Open Access Journal Article

Taxes and social instability: How large corporations and wealthy taxpayers hide taxable money?

by Miaba Louise Lompo a orcid  and  Marie Madeleine Ouoba b orcid
a
Governement of Quebec, Québec, Canada
b
Department of education, Université Virtuelle, Ouagadougou, Burkina Faso
*
Author to whom correspondence should be addressed.
EAL  2024 3(1):49; https://doi.org/10.58567/eal03010005
Received: 22 July 2023 / Accepted: 31 August 2023 / Published Online: 15 March 2024
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Abstract

Non-compliance with tax obligations, particularly by wealthy taxpayers and large corporations, continues to represent a source of social injustice that fuels social instability, especially in developing countries. Understanding the strategies of tax evasion and avoidance is of critical importance. This article highlights five main strategies used by large corporations and wealthy taxpayers to avoid taxes, including tax havens, the underground economy, aggressive tax optimization, alternative financial markets, and crypto currencies. We also propose several actions to tackle global tax non-compliance, including prevention, peer reporting, active monitoring of compliance indicators and inter- national cooperation. These actions can be combined to achieve optimal results in reducing tax evasion and avoidance.

Keywords: Tax evasion; tax avoidance; tax compliance;
Copyright: © 2024 by Lompo and Ouoba. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY) (Creative Commons Attribution 4.0 International License). The use, distribution or reproduction in other forums is permitted, provided the original author(s) or licensor are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.

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ACS Style
Lompo, M. L.; Ouoba, M. M. Taxes and social instability: How large corporations and wealthy taxpayers hide taxable money?. Economic Analysis Letters, 2024, 3, 49. https://doi.org/10.58567/eal03010005
AMA Style
Lompo M L, Ouoba M M. Taxes and social instability: How large corporations and wealthy taxpayers hide taxable money?. Economic Analysis Letters; 2024, 3(1):49. https://doi.org/10.58567/eal03010005
Chicago/Turabian Style
Lompo, Miaba L.; Ouoba, Marie M. 2024. "Taxes and social instability: How large corporations and wealthy taxpayers hide taxable money?" Economic Analysis Letters 3, no.1:49. https://doi.org/10.58567/eal03010005
APA style
Lompo, M. L., & Ouoba, M. M. (2024). Taxes and social instability: How large corporations and wealthy taxpayers hide taxable money?. Economic Analysis Letters, 3(1), 49. https://doi.org/10.58567/eal03010005

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