Is she crazy?! I would expect that from a Republican, but not from a progressive Democrat. Why should Apple pay less in taxes than I? Unbelievable! And, Apple should be ashamed of themselves.
As others have said, they may pay their "required" tax, but they sure don't pay their "fair share" of taxes. Shame on Apple, and shame on Senator Boxer.
Maybe 35% is stupidly high, but why 6.5%? That's not even trying to haggle. Why not start off at 20%? 15%?
When you reduce certain companies' taxation requirements, you give them an unfair advantage over their competition, whilst depriving the country of needed taxation income. Of course every major multinational is using tax havens and not repatriating money, so something needs to be done about it - killing the tax havens seems to be a good first step.
Or really proud, since you apparently pay, what, several dozen million dollars in taxes or something.
Other people are wrong. How stupid can they be, really?
You know that he is talking about percentage rate, not absolute figures.
The absolute figures are meaningless here - Apple is a massive company, they are expected to pay more taxes as a result.
It's the percentage rate that is at issue. 6.5% is ludicrously low, compared to the corporation tax rate that Apple would pay on profits made in the US.
My offer would have been "Corporation Tax rate minus Tax Rate already paid on that money". I.e., if Apple earned £1B profit in country X, and paid 10% to country X on that profit before putting it in the tax haven, then they shouldn't be double taxed on that profit, but the difference in tax rates should still be paid.
Our government has a responsibility to be competitive in the global market place. That means they need to make sure corporations WANT to bring their money back to the US including foreign investment. Make it so they would be silly not to reinvest in the US...
You know that he is talking about percentage rate, not absolute figures.
The absolute figures are meaningless here - Apple is a massive company, they are expected to pay more taxes as a result.
It's the percentage rate that is at issue. 6.5% is ludicrously low, compared to the corporation tax rate that Apple would pay on profits made in the US.
My offer would have been "Corporation Tax rate minus Tax Rate already paid on that money". I.e., if Apple earned £1B profit in country X, and paid 10% to country X on that profit before putting it in the tax haven, then they shouldn't be double taxed on that profit, but the difference in tax rates should still be paid.
That's the way the tax rate already works. Apple only needs to pay 35% minus what foreign tax they already paid. This means that Apple will only pay a US tax rate of about 10% to 20%, if they want to bring those profits back into the US now. So 6.5% is not ludicrously low, compared to the US corporate tax that they would have to pay on those foreign profits that they already paid foreign tax on.
Think about it. The way it works now (which you proposed as somthing new), Apple would still end up paying 35% on all their profits. (US rate plus foreign rate)
Notice what happened when Burger King bought Tim Hortons and "moved" their corporate HQ to Canada to avoid taxes.
Wouldn't be a hoot if Apple bought Blackberry for the same reason - with Canada making it easier to bring overseas money in.
America really has to stop being the lone holdout when it comes to foreign profits.
Apple don't need to buy out any foreign company to avoid US tax on foreign profits. Apple already have headquarters in foreign countries as they are an international business. That's where their foreign profits are held now. I'm sure Canada would not complain at all, if Apple wants to spend money in their country, even if Apple don't have a headquarter there. It's only the US that sees a problem with that.
Apple don't need to buy out any foreign company to avoid US tax on foreign profits. Apple already have headquarters in foreign countries as they are an international business. That's where their foreign profits are held now. I'm sure Canada would not complain at all, if Apple wants to spend money in their country, even if Apple don't have a headquarter there. It's only the US that sees a problem with that.
But buying a company that is beleaguered in a country that is right next door - and maintaining that company in an independence similar to Claris - would allow Apple to take maximum advantage for moving the money between nations and eventually into the USA.
When you review the relationship and tax treaties, you understand why Burger King did it, and why it would make sense for Apple.
Good riddance, let them leave for good. What we need to do is make it illegal to park your money overseas to begin with.
Parking your money overseas is illegal. Apple doesn't do this. Apple is a multinational company that makes money overseas. It is completely within their right to keep money overseas they made overseas. That isn't parking.
The USA is the only country in the world that double taxes. Apple is taxed once for money they made selling a product in China, then would be taxed twice for simply moving it back to the USA to invest here. It is ridiculous and prevents investments in our own country.
Apple, instead of bringing that money back, simply takes out loans. A company with $200 billion in cash worldwide is forced to take out loans due to archaic laws. Rand Paul is 100% right here.
Good riddance, let them leave for good. What we need to do is make it illegal to park your money overseas to begin with.
