Quite often, these tax exploiting companies push many competitors out of the market. They can sell their products at lower prices because of paying lower or no taxes at all.

Besides, these tax evading companies acquire a dominating position that allows them to overcharge consumers for products often made in low-wage countries, where workers are often exploited and maltreated. Or in countries with little or less strict environmental and labour regulations.

Some CEOs of these profit shifting companies like to show off their humanitarian face, giving money to charity.

It would be much better, more just and less hypocritical if they paid taxes where they earn their profits.

It is time for a global humanity charter or Global Peace Charter.

It is time to right many so-called legal practices. These are often far from legal as they breach fundamental human values and because the laws legalizing these practices are approved after lobbying by companies, individuals or groups that obtain benefits at the expense or to the detriment of others.

These fundamental human values should be respected globally by any company, whether big or small.

The impact of those large and dominating companies on this world that seems to be largely globalized for making profits and evading taxes is too damaging and unfair.

Making them respect fundamental human values across the board should be a global goal promoted by all governments and international organizations (EU, UN, IMF, OECD, etc.).

EU fiscal policy

For instance, member states of the European Union compete with each other to attract (foreign) companies by applying different corporate tax rates to (foreign) companies. Big multinational companies – some having too much power anyway – take advantage of this competition and establish their headquarters in the EU country offering them the lowest tax rates (sometimes less than 1.0 percent!). Yet, they earn most of their income in other states, where they pay no taxes.

Sorry, but this is pure madness, that is no longer acceptable. It is financial power blatantly violating values like fairness, honesty and justice. It is boosting inequalities that (will) lead to conflict and worse. In the end, damaging the violators as well.

Common fiscal regime

The EU member states should impose the same tax rates on (foreign) companies, so that the manipulation and abuse can be stopped.

The fiscal proceeds should go to a common European Fiscal Development Fund (or similar) that distributes the income to all member states. This way the fierce and damaging competition could end and the abusive practices of companies be halted.

The total amount of taxes paid would increase and thus benefit all EU member states and its citizens.

At the same time, these companies – manipulating markets, governments, suppliers, workers and consumers – would see their unfair selling (and buying) advantage reduced. Local companies would regain business.

At a later stage, this common fiscal policy could also be considered to be applied globally – through the United Nations or a newly to be created organization.

Compensating for abuses

In the meantime, all financial transactions between fiscal paradises and the other countries should carry a fairness fee to compensate for the unfair advantage harming the majority of hard-working people and companies that do pay taxes.

It is time for real power: humanity and not money!