged copy. In rare cases, an imperfection in the original, such as a blemish or missing page, may be replicated in our edition. We do, however, repair the vast majority of imperfections successfully; any imperfections that remain are intentionally left to preserve the state of such historical works.


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