Wow. Our experiment is off to a great start—let's see if we can finish it off sooner than expected.
Republican members of Congress must enjoy pathetic approval ratings, because they're apparently already raising hell about President Obama’s call for a Congressional crackdown on offshore tax havens. And what could beat the populist appeal of standing up for thieving billionaires! Obama figures his get-tough approach (see below) could bring the Treasury an extra $210 billion over ten years. Obama, of course, is a pragmatist. Last time we touched base with Sen. Carl Levin, the Michigan Democrat, he was blaming the tax cheats for Treasury losses of $100 billion—per year.
As chair of the Permanent Subcommittee on Investigations, Levin was then looking into dubious dealings by international banking conglomerate UBS—where our old pal Phil Gramm served as a vice chairman soon after pushing through legislation that brought down the economy. Another investigative target was IGT, the Liechtenstein bank owned by that principality's royal family. "The IRS doesn't have the money, the time, or the legal tools it needs to stop offshore abuses," Levin told Mojo contributor Peter Stone, who wrote this piece on offshore tax shenanigans for our November/December 2008 issue.