What happens when you force the big boys to pay taxes?

[Pete]

Bolivia has reduced poverty and inequality more than any country in the Western Hemisphere over the last ten years by increasing the minimum wage 87%, doubling investment in schools and healthcare, and lowering the pension retirement age from 65 to 60.

The government paid for these programs by increasing taxes on oil profits from 18% to 82%, which also allowed the country to eliminate its debt and amass the world's largest surplus.

Bolivia is now estimated to have the region's fastest growing economy this year and next, according to the IMF.

Sources: http://bit.ly/11jrsOg and http://bit.ly/1tuWVJH

Makes you think...

[ironsky2]

Sounds the place to live. 

[Old Cruser]

Yes but what could we tax so highly to get that kind of return?

Got it!!

Our bodies !! 

On second thoughts ---- Nahh  )

[Pete]

>> Yes but what could we tax so highly to get that kind of return?

We could start with Amazon, Starbucks, Facebook, Google, Apple, eBay, etc etc

[therealjr]

>> Yes but what could we tax so highly to get that kind of return?

We could start with Amazon, Starbucks, Facebook, Google, Apple, eBay, etc etc

Correct me if I'm wrong but they are all American companies?
So presumably they are all in Britain because of the tax breaks they enjoy?
And if we remove those tax breaks they move again to somewhere that will provide them.
We then lose what taxes they do play in the UK.
Bolivia has the advantage that you cant move the Oil!!

[Pete]

A bit of a defeatist attitude there Jon. I don't think those companies would move.

If what you say is true, this country is right royally fucked.

We are scared to death of big businesses - even Ireland has got the guts to stand up to them.

Great Britain? More like gutless Britain if you ask me.

[therealjr]

Your defeatist is my realist. Put it in simpler terms. We need to raise taxes to spend money on education the nhs etc etc. so we raise income tax. And people like me who are taxed at source end up paying more tax. But people like Gary Barlow can afford to hire clever tax accountants who can find a way to pay less tax. People like Elton John and Lewis Hamilton can afford to move out of the country to pay less tax. So the actual overall income will probably go down and those who could least afford to pay in the first place end up with the burden.

[ironsky2]

But the oil will run out one day then the companies will look else where nothing last forever. Then the Bolivian government will have no one to tax . Also to remember if the companies are heavy taxed they will pass the extra cost onto you the customer in short the rest of the world is paying for Bolivia success.