Friday, September 08, 2017

M1 LEA Suggested translation

Here is my suggested translation of the passage you were asked to translate in yesterday's exam

The statisticians who work at Eurostar are certainly very serious people, but the figures for Ireland are absurd. It is not possible, in two years, to raise the GDP of a country by 37%, without vastly increasing the quantity of work done. These figures do not express the economic reality of the country, but an accountant’s reality. And, in contrast with reality, accounting can put on a disguise. One can even find companies who specialize in this type of operation, as the case of the « Panama Papers » recently showed.

So a French company that wants to reduce its taxes as much as possible can, for example, set up a subsidiary in Ireland in order to reduce its tax base. This is an extremely simple operation: one just has to play with transfer pricing. That is to say that, by selling its products very cheaply to its Irish subsidiary, the company will make its profits in France disappear. If the production is sold at double the buying price to another French subisidiary, the profits will in this way be transferred to Ireland. The cherry on the cake is that this operation does not involve any logistical costs, since the buying and selling are only accounting operations which do not require any merchandise to actually move. Libération, 16.01.17

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