Saxo Bank has published its 10 Outrageous Forecasts for 2021, among which Amazon buys Cyprus.
After a rather idiosyncratic year, the Saxo Bank group, a Danish investment bank that specializes in online transactions, has published its Outrageous Forecasts for 2021, which also include Cyprus.
Specifically, in one of its 10 outrageous forecasts, it states that in 2021 Amazon will decide to buy Cyprus in order to avoid the war against it and it concerns the tax framework of the digital giants.
It is worth noting that Saxo Bank’s Outrageous Forecasts for 2021 have been widely circulated in foreign publications, making Cyprus known once again.
The report said the coronavirus pandemic was the best thing that ever happened to Amazon, as people were forced to stay home confined, boosting online shopping as companies moved to expand their cloud capacity to for example with Amazon Web Services, to enable their workforce to work from home.
2021, however, sees Amazon and other players in the “internet monopoly”, as well as digital giants Facebook, Google and Microsoft, increasingly wary of governments, which have put under the microscope the tax framework that governs the whole digital giants.
Of course, these companies have long occupied several lobbies and states, with some of these companies tackling the situation by adopting approaches and methods as if they were the states themselves. Microsoft, for example, has begun representing the United Nations with an office in New York, hiring a diplomat to handle specific issues related to its dealings with European governments.
At the same time, Facebook has established a “Supreme Court” to oversee user complaints as well as other issues.
It is also noted that in 2020 executives of Facebook, Microsoft and Alphabet were even invited as speakers at the annual security conference in Munich, along with the heads of state.
In 2021, as the pressure from the official EU authorities on the tax regime of the digital giants increases, Amazon makes its move, moving its headquarters to the EU in Cyprus. Cyprus welcomes the digital giant and the tax revenues that the state will have will help it reduce its public debt, which has exceeded 100% of GDP, after the debt crisis of the European Union
With Cypriot GDP at around $ 24 billion, the total Cypriot economy equals less than three months of Amazon’s total turnover outside the United States.
As 2021 progresses, Amazon advisers are “helping” Cyprus rewrite its tax code, mimicking Ireland, but with an even lower level of corporate and other taxes, with leaders and the Cypriot population rejoicing at lower tax rates.
But EU regulators are quickly learning what is going on and taking action against Amazon, forcing the company to change its practices, and forcing Cyprus and other EU countries to harmonize their tax rules. The US and other countries are also moving against internet monopolies in 2021, punishing those companies for their insults.
Source : Forbes