You obviously don't know much about International trade laws. If the US wants to participate in International trade, they must abide by laws already set up for that. And there are International tax laws already in place. The US don't make the laws.
And just what makes you think that Apple shouldn't spend the profits they make in foreign countries in foreign countries like China or France or Germany or Japan. None of those countries would care what other country that money was made in, so long as it's spent in their country. Profits that was made in their country was taxed in their country. And the more profit Apple makes in their country, the more tax Apple will pay in their country. And I won't even go into the many ways spending money in their country will boost their economy.
Or really proud, since you apparently pay, what, several dozen million dollars in taxes or something.
Percentage dude. He was talking about the percentage in taxes paid out of the income received in a years time. All you had to do was take a short moment to think about it before saying he should be ashamed. When corporates are raking in billions and only paying 0 to 5% in taxes on the earned income vs the 10 to 20% that the majority of working Americans pay, that is a joke.
I think we need to figure out how to fix this broken part of the tax code, but I'm all for frequent tax holidays until we figure out a better solution. As long as companies are onboard and will use this, lets do it. I think these tax holidays are more strongly supported by the Republican party, but there is a fair amount of bi-partisan support. Obama has generally been against these, so there may need to be a compromise. Maybe some of the taxes go to mass transit or programs to reduce greenhouse gases to help bring democrats on board.
Truth is: 35% isn't really that high or that difficult to plan for as a business, but corporations know that if they sit tight and lobby Congress, they'll eventually get their wish of paying next to nothing.
Why on earth would Apple need to pay more than 6% on sales done in another country? For product built/sold/transported in another country? This 6% tax is gravy to the US government. It took ZERO US resources to generate that 6%.
Exactly. Especially since the next step with the money almost always involves even more tax the US government would collect.
Give dividend to shareholders on foreign profits? Dividend tax!
Give pay raise to upper management? Payroll tax!
Both of these are 15% or more. So now the US government has 21% tax coming in already.
Comments
Well, it'll never pass unless the.Feds put the tax revenue into a lockbox /s
Mr Smurfman, you must be new here!
Define their fair share ... 0% ... 5% ... 10% ... 15% ... 35%... 50% ... 75% ... 98% ... 100% ?
Define my fair share ...
Now, I'll do you ...
Maybe 35% is stupidly high, but why 6.5%? That's not even trying to haggle. Why not start off at 20%? 15%?
When you reduce certain companies' taxation requirements, you give them an unfair advantage over their competition, whilst depriving the country of needed taxation income. Of course every major multinational is using tax havens and not repatriating money, so something needs to be done about it - killing the tax havens seems to be a good first step.
You should be ashamed of yourself.
Or really proud, since you apparently pay, what, several dozen million dollars in taxes or something.
Other people are wrong. How stupid can they be, really?
You know that he is talking about percentage rate, not absolute figures.
The absolute figures are meaningless here - Apple is a massive company, they are expected to pay more taxes as a result.
It's the percentage rate that is at issue. 6.5% is ludicrously low, compared to the corporation tax rate that Apple would pay on profits made in the US.
My offer would have been "Corporation Tax rate minus Tax Rate already paid on that money". I.e., if Apple earned £1B profit in country X, and paid 10% to country X on that profit before putting it in the tax haven, then they shouldn't be double taxed on that profit, but the difference in tax rates should still be paid.
Notice what happened when Burger King bought Tim Hortons and "moved" their corporate HQ to Canada to avoid taxes.
Wouldn't be a hoot if Apple bought Blackberry for the same reason - with Canada making it easier to bring overseas money in.
America really has to stop being the lone holdout when it comes to foreign profits.
Also with insane corporate tax rates. That's one area I wish we weren't #1 in.
Our government has a responsibility to be competitive in the global market place. That means they need to make sure corporations WANT to bring their money back to the US including foreign investment. Make it so they would be silly not to reinvest in the US...
You know that he is talking about percentage rate, not absolute figures.
The absolute figures are meaningless here - Apple is a massive company, they are expected to pay more taxes as a result.
It's the percentage rate that is at issue. 6.5% is ludicrously low, compared to the corporation tax rate that Apple would pay on profits made in the US.
My offer would have been "Corporation Tax rate minus Tax Rate already paid on that money". I.e., if Apple earned £1B profit in country X, and paid 10% to country X on that profit before putting it in the tax haven, then they shouldn't be double taxed on that profit, but the difference in tax rates should still be paid.
