I find it very difficult to demonize any corporation for attempting to minimize their taxes, and get tax breaks, as long as it's in the confines of the law. Especially the biggest taxpayer in the country.
The company "paying" the most is US taxes is not Apple. There's at least a couple ahead of "em. And to be clear I'm not demonizing them either. I just didn't agree with Sog that these tax breaks are all to benefit the states residents, a solely benevolent move on the part of our legislators. IMHO they are more often designed to benefit already wealthy corporations and their owners.
EDIT: Note that what Apple says it may technically have computed as it's Federal income tax obligation is not what they actually pay. For instance Apple publicly claimed to have paid nearly $7 billion in Federal taxes in 2011, going on to claim they were the country's largest taxpayer. But how much did they actually pay the IRS? A few billion less than that, just $2.5 billion. They aren't alone of course in factually paying much less than public statements or investors 10-K's claim. A whole lotta corporations do it.
Apple is reporting their tax liability CORRECTLY. Its according to GAAP and part of the calculation includes taxes that would result from repatriating funds from another country. That is the correct way to account for it. Its called ACCRUAL accounting.
IMO, US Corporations should not even be paying taxes at all. All the taxes should be paid by SHAREHOLDERS. Why should a corporation pay tax on profits. And then the SHAREHOLDERS pay taxes on dividends. Double Taxation. Its ridiculous. All this leads to is more expensive product and government waste.
Both Chevron and Exxon say they're paying more in taxes than Apple does.
Apple is reporting their tax liability CORRECTLY. Its according to GAAP and part of the calculation includes taxes that would result from repatriating funds from another country. That is the correct way to account for it. Its called ACCRUAL accounting
Yeah I know what accual accounting is. I've used it for two of the three companies I set up.
Still it remains that most folks including AI readers read "paid" x-number taxes as they actually really, well... PAID them just like they themselves paid their own taxes and not that they might pay them one day if nothing changes.
IMO, US Corporations should not even be paying taxes at all. All the taxes should be paid by SHAREHOLDERS. Why should a corporation pay tax on profits. And then the SHAREHOLDERS pay taxes on dividends. Double Taxation. Its ridiculous.
Because shareholders also earn from stock appreciation, not just dividends? Because shareholders might be foreign nationals who pay little or no tax on those dividends? Also because profit can be invested overseas, not benefitting the host nation, or divested in options for employees which are taxed at a lower rate than income?
Multiple reasons.
What exactly is wrong with double taxation if total taxation ends up at a reasonable rate of taxation in comparison to other rates?
Dense? Hardly! The insult makes you look a bit silly considering the facts.
From the first paragraph:
"Apple's forthcoming "global command center" for its online operations in Mesa, Ariz., could be the beneficiary of up to 20 years' worth of tax breaks, thanks to new rules proposed by the state legislature."
Apple was already committed. They weren't going to Texas and do not need another tax break to convince them to stay.
They were committed by a Sapphire foundry, which no longer exists.
As compared to consevative math that would have you believe that eliminating all taxes will result in infinite tax revenues and everyone becoming billionaires. The diverging middle class and 1% since Reaganonimics took hold has proven that wrong beyond a shadow of a doubt.
IMO, US Corporations should not even be paying taxes at all. All the taxes should be paid by SHAREHOLDERS. Why should a corporation pay tax on profits. And then the SHAREHOLDERS pay taxes on dividends. Double Taxation. Its ridiculous. All this leads to is more expensive product and government waste.
Because "corporations are people too, my friend." I am taxed on the money I earn (but don't get to deduct all my "living" expenses like corporations do). When I pass that money on to another person, they are taxed on their income. You act like money should have a tracking device attached. If money is taxed once, all subsequent uses are tax free. Good luck with that system.
Like I said earlier. As an Apple shareholder, I appreciate their tax expertise. As an intelligent taxpayer, I realize that tax breaks for someone else must be made up by those not getting the same break. Someone has to pay for all those wars the USA fights.
Exactly and the exact same reason the US should allow Apple to repatriate overseas profits at a far lower tax level than currently legislated.
The offer is 17%. Multinational conglomerations have screwed the country out of trillions and you want them to get below sales tax at 5%: what they want.
The offer is 17%. Multinational conglomerations have screwed the country out of trillions and you want them to get below sales tax at 5%: what they want.
It will never happen.
No one has been "screwed" out of anything. Why do you believe you're entitled to the profits of others? By that logic, if you make more money than me, even by $1.00, then you "owe" me!
Tax breaks. The real reason Apple is wasting money on expensive, unreliable, inefficient "green" energy.
True. If a technology is uncompetitive, it may either be that it's not the right technology for the times or there may not be enough competition. Subsidies are like bailouts, both result in malinvestment.
