37.2 C
Abuja
Tuesday, January 21, 2020

Tax Heaven: How Mauritius help western multinationals evade taxes in Africa

A new investigative report has shed light on how some of the poorest countries in Africa are losing out on millions of dollars in tax revenues from Western multinationals and wealthy individuals.

The report, from theĀ International Consortium of Investigative Journalists, details how companies and individuals use Mauritius, to legally avoid paying higher taxes in the countries where they actually work and make their money.

Mauritius however, denies any wrongdoing and insisting that it is compliant with all relevant international laws.

The report is based on 200,000 confidential documents that show for the first time how one offshore law firm helped its international clients avoid millions of dollars in taxes.

The cache of confidential records, emails and filings, called the Mauritius Leaks, reveals the legal practices that divert tax revenues from poor African, Middle Eastern and Asian countries back to the pockets of Western corporations, with Mauritius taking its cut.

The documents have come from the Mauritius office of a Bermuda-based law firm Conyers, Dill & Pearman, and cover a period from the early 1990s until 2017.

The documents contain detailed accounts that implicate major multinationals and accounting firms in complex financial transactions designed to avoid paying taxes.

The investigation says the companies took advantage of 46 tax treaties Mauritius has with mostly poor countries, the absence of a capital gains tax and weak regulations, to register shell companies in the island nation even though they had no staff or operations there.

The law firm Conyers sold its Mauritius office to three former employees in 2017 and says it is regulated by the laws in the countries it operates in.

Mauritius has since tightened its laws for offshore companies but some tax experts still see it as a facade that allows tax evasion and avoidance.

SourceICIJ

Leave a Reply

Leave a Reply

Leave a Reply

Latest News

Norway explains resettlement plan for African refugees sheltered in Rwanda

Norwegian Justice and Migration Minister, Joran Kallymr, has explained how his country plans to resettle 600 African refugees from Rwanda, who were removed from...

U.S envoy’s meeting with opposition and comments about Cameroon conflict stir controversy

Mixed reactions have trailed the meeting between the top U.S. diplomat to Africa, Tibor Nagy, and opposition leader Maurice Kamto, who says he was...

Angola prosecutor wants Isabel dos Santos back in country

Angola's prosecutor general has promised to use "all possible" means to bring Isabel dos Santos back to the country after leaked documents showed she...

Police in Lesotho summon PM for questioning over ex-wife’s murder

Lesotho police on Monday summoned Prime Minister Thomas Thabane for questioning over alleged links to the 2017 murder of his estranged wife, Lipolelo Thabane.The...

Man kill 3-year-old step-daughter by slamming her against the floor

Police in South Africa have arrested a 29-year-old man in Verulam a month after brutally murdering his 3-year-old stepchild at Esigangeni in Nongoma, KwaZulu-Natal.According...

Female suicide bomber kills nine in western Chad

Nine civilians died in western Chad after a female suicide bomber detonated her explosives in an area targeted in the past by jihadist group...

Libya PM says welcomes foreign help against Haftar

Libya's UN-backed government will use any assistance it can get to stop forces fighting for renegade General Khalifa Haftar, the prime minister said in...

Gambia justice minister vow to arrest Jammeh if he returns

Former Gambian President Yahya Jammeh will be arrested if he attempts to return to the country, according to Justice Minister Aboubacarr Tambadou's interview with...

Ex-Angola president billionaire daughter faces scrutiny over graft allegations

Isabel dos Santos, daughter of Angola's ex president is a British-educated billionaire businesswoman, who now faces allegations of plundering the public purse and funneling...

Uganda and Rwanda presidents to meet in London

Uganda's Yoweri Museveni and his Rwandan counterpart Paul Kagame are expected to meet in London on the sidelines of the UK-Africa Investment Summit 2020...

More Articles Like This

- Advertisement -
%d bloggers like this: