Offensive thousands of civilians and i still fighters fled the city. Or as the top stories more news coming up in twenty five minutes after counting the cost. With you without you. With. As im sick of this is counting the cost on a disease or your weekly look at the world of business and finance this week. To economics u. S. President donald trump puts forward his plan to cut taxes for americas wealthy and big business. Taxes one of the reasons getting catalonia against spain northeast region wants to go it alone will look at the economics. Plus comma given whats behind the collapse of australias also industry. With. The billionaire us president dont trump wants to reform the u. S. Tax system but his plan looks more like tax cuts for americas wealthiest and some of the worlds biggest corporations although its yet to be fleshed out it is based on the idea that the cuts will pay for themselves with the Economic Growth they generate in the years to come yet in the history of us tax cuts that has never happened they call it supply side economics its been done before and george h. W. Bush famous famously called it voodoo economics its likely to push up the deficit and opponents say it will deprive the government of money to spend on things Like Health Care or social programs or the Tax Policy Center calls it a giveaway for the rich those who earn more than four hundred thousand dollars a year get rates chopped for more than thirty nine percent to thirty five percent. And trump wants to slash tax for big business from thirty five percent currently to twenty percent wall street analysts say it could Mean Companies see a double digit boost in profits the tax code for business is in need of reform currently its full of loopholes the institute on taxation and Economic Policy says up to seventy three percent of Fortune Five Hundred Companies have at least one subsidiary in a tax haven but trump is likely to set very low tax rates to get companies to bring home offshore profits again analysts say not enough reform here and another windfall for Companies Like apple meanwhile tax disputes are brewing across the atlantic over the way big u. S. Tech companies are taxed the European Commission is trying to figure out how to call back revenue from apple this week it said it will take arlen to court to force it to recover fifteen billion dollars from the i phone maker arland and apple dispute the twenty sixth ruling by the e. U. It says the worlds most valuable Company Received illegal state aid the tech giant amazon is also in the firing line its been ordered to pay two hundred ninety four Million Dollars to luxemburg European Commission says between two thousand and six and two thousand and fourteen amazon used the country as a haven to avoid european taxes or i would joining me from new york now is tax expert James Henry James is a senior fellow with Columbia University on Sustainable Development and a global justice fellow with Yale University thanks for being with us so i want to ask you first of all just broadly speaking is this a tax plan that is going to benefit most americans or is it largely going to benefit the wealthy. Well i think its pretty clear that this plan was set out by Goldman Sachs and so you know that gary cohen whos a former president of. Goldman sachs is now trumps leading economics advisor the plan calls for a fairly radical change in the Corporate Income tax to whats called a territorial income tax. Major Companies Like apple and google which have parked a lot of money in tax a vns offshore about two trillion dollars would be able to bring that back at a very low tax rate. And. The rate that trump has been talking about is a fifteen to twenty percent. Nominal rate but nobody pays that now most of these Big Companies to figure out ways to avoid that so this is a real sort of cash giveaway to the major m. And cs ordinary businesses are already on average paying less than. Twelve percent in terms of the effective income tax so its not going to help them what it is going to do though is set off a Real International tax war between countries this is going to be the kind of we had are already a lot of tax Competition Among countries and i want to ask you as well how is this going to affect the situation with the European Union its bad tax policy i think the e. U. Would would be upset because they would see the United States converting to a kind of territorial tax basically continuing this kind of global tax competition in the race to the bottom weve suffered from for quite a long time now this is just a complete reversal all the progress weve been made on getting a handle on base or roge and Corporate Tax dodging a number of analysts saying as well that this is going to blow. A massive hole in the u. S. Budget so if that is the case and youre giving out more than youre getting in whos going to pay for all is well its going to be transferred to middle class and the poor and the form of bigger deficits i think you know were still uncertain about what the exact numbers are because the Congressional Budget Office hasnt scored this thing but its at least three to five trillion dollars of increased. Government spending over what the government is taking in increased deficit so were seeing you know some republicans already expressing. Concern about this yesterday senator corker was saying that he couldnt vote for a bill that blew up the deficit this way and the Tax Policy Institute projection in the u. S. Is that the middle class that will