Posted by Tina
ZUG, Switzerland – The tidy towns and mountain vistas of Switzerland are an unlikely setting for an oil boom. Yet a wave of energy companies has in the last few months announced plans to move to Switzerland — mainly for its appeal as a low-tax corporate domicile that looks relatively likely to stay out of reach of Barack Obama’s tax-seeking administration. *** “Switzerland has a stable and developed tax regime and a network of tax treaties with most countries where we operate,” Transocean Chief Executive Bob Long said in a statement in October, when it announced its move. “As a result, the redomestication will improve our ability to maintain a competitive worldwide effective corporate tax rate.” Reuters
Elections have consequences…policies have consequences too. The current government has adopted an extreme anti-business stance toward oil companies combining very restrictive policies with high tax rates. You can’t expect a targeted business to just stand still and take it.