Presidential candidate Senator John Kerry stated in a recent speech that he would shut down tax loopholes that have allowed over $40 billion to go to Bermuda.

Senator Kerry, while speaking during the second presidential debate with President George W. Bush, made this statement after being questioned on how he would balance the US tax deficit.

“John McCain and I have a proposal, jointly, for a commission that closes corporate giveaway loopholes,” Sen. Kerry said. “We’ve got $40 billion going to Bermuda. We’ve got all kinds of giveaways. We ought to be shutting those down.”

Senator Kerry, who also made a promise not to raise taxes for people who earn less than $200,000 a year, targeted companies that have moved their headquarters offshore to the island of Bermuda.

Senator Kerry targeted Bermuda several weeks previously by issuing a press release which said that, if elected president, he would “close loopholes like the Bermuda tax loophole that allow companies to escape taxes by taking advantage of complicated international tax rules”.

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