end up paying more actually over a period of of ten years what do they base that on. Well i think theyre basing that on the fact that theyre actually raising rates at the bottom. In the individual income tax side here and getting rid of some of them in the proposals that weve seen and these are all very sketchy back of the napkin type planning here. You know there are substantial reductions in the standard deductions that many middle class americans taken for for example state and local income taxes so. I think were just beginning to understand how bad this bill is no question that on the corporate side its a giveaway. On the individual side i think theres some debate about the actual impact nine states does need a tax reform and tax simplification but this is a regressive reform that will basically transfer the burden of taxation to the middle class and the poor in the form of inflation longer term deficits that are increased and increased tax competition with with poorer countries all right james henry thanks very much for being with us thank you good to be with us from the still to come on counting the cost imagine a Football Team put together on social media where fans have a say on who dont play next well take a look at how its changing the game. Now some analysts have named it com again this week toyota and did fifty four years of production in australia and later this month another comic who will stop production and with that cars will no longer be made in australia as the entire industry collapses thousands of jobs will be gone as Andrew Thomas reports now from sydney the change is also point to a new economic drive us. So i just started making cars in australia back in one thousand nine hundred sixty three and in the fifty four years since more than three million total cards have rolled off its production lines in this country the closure of a factory in melbourne what is the direct loss of two thousand jobs with a further three thousand people depended on that factory for their livelihoods because they were in supply Chain Companies some of the classic totem poles were brought back to the melbourne factory on tuesday for a ceremony to mark the closure of the factory last year ford closed its last car manufacturing plant in australia and in two weeks time holden which is the australian brand name for General Motors cars whats known as a known elsewhere in the world it will close its last factory and that will mark the end of all car manufacturing in australia costs are simply too high compared to manufacturing costs elsewhere in asia but some say the closure of the car industry in australia isnt necessarily a bad thing it marks the transition of australias economy toward Civil Service for insight commie and it also suggests australian workers are getting jobs in higher Tech Industries elsewhere now the Auto Industry is going through a big change every major Car Company Says theyll have fully Autonomous Vehicles on the road before twenty twenty one fords model t. Revolutionized transport it was the worlds first affordable car this week ford motors new boss jim hackett said it is steering investment away from Traditional Cars over the next five years he wants to put more money into electric and Autonomous Vehicles a british taxpayers could be hit with a nearly eighty Million Dollar bill after the collapse of monaco airlines the countrys fifth biggest carrier it will have to pick up the tab for flying passengers home neighbor has more from Gatwick Airport in london. Monex to mines is a major blow to britains Aviation Industry the collapse has left one hundred ten thousand customers stranded overseas a further three hundred thousand people bookings have been cancelled more than two and a half thousand people are expected to lose their jobs at gibraltar airport passengers awaited news of replacement flights the british governments asked the Civil Aviation authority to charter thirty aircraft in whats been described as the largest peacetime of patrick nation of british citizens this is a hugely difficult day for passengers for staff weve been working with other tour operators other airlines over the last twenty four hours to try and make sure that is the earliest possible opportunity for people here to rebook their holidays the collapse has been blamed on an increase in Aviation Fuel costs and a slump in the value of the pound following the u. K. s breaks of vote monex also faced tough competition from other low Cost Carriers especially on mediterranean routes the company says recent attacks targeting tourists in tunisia egypt and turkey have led to a slump in travel and numbers to key destinations contributing to losses of four hundred Million Dollars last year terrorism probably has been the major the major cause of monarchs failure because there are two particular markets i read see results and im on it was a really major player takeover talks with other airlines including Norwegian Air collapsed at the last minute leaving monaco unable to renew its air travel organizers license that protects customers from being stranded abroad monaco also has an engineering wing that could in theory continue to operate despite the collapse of the airline when it comes to its Aviation Assets though including lucrative a landing slots a busy airports like gatwick well theyre expected now its because between other airlines formed in one thousand nine hundred sixty eight moloch was the countrys fifth largest carrier a pioneer in low cost travel