TPP and Creative Accounting – The Future


The supposed ‘Free Trade Agreement’ that is the TPP is a serious topic of concern to all citizens because it is they who will benefit or suffer the consequences. For politicians to continually berate the voters for wanting a say in their future just proves how out of touch they are in their overpaid little fiefdoms.

The fact that over 600 US corporate lobbyists have had input into the TPP and NO citizens really says it all. This is obviously a bill FOR the corporations’ best interests which, as time has proven over and over again, is not OUR best interests.

Politicians keep dismissing concerns about the impact on citizens Tim Grosser claims it will not cost taxpayers yet acknowledges it will cost 1 billion in NZ. Not sure where his salary and spending money comes from is he?

The claim that it is a Free Trade Agreement is, of course, nonsense. It is countries subsuming their legal right of self determination to the most litigious nation on Earth in a corporate power grab unrivaled since the Roman Empire or Genghis Khan.

To allow foreign corporations to sue the Government is incredulous – We can’t sue when offered ‘Zero hours’ contracts but the foreign corporations can sue if it costs them lost profits. Time we had a case from the builders claiming that the new building and planning laws have lost them business. Let’s not forget the oft used McDonald’s worker on a casual contract that guarantees random hours of work at the whim of the corporation instead of a job with regular, fixed hours.

Given the dodgy record of almost every corporation in evading tax by using tax havens, you can . they will claim ‘Losses’ via creative accounting and then expect taxpayers to foot the imaginary loss. Don’t even try to tell me that Price Waterhouse Coopers, KPMG et al have not been celebrating this forthcoming aspect of creative accounting.

The former international taxation specialist says private advisors hired by “transnationals” to minimise their tax payments know too much about internal workings of the ATO and are using their insider knowledge to profit their clients.

AND :

Warner Bros has racked up almost US$2 billion (NZ$2.4b) in box office sales from the first two Hobbit movies, made in New Zealand, where it has picked up NZ$100 million in taxpayer grants – and pays almost no company tax.

If the merchandise from the Hobbit repeats the tremendous success of the Lord of the Rings, then that may be worth another billion or more in total revenues, with the film producer getting a good share of that money too.

Back in New Zealand, Warner Bros subsidiary 3 Foot 7 Limited has picked up about NZ$100 million in taxpayer grants over three years, according to reports filed with the Companies Office.

For now, 3 Foot 7 also pays little company tax. And it was technically insolvent last year, with negative equity, though it has the financial backing of an overseas company, VirtuCon, ultimately owned by giant United States parent company Time Warner.

COMPANY TAX : A tax expert who declined to be named, looked at 3 Foot 7’s accounts filed with the Companies Office. Its tax position was presented in a “quite confusing” way, he said.

But in the last financial year to March 2013, The Hobbit film production company paid income tax of just $71,000, despite declaring profits of NZ$44.6 million.

Corporations take business risks in order to make profits. Workers trade the risk and reward for a steady income. We’ve not entered the realm of fantasy where corporate profits are guaranteed and risk free whilst all risk is moved to the worker. Franchises where you buy a year’s income upfront for 2 year’s worth of earnings (IF you are lucky).

Time we had a Corporation Of Workers.

According to Wikileaks, only five of the 29 chapters are actually about traditional trade, the rest are about regulating internet freedoms, healthcare, environmental protections, climate change (for the worse) and so on.

‘ALREADY HAPPENING’

 

Germany is currently being sued for €3.7b (NZ$6.24b) by Swedish energy giant Vattenfall for its decision to phase-out nuclear energy. The Australian government has already had to pay AU$50m in legal fees to defend its plain packaging tobacco laws from tobacco giant Philip Morris.

Get this!……….

Deputy Prime Minister Bill English would not be drawn on the documents.

“I can’t comment on the chapter” he said.

“Investor statements have often been a part of free-trade agreements so I’d have to look at the chapter before I could comment.

The second most important and influential politician in the ruling party has not even read the country’s most important piece of ‘proposed’ legislation.

See where this is going?