By Lily Benitez De Luna
As millions of Americans prepare for Tax Day, PIRG (Public Interest Research Group) released a new report today revealing that the average American would have to pay $426 and small businesses would pay about $2,116 to make up for lost revenues due to funds being transferred to offshore tax havens.
“When corporations shirk their tax burden by shifting profits… the rest of us must pick up the tab through either cuts to public spending priorities, higher taxes, or more debt,” Tax and Budget Associate for PIRG Dan Smith said.
According to PIRG, various companies and wealthy people evade paying about $100 billion in taxes by transferring funds to offshore tax havens. $60 billion of the $100 billion are specifically from corporations.
The report suggests the closing of several offshore tax havens, many of which are already included in the Stop Tax Haven Abuse Act (H.R. 2669) which Rep. Chris Van Hollen (D-Md.), ranking member of the Budget Committee, has co-sponsored. The bill serves to prevent tax evasion from the biggest and wealthiest corporations and people in the U.S.
“The simple fact of the matter is this: tax breaks for Big Oil, corporate jets, and companies that send jobs overseas have the practical effect of raising taxes on everyone else. That’s not right,” Van Hollen said.