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Panama Papers: Does this affect any arg in debate at all?

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I feel like Xi Jingping being involved in the allegations is going to be brought up quite a lot for the China resolution.

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Forbes (i think) had an interesting analysis, starting with David Cameron's offshore accounts and then looking at all the people in the released panama papers.  Most of them weren't dodging taxes at all (including Cameron), and had properly declared and paid all appropriate taxes on their offshore accounts.  It was a tiny minority who were using offshore accounts to conduct illegal monetary business (of various kinds).

 

They then pointed out that situating an investment fund, especially one which attracts investors from multiple countries, in a country like panama which doesn't tax those funds, allows taxpayers to properly calculate and pay taxes on their earnings.  Because if the fund was instead located somewhere like Germany, it would tax all the accounts as if they were German nationals, and now the account holders have to go through hoops figuring out how much they have to pay their government in taxes (it having already been taxed abroad changes that) plus the potential hassle of trying to get a rebate from Germany.

 

So the big story from the panama papers is actually that tax dodging isn't as common as we've been led to believe by alarmist estimates about how much money is involved.

 

Now, will there be some high profile corruption and tax dodging scandals to come out of it?  Sure.  My money is on Putin's friends and Xi Jinping not being above board with their offshore accounts, and probably several other of the country leaders.  But they're going to be a minority of the total accounts involved in the leak, and significant more for who is involved than any "epidemic" of tax evasion.

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