“Domestic tax oases” inside a country. The head of the largest opposition party to Chancellor Merkel’s government coalition has accused the states of Bavaria and Hesse of acting like tax paradises within Germany by hiring low numbers of tax officials, reducing tax auditing frequencies and bruiting that about in order to attract businesses. It’s probably no coincidence that Bavaria and Hesse recently filed a lawsuit seeking to break the decades-old post-WWII reconstruction “solidarity pact” in which German states that are doing well financially pay money to German states that are not.
US state Delaware was mentioned in a “Planet Money”-style ZDF report that said it has very low taxes, very business-friendly courts, 800,000 inhabitants and 900,000 companies and is where most of the world’s firms “organize their America business.”
(E’en LEND isch ah SHTOY er oh OZ en.)