and the largest yet to go out of business is one of several European Airlines including air berlin and alitalia to Enter Administration the fear is other airlines by also find their wings clipped in this increasingly turbulent market. Now spain is desperately trying to hold the drive for independence in catalonia that threatens to be rail its economy millions of catalans hope an independent country would remain in the European Union sitting between france and spain but would things really go as smoothly as they believe is largely from barcelona. The wisdom of the crowd is difficult to resist particularly when the atmosphere is as relaxed and happy as it has been in barcelona. The singalong here is to a protest tune dating to the franco dictatorship when catalan traditions were systematically repressed that every teenager knows the words speaks volumes about the historical enmity toward madrid so secession beckons can catalonia go it alone why not give it a try they say democracy is pure and beautiful they think spain is a proper democracy. Now its not when they are. Believing that they have the power to shut us out of it as coming up and beyond the economy and keep in mind our money and their markets are. You know theyre spending the money that they are shopping for the things not hard for everyone. To leave spain camp here has all the momentum they think historically this is their time in the sun the idealized version of events is often presented to you here is over catalonia unchained free from the tyranny of madrids an independent sovereign republic able to make its own way and sit happily among the European Community of nations but will things things really be so simple. Of course another european country voted for historic change recently to the u. K. To leave the European Union but the essence of the argument was similar we want to be free from the control of others. It was convincing enough to win the arguments but now the u. K. Is riven with disagreements and the e. U. Is blocking its key demands. So when he was Pro Independence council and m. P. s how they can possibly stay in the European Union when spain would veto it you get an answer slightly less inspiring than the mood of the crowd what happens if catalonia got stuck outside the European Union as long as i was i would not like this prospect to happen. I could live better thirdly its not only out of the photo to benefit you feel yourself and your little realize for example no other way. Bridges the roads are part of the all of the union with additional ways to get it exactly like your ex accompany you know the government it could be the like like like iceland you know thats what they say well were not saying we are not so were told were like. We are saying goes you have Economic Growth and when you know all the difficult comparable questions the u. K. Never asked itself borders trade agreements the rights of cattle lands in spain and spaniards in catalonia nobodys bothering to ask about any of its but if they do jump off the cliff to independence they will have the European Union to deal with it could be incredibly messy. Catalonia is spains most productive region and generates about twenty percent of the countrys g. D. P. And roughly a third of its exports the region contributes twenty one percent of the countrys total taxes which is reportedly more than it gets back from madrid catalonia also attracts a record amount of investment it has six never again biotech industry for example nearly a third of all Foreign Corporations and production facilities represented in spain are based in barcelona or its outskirts. Joining us now from new castle in the u. K. Is klaus the stairs and chief eurozone economist with macro economics thanks very much for being with us and now already as this political impasse rolls on there are there are its already having economic implications the shares in the two main regional banks in catalonia have plummeted what implications is this going to have for savers there to begin with well i mean the implication for savers at the moment are not that high in the sense that just because the share price falls doesnt mean that. Its that it means anything but i think what you referred to is this this this notion that some banks have said that if catalonia declares and dependency theyll move their headquarters out of of the region because of the fact that catalonia will find itself being outside the e. U. And outside the euro zone and that certainly has implications potentially for savers to the extent that they have money in banks that dont move right so if you have if you have deposited in a bank in catalonia and catalonia suddenly decides unilaterally to secede from spain and you know that bank doesnt have time to move then yes its those those the parts that will not and will no longer be euros thats and what theyll be im not so sure but theyll suddenly be worth less and is that continued uncertainty about what catalonia is place would be in in europe and so on thats having effects on spains economy as well isnt it well it will because catalonia is a wealthy part of spain is a big part of the spanish economy sort of a locomotive in the spanish economy so you know the hit would certainly be on both sides but you know were talking hypotheticals here i dont think catalonia is going to take that step but sure if they did unilaterally decide to leave with all the implications that might have in terms of. 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