That's the way the tax rate already works. Apple only needs to pay 35% minus what foreign tax they already paid. This means that Apple will only pay a US tax rate of about 10% to 20%, if they want to bring those profits back into the US now. So 6.5% is not ludicrously low, compared to the US corporate tax that they would have to pay on those foreign profits that they already paid foreign tax on.
http://www.kpmg.com/global/en/services/tax/tax-tools-and-resources/pages/corporate-tax-rates-table.aspx
Think about it. The way it works now (which you proposed as somthing new), Apple would still end up paying 35% on all their profits. (US rate plus foreign rate)
Notice what happened when Burger King bought Tim Hortons and "moved" their corporate HQ to Canada to avoid taxes.
Wouldn't be a hoot if Apple bought Blackberry for the same reason - with Canada making it easier to bring overseas money in.
America really has to stop being the lone holdout when it comes to foreign profits.
Apple don't need to buy out any foreign company to avoid US tax on foreign profits. Apple already have headquarters in foreign countries as they are an international business. That's where their foreign profits are held now. I'm sure Canada would not complain at all, if Apple wants to spend money in their country, even if Apple don't have a headquarter there. It's only the US that sees a problem with that.
Apple don't need to buy out any foreign company to avoid US tax on foreign profits. Apple already have headquarters in foreign countries as they are an international business. That's where their foreign profits are held now. I'm sure Canada would not complain at all, if Apple wants to spend money in their country, even if Apple don't have a headquarter there. It's only the US that sees a problem with that.
But buying a company that is beleaguered in a country that is right next door - and maintaining that company in an independence similar to Claris - would allow Apple to take maximum advantage for moving the money between nations and eventually into the USA.
When you review the relationship and tax treaties, you understand why Burger King did it, and why it would make sense for Apple.
Sounds like someone has a rational view on the situation.
Especially requiring companies not to burn their money is an excellent move.
Good riddance, let them leave for good. What we need to do is make it illegal to park your money overseas to begin with.
Parking your money overseas is illegal. Apple doesn't do this. Apple is a multinational company that makes money overseas. It is completely within their right to keep money overseas they made overseas. That isn't parking.
The USA is the only country in the world that double taxes. Apple is taxed once for money they made selling a product in China, then would be taxed twice for simply moving it back to the USA to invest here. It is ridiculous and prevents investments in our own country.
Apple, instead of bringing that money back, simply takes out loans. A company with $200 billion in cash worldwide is forced to take out loans due to archaic laws. Rand Paul is 100% right here.
Good riddance, let them leave for good. What we need to do is make it illegal to park your money overseas to begin with.
You obviously don't know much about International trade laws. If the US wants to participate in International trade, they must abide by laws already set up for that. And there are International tax laws already in place. The US don't make the laws.
And just what makes you think that Apple shouldn't spend the profits they make in foreign countries in foreign countries like China or France or Germany or Japan. None of those countries would care what other country that money was made in, so long as it's spent in their country. Profits that was made in their country was taxed in their country. And the more profit Apple makes in their country, the more tax Apple will pay in their country. And I won't even go into the many ways spending money in their country will boost their economy.
You should be ashamed of yourself.
Or really proud, since you apparently pay, what, several dozen million dollars in taxes or something.
Percentage dude. He was talking about the percentage in taxes paid out of the income received in a years time. All you had to do was take a short moment to think about it before saying he should be ashamed. When corporates are raking in billions and only paying 0 to 5% in taxes on the earned income vs the 10 to 20% that the majority of working Americans pay, that is a joke.
Truth is: 35% isn't really that high or that difficult to plan for as a business, but corporations know that if they sit tight and lobby Congress, they'll eventually get their wish of paying next to nothing.
You should be ashamed of yourself.
Or really proud, since you apparently pay, what, several dozen million dollars in taxes or something.
Other people are wrong. How stupid can they be, really?
Brainwashed socialists are a lost cause. Ignore them.
Brainwashed socialists are a lost cause. Ignore them.
What about brainwashed feudalists?
6% is not low. It is fair.
Why on earth would Apple need to pay more than 6% on sales done in another country? For product built/sold/transported in another country? This 6% tax is gravy to the US government. It took ZERO US resources to generate that 6%.
Exactly. Especially since the next step with the money almost always involves even more tax the US government would collect.
Give dividend to shareholders on foreign profits? Dividend tax!
Give pay raise to upper management? Payroll tax!
Both of these are 15% or more. So now the US government has 21% tax coming in already.