"Oxfam calculated that $1.4 trillion is being kept in offshore tax havens with the $1 trillion paid in tax by the top 50 US firms between 2008 and 2014."
"According to the Guardian, Overall, the use of tax havens allowed the US firms to reduce their effective tax rate on $4tn of profits from the US headline rate of 35% to an average of 26.5% between 2008 and 2014."
"We can't go on with a situation where the rich and powerful are not paying their fair share of tax, leaving the rest of us to foot the bill. Governments across the globe must come together now to end the era of tax havens," he added.
Tax avoidance by U.S. corporations costs the country some $111 billion a year. The tax dodge is also aiding the global wealth divide by draining $100 billion from the poorest countries, Oxfam estimated.
"Tax dodging practised by corporations and enabled by federal policymakers contributes to dangerous inequality that is undermining our social fabric and hindering economic growth," the report said.
U.S. firms made $80 billion in profit in Bermuda, a safe offshore tax haven like Panama. That is more than their combined reported profits in Japan, China, Germany, and France, four of the world's five largest economies, said Oxfam.
[Photo by Arnulfo Franco/AP Images]