The United States has the third highest general top marginal corporate income tax rate in the world at 39.1 percent, exceeded only by Chad and the United Arab Emirates.
The worldwide average top corporate income tax rate is 22.6 percent (30.6 percent weighted by GDP).
Which facts am I supposed to be checking?
The Global average corporate tax rate is 22.6%. The US corporate tax rate of 39.1 (including 'state corporate tax) is almost twice that. Even when the Global rate is adjusted for GDP, it's still about 25% higher. So the US corporate tax rate is not close the Global average, as you seem to think.
Most of this discussion is focused on the Fed 35% tax that the US apply to foreign profits. That is by far the highest of any country. Even Chad and UAR don't tax corporate foreign profits. The CA corporate tax rate that Apple has to pay, because their US headquarter is in CA, is 8.8%. The highest in the US. So Apple tax rate on their foreign profits would be about 44%. If they were to bring those profit here in tot he US.
Does the California corporate tax also apply worldwide instead of territorially?
The United States has the third highest general top marginal corporate income tax rate in the world at 39.1 percent, exceeded only by Chad and the United Arab Emirates.
The worldwide average top corporate income tax rate is 22.6 percent (30.6 percent weighted by GDP).
Which facts am I supposed to be checking?
The Global average corporate tax rate is 22.6%. The US corporate tax rate of 39.1 (including 'state corporate tax) is almost twice that. Even when the Global rate is adjusted for GDP, it's still about 25% higher. So the US corporate tax rate is not close the Global average, as you seem to think.
Most of this discussion is focused on the Fed 35% tax that the US apply to foreign profits. That is by far the highest of any country. Even Chad and UAR don't tax corporate foreign profits. The CA corporate tax rate that Apple has to pay, because their US headquarter is in CA, is 8.8%. The highest in the US. So Apple tax rate on their foreign profits would be about 44%. If they were to bring those profit here in tot he US.
Does the California corporate tax also apply worldwide instead of territorially?
Genuine question, I don't know the answer.
EDIT: It seems it's worldwide too. Interesting.
The other genuine question is …….. Can Apple deduct the corporate State tax from their Fed corporate tax? The same way they deduct any foreign tax paid.
But if that were the case, then conceivably, the Fed can end up with less tax money than the State. For instance if Apple paid and average of 22% in foreign taxes on the profit and then paid 8.8% CA State corporate tax, the Fed would only end up with 4.2% if Apple were also able to deduct the State tax rate the same way they deduct the foreign tax rate paid, on that profit.
The more likely scenario is that corporations can deduct the amount of State corporate tax paid from the foreign profit when paying the Fed corporate tax. Just like how an individual, when itemizing on their Fed tax, can deduct the amount of State income tax paid from their Fed income and not from the Fed taxes owed. Which makes more sense. I'm pretty sure the State corporate tax is applied to the same profit reported on the Fed corporate tax return. Only with the State, you can't deduct any State tax paid. Which is why the US corporate tax rate is often sited at about 39 - 40% when including State corporate tax.
If Apple were only doing business in CA and their headquarters was in NY, then Apple would only need to pay State corporate taxes on the profit they made in CA and State corporate on all their profits in NY. But Apple is headquartered (domicile) in CA and thus must pay State corporate tax on all their profits in CA.
I misread and thought the site I visited earlier stated that CA has the highest State corporate tax. What the site meant was that CA has the highest individual income tax rate. CA corporate tax is high but there are a few States that are above 9% and one that is 12%.
Look at the first comment I left, see how he sticks in "rich= bad?" although my comment did not.
There’s nothing else you could mean.
He also suggest that "seeing the products they create" is worth letting Apple slide on paying tax on earnings of $68B?
Yet another strawman. We weren’t discussing their taxes (on which they didn’t slide). We were discussing consumer-side vs. shareholder-side business models.
Apple is not paying taxes on these earnings, they know this
Are they breaking any law, anywhere? If not, your problem is with the law, not Apple. Put your anger where it belongs.
If they paid all their taxes then there would be no reason to keep it abroad.
lol. Nothing more needs said, really. That’s just hilarious.
Really? What part of my comments makes you jump to that absurd suggestion?
What’s absurd, the idea that Trump will do what he says he’ll do or the “appalling” thought that you could ever have something in common with an “orange chauvinist”?
Unless this is just an audition for that writing job at Fox?
Fox is leftist-owned. I don’t watch them. In the future when you don’t have a reply to anything said, please refrain from this bullshit that just directly outs yourself as not having a reply to what was said.
Comments
Genuine question, I don't know the answer.
EDIT: It seems it's worldwide too. Interesting.
The other genuine question is …….. Can Apple deduct the corporate State tax from their Fed corporate tax? The same way they deduct any foreign tax paid.
But if that were the case, then conceivably, the Fed can end up with less tax money than the State. For instance if Apple paid and average of 22% in foreign taxes on the profit and then paid 8.8% CA State corporate tax, the Fed would only end up with 4.2% if Apple were also able to deduct the State tax rate the same way they deduct the foreign tax rate paid, on that profit.
The more likely scenario is that corporations can deduct the amount of State corporate tax paid from the foreign profit when paying the Fed corporate tax. Just like how an individual, when itemizing on their Fed tax, can deduct the amount of State income tax paid from their Fed income and not from the Fed taxes owed. Which makes more sense. I'm pretty sure the State corporate tax is applied to the same profit reported on the Fed corporate tax return. Only with the State, you can't deduct any State tax paid. Which is why the US corporate tax rate is often sited at about 39 - 40% when including State corporate tax.
If Apple were only doing business in CA and their headquarters was in NY, then Apple would only need to pay State corporate taxes on the profit they made in CA and State corporate on all their profits in NY. But Apple is headquartered (domicile) in CA and thus must pay State corporate tax on all their profits in CA.
I misread and thought the site I visited earlier stated that CA has the highest State corporate tax. What the site meant was that CA has the highest individual income tax rate. CA corporate tax is high but there are a few States that are above 9% and one that is 12%.
http://taxfoundation.org/article/state-corporate-income-tax-rates-and-brackets-2016
Yet another strawman. We weren’t discussing their taxes (on which they didn’t slide). We were discussing consumer-side vs. shareholder-side business models.
Are they breaking any law, anywhere? If not, your problem is with the law, not Apple. Put your anger where it belongs.
lol. Nothing more needs said, really. That’s just hilarious.
What’s absurd, the idea that Trump will do what he says he’ll do or the “appalling” thought that you could ever have something in common with an “orange chauvinist”?
Fox is leftist-owned. I don’t watch them. In the future when you don’t have a reply to anything said, please refrain from this bullshit that just directly outs yourself as not having a reply to what was said.