Frontline Season 22 Episode 9 Tax Me if You Can
- February 19, 2004
In episode 9 of season 22 of Frontline, titled "Tax Me if You Can," journalists investigate the complex and often murky world of corporate tax operations, uncovering a web of loopholes and offshore accounts that allow some of the world's largest corporations to avoid paying billions in taxes. Through interviews with tax experts, former corporate insiders, and whistleblowers, the episode explores the ways in which companies like Apple, Microsoft, and Google have been able to sidestep tax laws, often with the help of government officials and lobbyists.
The episode begins with a look at the ways in which multinational corporations are able to move profits across borders in order to avoid taxation. The reporters examine the use of transfer pricing, a method by which companies can shift profits to subsidiaries in low-tax countries while inflating expenses in high-tax countries. They also explore how companies use intellectual property and royalty payments to further reduce their tax bills.
The investigative team speaks with a number of former corporate insiders who reveal the tactics used by their former employers to avoid taxes. One such whistleblower is Sam Wyly, the former CEO of Michaels Stores, who explains how his company set up offshore trusts and shell corporations in order to avoid paying taxes. The journalists also speak with Chuck Collins, a former trust fund heir who has worked to expose the ways in which the wealthiest Americans use trusts and other mechanisms to avoid taxes.
The team also delves into the ways in which lobbyists and wealthy individuals use their influence to shape tax policy in their favor. They examine the role of Grover Norquist, the founder of Americans for Tax Reform, who has been instrumental in pushing for tax cuts and opposing any measures that would increase taxes on the wealthy. The reporters also speak with New York Times reporter David Kocieniewski, who broke the story of how Apple used a complex web of subsidiaries in order to avoid paying taxes on billions of dollars in revenues.
The episode concludes with a discussion of how the issue of corporate tax avoidance has become a major political issue around the world, and with a call to action for viewers to demand that their elected officials take action to close the loopholes that allow multinational corporations to avoid paying their fair share of taxes. Overall, "Tax Me if You Can" offers a compelling and deeply researched look at one of the most important and underreported issues of our time.