Apple lobbies against tax hikes proposed in $3.5T economic package
A lobbying group representing the interests of Apple has joined a coalition of corporate titans and industry organizations in a concerted effort to derail portions of President Joe Biden's $3.5 trillion economic agenda.
The Business Roundtable, a group of U.S. business leaders that counts Apple CEO Tim Cook as a board member, is preparing to oppose corporate tax increases designed to fuel the Democratic spending initiative, reports The Washington Post.
Biden proposed a hike in corporate tax rates from 21% to 28%, while placing heftier burdens on profits earned overseas. Democratic lawmakers are hoping to push the laws through as a reconciliation bill, a procedure that allows Congress to pass legislation with a simple majority. Passage is not guaranteed by the 117th Congress, however, as Democrats enjoy only narrow control over both houses, a precarious position potentially vulnerable to intense lobbying.
Business Roundtable's concerns are part of a wider effort that targets key sections of Biden's budget plan. A "lobbying blitz" is being organized by the U.S. Chamber of Commerce, which seeks support from all corners to fight the economic package, including its cost, policy scope and tax demands, according to the report.
In a statement, Business Roundtable spokesperson Jessica Boulanger said the group is engaged in "a significant, multifaceted campaign" to fight tax increases, adding that it would "continue to ramp up our efforts in the coming weeks."
Organizations taking part in the strategy are expected to lean on traditional lawmaker lobbying as well as more modern maneuvering like advertising campaigns, sources told the publication. Companies and lobbying groups have committed to or are already running ads against the reconciliation package.
In addition to Business Roundtable, the RATE Coalition is also at odds with the Democrats' tax agenda. RATE Coalition includes members Disney, FedEx and Lockheed Martin. Broader opposition might also be mounted by the National Association of Manufacturers, a major advocacy group representing more than 14,000 members. NAM's board includes executives from Dow Inc., Exxon, Caterpillar and Johnson & Johnson. A parallel effort from the pharmaceuticals industry targets drug pricing proposals.
Guided by Biden's spending proposals, Democrats are crafting legislation that will expand Medicare coverage, combat climate change, increase access to education, introduce broad subsidies for low- and medium-income families and more.
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The Business Roundtable, a group of U.S. business leaders that counts Apple CEO Tim Cook as a board member, is preparing to oppose corporate tax increases designed to fuel the Democratic spending initiative, reports The Washington Post.
Biden proposed a hike in corporate tax rates from 21% to 28%, while placing heftier burdens on profits earned overseas. Democratic lawmakers are hoping to push the laws through as a reconciliation bill, a procedure that allows Congress to pass legislation with a simple majority. Passage is not guaranteed by the 117th Congress, however, as Democrats enjoy only narrow control over both houses, a precarious position potentially vulnerable to intense lobbying.
Business Roundtable's concerns are part of a wider effort that targets key sections of Biden's budget plan. A "lobbying blitz" is being organized by the U.S. Chamber of Commerce, which seeks support from all corners to fight the economic package, including its cost, policy scope and tax demands, according to the report.
In a statement, Business Roundtable spokesperson Jessica Boulanger said the group is engaged in "a significant, multifaceted campaign" to fight tax increases, adding that it would "continue to ramp up our efforts in the coming weeks."
Organizations taking part in the strategy are expected to lean on traditional lawmaker lobbying as well as more modern maneuvering like advertising campaigns, sources told the publication. Companies and lobbying groups have committed to or are already running ads against the reconciliation package.
In addition to Business Roundtable, the RATE Coalition is also at odds with the Democrats' tax agenda. RATE Coalition includes members Disney, FedEx and Lockheed Martin. Broader opposition might also be mounted by the National Association of Manufacturers, a major advocacy group representing more than 14,000 members. NAM's board includes executives from Dow Inc., Exxon, Caterpillar and Johnson & Johnson. A parallel effort from the pharmaceuticals industry targets drug pricing proposals.
Guided by Biden's spending proposals, Democrats are crafting legislation that will expand Medicare coverage, combat climate change, increase access to education, introduce broad subsidies for low- and medium-income families and more.
Read on AppleInsider
Comments
Thatcher had something to say about these kinds of people.
For those who think it's good idea that government owns and makes what people need, not what they want you would never have an iPhone.
One would think that they could afford to pay taxes. As would the corporation itself.
If you want to collect the most in taxes from corporations, the best way to do that would be to make sure all the profits are awarded to their top executives as bonuses, instead of being taxed at the corporate rate. Bonuses are considered salary and tax deductible from corporate revenue.
Say that a corporation was looking at reporting $100M in profit, but instead decided to award that $100M to their top executives as bonuses. Now the corporation will end up paying zero corporate tax and you will have a hissy fit over this. BUT, when the $100M was awarded as bonuses, it got taxed as salary. Thus, the government collected 37% Fed income tax (as most execs are probably in the top marginal tax bracket), $1.45% Medicare tax and maybe about 8% in State income tax (in CA it would be 13%). So out of the $100M, the government got at least $45M in taxes when it was awarded as bonuses vs $21M if it were taxed at the corporate rate. And this don't include the sales tax generated when the executives spends that money.
As someone that likes collecting more taxes from others, you should be jumping with joy, that Apple is paying their executives outrages amounts of millions of dollars annual compensation, instead of complaining about it. I guarantee you, the IRS is not complaining about it.
Apple pays over $40M a year in property taxes on just their "spaceship" HQ. Property taxes (and added bonds measures) pays for local police, fire and ambulance services, parks, public transportation, street lights, sewers, etc.. But most goes toward local education. I'm not aware that Apple is not paying property taxes on any of their properties. Be it vacant land or for an Apple Store. I'm not aware that Apple is getting resources like electricity or gas or water or garbage service, for free. Nor not have to pay the gasoline tax, that pays for road maintenance (or least that's what the gas tax is suppose to be for.), bridge tolls or auto registrations for company cars. Nor are they not paying a good salary to their well educated employees. (who in turn can afford to pay back any student loans they might have gotten.)
BTW, In 2020 61% of the citizen of this country did not pay any Federal income taxes, This mean that 39% of the balance of people and companies paid all the taxes that run the county. If you are talking about everyone paying their fair share, why aren't people complaining about the 61%, they also benefit from all the services the government provides.
in tandem with a tax overhaul there needs to be an audit of government waste.