World finance chiefs threaten to close loopholes and force multinationals to pay more taxes

The Paris-based OECD says that the new 15-point plan includes ways to close loopholes and allow countries to tax profits held in offshore subsidiaries. If it is adopted, the measures would be implemented over the next two years and target such practices as deducting the same expense more than once, in more than one country. The plan also has a special focus on the online economy, where commerce flows across borders constantly and its harder to tie revenue and profit to a single country. U.S. Treasury Secretary Jacob Lew hailed the plan as a major step toward addressing tax avoidance by multinational firms. In a statement out of Washington, he said, We must address the persistent issue of stateless income, which undermines confidence in our tax system at all levels. The plans designers insist it isnt anti-business, and is in part aimed at making things more consistent for companies and governments.

JPMorgan plans to name risk or finance experts to board: source

Credit: Reuters/Lucas Jackson Fri Jul 19, 2013 4:26pm EDT (Reuters) – JPMorgan Chase & Co (JPM.N) expects to name two directors with expertise in risk or finance to its board, according to a person familiar with the matter. The appointments, to come this year, will follow the resignations on Friday of two members of the board who had been on the panel’s risk committee when the company made its “London Whale” derivatives trades that ultimately cost it more than $6.2 billion and damaged its reputation. (Reporting by David Henry in New York; Editing by Gary Hill) Tweet this

Very Weak Q2 Earnings Outside Finance

The earnings and revenue growth rates seen thus far are broadly in-line with what we have seen from the same group of 103 companies in recent quarters. The Finance sector is helping hide a lot of weakness in the aggregate earnings picture. Strip out the strong growth reported by the Finance sector and total earnings growth for the remaining S&P 500 companies turn negative down -2.9%. This is weaker than what these same companies reported in Q1. There are few positive surprises outside of Finance as well, with the earnings and revenue beat ratios outside of Finance tracking below Q1s levels.

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