Maravi

(LUSAKATIMES, REUTERS) British parliamentarians to quiz Glencore and others over tax avoidance in Zambia

COMMENT - Every year, Africa loses $1 trillion in raw materials, transnational corporations pay no taxes over that, instead taxes are paid by the western taxpayers, which are called 'Donor Aid', or $250 billion (1/4 trillion) a year. Charitable giving (Aunt Mabel's 5 pounds to charity on a sunday) is $6 billion. Donor Aid is a scam. It is even called 'donor aid' so people confuse it with charitable giving. 'Donor Aid' is substituting western taxpayer money for the taxes that should be paid by Anglo-American De Beers, Equinox, First Quantum, Glencore, Chevron, Royal Dutch Shell, Total, etc.

British parliamentarians to quiz Glencore and others over tax avoidance in Zambia
TIME PUBLISHED - Saturday, March 3, 2012, 7:13 am

Reuters reports that British parliamentarians have invited commodities trader Glencore and other unnamed companies in the resources sector to testify next month as part of an inquiry into tax in developing countries.

Parliament’s International Development Committee monitors the work of the Department for International Development and is probing tax payments and tax avoidance in the developing world. It has focused its investigation on Zambia, a copper producing giant where Glencore operates alongside other miners including Vedanta Resources and First Quantum.

A number of non-governmental organisations, but also Rio Tinto and brewer SABMiller, have already submitted written evidence as part of the inquiry.

Zambia is Africa’s top copper producer, but it is one of the world’s poorest countries, and its revenue from the sector accounts for barely 1 percent of government revenue. It said last month that it would audit all of its mining houses to dig for back taxes of up to $1 billion.

The committee quotes an estimated $160 billion each year lost by the developing world because of tax avoidance by multinationals.

“We are happy to take part in this inquiry, about taxation in developing countries,” said a spokesman for Glencore, which owns Mopani Copper Mines, one of Zambia’s largest producers.

“Mopani makes a major economic contribution to Zambia, providing over 17,000 jobs, paying its taxes, and making substantial voluntary contributions in education, health and infrastructure development.”

[Reuters]

Labels: DFID, GLENCORE INTERNATIONAL AG, MINING, TAX EVASION

posted by MrK @ 4:47 PM