Europe Takes on Tax Havens

Income-strapped governments in Europe are stepping up efforts to extract revenue from tax havens. That’s the topic of a special summit in Brussels, where politicians are discussing ways to get banks in Europe to automatically notify tax authorities whenever a foreigner opens an account. The other issue is figuring out ways to close tax loopholes that let fast-moving multinational companies run circles around the tax collector.

Midnight at the Oasis

If a country can attract wealthy depositors by offering them secret bank accounts or lower taxes, it is usually a boon for the local economy. But what happens when the bank accounts are no longer confidential, or the tax trick is suddenly prohibited? These are serious issues for places like Switzerland and Luxembourg… but also for a tiny Alpine village that traded in its lederhosen for bankers’ pin stripes.