The Pros And Cons Of The Panama Paper

If the reader of this paper has any source to current world news then the words “Panama Papers” will most certainly ring a bell. The first reports published on the scandal surfaced on April 3, 2016 and it quickly became what is considered the largest leak journalists have ever worked on (Dearden). This paper will investigate what the Panama Papers are and what knowledge can be gained from them. It will then go over different responses to the leak and what is to be deemed the best course of action for the U.S. public.
Before any implications of the Panama Papers are discussed it is essential to recount the origination of the leak and what differentiates it from similar leaks in the past. Although the scandal only recently broke the actual leak

A tax haven is an offshore financial center that seeks to provide services to those other than its own residents. To be a tax haven it must also require little to no official disclosure of information when doing business. And finally, to be a tax haven the financial center must simply offer comparatively low taxes to those of other governments. As a corporation the primary function is to earn profits to benefit shareholders. Many corporations have other sometimes more noble priorities but for the mainstream typical company the profits are literally the bottom line. When a corporation seeks to increase its profits it must either raise revenues or lower costs. And when assuming the business perspective taxes are a cost and usually a major one at that. It is no wonder that a corporation would naturally seek methods to lower the cost of taxes on the business. Especially if it can do so free and legally. Now if we include values and morals the correct course for the business become less clear. It uses the resources of the government and nation where it resides and is expected to compensate for this use. If every corporation and person was relieved of the burden of taxes the system would collapse completely. There would be no police to stop the threat of your neighbor taking what is yours and anarchy would

Sigmundur Davíð was interviewed in early April 2016. The interviewer informed the prime minister that the interview would emphasize on how Iceland improved after its financial crisis. The Prime Minister said it is very important for everyone to pay a fair share into society and that paying less than one's share constitutes cheating society. He was then asked if he had any connections to a foreign company and her responded that his financial assets had always been reported transparently. He was then asked about his own connections to Wintris, a foreign company that was a creditor to failed Icelandic banks. He said he had disclosed all requested information to the government and was unsure how the transactions actually worked. The Prime Minister said the interviewer was making something suspicious out of something that is not suspicious, and then walked out of the interview