Martin Wenz, Professor of International Tax Law, at the University of Vaduz in Liechtenstein, has said that the…

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It is still too early to determine the long-term effects of recent market losses. But worldwide pension funds, already facing serious dangers, have taken a big hit. Already, many countries face a dramatic demographic change; the number of pensioners continues to soar while the younger generations are shrinking. This disparity coupled with the current economic crisis creates enormous pressure to the existing pension systems. Does the economic crisis create a tipping point? 

In the 2009 Annual Report of the World Economic Forum, the idea for an international tax system was launched. According to the report, to improve global governance in a time of global crisis, global taxes are the answer. The idea has been suggested before with varied results. But now, in the midst of a unified economic threat, do circumstances permit practical discussion of global taxes, and in what form could they be used?

It’s crisis time and governments have reacted. Some governments have slashed tax rates to try to counteract the sudden loss of equity; others have raised taxes to increase government revenue. Will any of it work or is time the only cure for economic panic?

 

 

 

The recently announced proposed changes to the Savings Directive introduce more aggressive and inclusive compliance initiatives to tackle the allegedly serious loopholes in its scope. 

What would be the impact on European financial markets? Would stricter regulation push tax-aggressive investors away from the European market? Or, are stricter regulations necessary in times of financial crises?
 

Do you think that Sarkozy’s plan is in line with the ideas of other European nations? If not, what ideas would you suggest or how would you modify Sarkozy’s plan? Is this disguised state aid that benefits certain nations or simply governments acting in a time of crisis to prevent Europe’s economic collapse?

 

Germany would like to include Switzerland in the black list of OECD tax havens.

The financial crisis in the US housing and in the global credit markets, together with rising food and energy prices, present real challenges for policymakers, especially when, as part of the US presidential election campaign, it comes to forming effective (and popular) tax policy.

As the world watches, Sen. Obama and Sen. McCain, the two U.S. presidential candidates, battle out their ideological differences in the race to deal with the financial chaos and to win over the taxpayers and their votes.

Does either of these sets of proposals address the financial crisis effectively?