The reality is that tax competition is continuing, despite the angst of the French and the Germans. Tax rates around the globe are likely to continue to fall. But the battle is slowly being lost as the opponents of financial privacy have been able to use the terrorism issue to further erode privacy protections. It is not yet clear if the privacy advocates will be able to acquire the necessary resources to stop this trend, let alone achieve a reversal. At the moment it looks like we are heading for a world of lower tax rates, but with less financial privacy.

Essay Types: Essay