The offer is 17%. Multinational conglomerations have screwed the country out of trillions and you want them to get below sales tax at 5%: what they want.
It will never happen.
If Apple did not exist, the US economy would be worse off, not better. So they haven't "screwed" the country out of anything. Personally, I'd prefer that $$ stay in Apple's hands, as I think it would go to the best use that way.
No one has been "screwed" out of anything. Why do you believe you're entitled to the profits of others? By that logic, if you make more money than me, even by $1.00, then you "owe" me!
He'll owe tax on that dollar that you don't owe. That's how tax works.
Comments
EDIT: Note that what Apple says it may technically have computed as it's Federal income tax obligation is not what they actually pay. For instance Apple publicly claimed to have paid nearly $7 billion in Federal taxes in 2011, going on to claim they were the country's largest taxpayer. But how much did they actually pay the IRS? A few billion less than that, just $2.5 billion. They aren't alone of course in factually paying much less than public statements or investors 10-K's claim. A whole lotta corporations do it.
For details see this document, page 39 to be exact.
http://im.ft-static.com/content/images/ab635df2-c18c-11e2-b93b-00144feab7de.pdf
Yeah I know what accual accounting is. I've used it for two of the three companies I set up.
Still it remains that most folks including AI readers read "paid" x-number taxes as they actually really, well... PAID them just like they themselves paid their own taxes and not that they might pay them one day if nothing changes.
Multiple reasons.
What exactly is wrong with double taxation if total taxation ends up at a reasonable rate of taxation in comparison to other rates?
Dense? Hardly! The insult makes you look a bit silly considering the facts.
From the first paragraph:
"Apple's forthcoming "global command center" for its online operations in Mesa, Ariz., could be the beneficiary of up to 20 years' worth of tax breaks, thanks to new rules proposed by the state legislature."
Apple was already committed. They weren't going to Texas and do not need another tax break to convince them to stay.
They were committed by a Sapphire foundry, which no longer exists.
As compared to consevative math that would have you believe that eliminating all taxes will result in infinite tax revenues and everyone becoming billionaires. The diverging middle class and 1% since Reaganonimics took hold has proven that wrong beyond a shadow of a doubt.
Because "corporations are people too, my friend." I am taxed on the money I earn (but don't get to deduct all my "living" expenses like corporations do). When I pass that money on to another person, they are taxed on their income. You act like money should have a tracking device attached. If money is taxed once, all subsequent uses are tax free. Good luck with that system.
Like I said earlier. As an Apple shareholder, I appreciate their tax expertise. As an intelligent taxpayer, I realize that tax breaks for someone else must be made up by those not getting the same break. Someone has to pay for all those wars the USA fights.
Exactly and the exact same reason the US should allow Apple to repatriate overseas profits at a far lower tax level than currently legislated.
Perhaps you missed the story about Apple's huge solar project in Southern California.
The offer is 17%. Multinational conglomerations have screwed the country out of trillions and you want them to get below sales tax at 5%: what they want.
It will never happen.
Exactly and the exact same reason the US should allow Apple to repatriate overseas profits at a far lower tax level than currently legislated.
See the Rand Paul plan.
The offer is 17%. Multinational conglomerations have screwed the country out of trillions and you want them to get below sales tax at 5%: what they want.
It will never happen.
No one has been "screwed" out of anything. Why do you believe you're entitled to the profits of others? By that logic, if you make more money than me, even by $1.00, then you "owe" me!
Tax breaks. The real reason Apple is wasting money on expensive, unreliable, inefficient "green" energy.
Tax breaks. The real reason Apple is wasting money on expensive, unreliable, inefficient "green" energy.
True. If a technology is uncompetitive, it may either be that it's not the right technology for the times or there may not be enough competition. Subsidies are like bailouts, both result in malinvestment.
The offer is 17%. Multinational conglomerations have screwed the country out of trillions and you want them to get below sales tax at 5%: what they want.
It will never happen.
If Apple did not exist, the US economy would be worse off, not better. So they haven't "screwed" the country out of anything. Personally, I'd prefer that $$ stay in Apple's hands, as I think it would go to the best use that way.
No one has been "screwed" out of anything. Why do you believe you're entitled to the profits of others? By that logic, if you make more money than me, even by $1.00, then you "owe" me!
He'll owe tax on that dollar that you don't owe. That's how tax works.
Tax breaks. The real reason Apple is wasting money on expensive, unreliable, inefficient "green" energy.
Spend a billion to save a few million?
Why not simply don't spend a billion plus the few million?
Because it's not about saving money.
Because it's not about saving money.
Yes, I know.
However, that’s what MacTac said...