Multinational corporations (MNCs) are enormous, with operations and reach spanning the globe. They have employees, resources, and customers in many different countries.
To minimize their tax burden, some MNCs engage in a practice often playfully called “M&M Taxes.” Think of it as moving money around, just like the candy, to find the sweetest (lowest) tax rates possible. This involves shifting profits to countries with lower tax rates, legally reducing their overall tax payments.
This article will explore the strategies behind these “M&M Taxes,” examining the legal and ethical implications, and discussing ongoing efforts to address corporate tax avoidance.