Disclosure of Tax Havens and Offshoring Act

Bill 118 HR 4938, also known as the Disclosure of Tax Havens and Offshoring Act, aims to address the issue of corporations and individuals using tax havens and offshoring practices to avoid paying taxes in the United States. The bill requires corporations to disclose information about their offshore subsidiaries, including their location, profits, and taxes paid. This information would be made publicly available in a searchable database.

The bill also includes provisions to crack down on tax havens by imposing penalties on corporations that engage in these practices. It requires the Treasury Department to compile a list of countries that are considered tax havens and imposes restrictions on financial transactions with these countries.

Additionally, the bill includes measures to strengthen enforcement of tax laws and increase transparency in financial transactions. It requires the IRS to conduct audits of corporations suspected of using tax havens and offshoring practices, and provides funding for additional IRS staff to carry out these audits. Overall, the Disclosure of Tax Havens and Offshoring Act aims to promote fairness in the tax system by preventing corporations and individuals from avoiding their tax obligations through offshore tax havens and offshoring practices. It seeks to increase transparency and accountability in financial transactions and ensure that all taxpayers pay their fair share.