Essay Writing Help on Current Event

Current Event

The top prosecutor in Chile has initiated tax evasion, cash laundering, as well as bribery case in opposition to senior former representatives and funders of a right-wing political party that was formed to achieve the financial bequest of Dictator Augusto Pinochet. The country’s chief prosecutor, Sabas Chahuan, affirmed that proof of extensive corruption by top representatives in the mining sector and millions of money in terms of fake contracts was adequate to ask for instant detention of Carlos Lavin and Carlos Delano (Franklin, 2015). The two are directors of the Penta Group, which is a monetary holding corporation that has roughly 30 billion dollars in assets. Both are deemed political godfathers for the Chilean right and were as well charged with channeling thousands of dollars to right-wing opinionated aspirants in the course of the past ten years.

              While making his final assertion, prosecutor Carlos Garjado affirmed that what was before the court was a monetary conglomerate with tax fraud as a section of its civilization. From the top official downward to the bottom employee, every person issued false invoices and the Penta Group had developed into an engine to fleece the nation. In his brief statement, the prosecutor affirmed that investigators had established over 1,000 false records (Franklin, 2015). In line with the prosecutor, Garjado, who was giving his argument at the indictment hearing, the officials of the Penta Group had presented numerous false invoices bearing the names of their partners, secretaries, and offspring as a means of perpetrating tax evasion and evade adherence to finance regulations.

            At a period when government spending cuts are obtaining a great effect on the daily encounters of individuals, it is unethical for a company, such as the Penta Group, to be evading their reasonable portion of taxes. Organized tax fraud, money laundering, bribery, and issuance of fake documents by a company create a mainly horrible note in these modern times (Franklin, 2015). Issues of tax fraud, money laundering, bribery, and issuance of fake documents can result in a company being susceptible to allegations of greediness and self-centeredness, tearing down its reputation and public confidence. Tax evasion is an unethical undertaking since it weakens the very integrity of the tax structure.

            The issue of taxation is associated with numerous ethical dilemmas (Culiberg & Bajde, 2014). For instance, every tax practitioner encounters ethical dilemmas in executing their professional tasks in a progressively competitive setting of differing forces from customers, the revenue authority, and the broader community. The greatest ethical dilemma established in tax evasion is the endeavor by clients to alter tax returns. Though a tax practitioner could identify a case of tax fraud and consider it ethically suitable to disclose it, he/she could find it hard to unveil tax evasion for fear of breaching the regulations of maintaining client confidentiality.  

            This is greatly related to utilitarianism learned in class. Utilitarianism denotes a theory in ethics affirming that that the ethical accomplishment is the one that capitalizes on utility, for instance, economic welfare. Thus, in this situation, I would pay the required amount of taxes as this is an ethical and socially responsible practice, which offers the funding for public services, for instance, infrastructure, medical care, and education to mention a few. Furthermore, companies profit from such public services both directly and indirectly. Instead of hiding behind the company case for tax fraud, companies ought to be transparent regarding the tax returns. Businesses, in addition to governments, should give closer attention to communicating their stand on this matter and their understanding of the regulations, and, most significantly, be honest concerning it (Culiberg & Bajde, 2014). Such a practice would reinstate public confidence and create more assurance for companies.   

References

 Culiberg, B., & Bajde, D. (2014). Do you need a receipt? Exploring consumer participation in consumption tax evasion as an ethical dilemma. Journal of Business Ethics, 124(2), 271-282.

Franklin, J. (2015, March 4). Godfathers of Chilean right charged with tax fraud, bribery, and money laundering. The Guardian. Retrieved from http://www.theguardian.com/world/2015/mar/04/chile-right-fraud-bribery-money-laundering-pinochet