Breitbart: The Trump Administration has proposed a foreign profits tax for large companies in their new tax plan, garnering criticism from lobbyists.
“To prevent companies from shifting profits to tax havens, the framework includes rules to protect the U.S. tax base by taxing at a reduced rate and on a global basis the foreign profits of U.S. multinational corporations,” the plan states.
In a report, Bloomberg explained that though the “rate and formula aren’t specified,” that “lone sentence carries multi billion-dollar implications for multinationals,” and “their lobbyists are noticing.”
Among them is the Federal Policy Group’s Ken Kies, who called the new proposed tax “appalling,” and has clients ranging from General Electric to Microsoft.
“The whole point of this tax reform was to make U.S. corporations more competitive,” he claimed. “It’s going to do the opposite.”
Despite this, Bloomberg explains, “It’s not all bad news for multinationals.”
NO!NO!NO! This is SO SO backwards! You’re supposed to LOWER the domestic corporate tax rate. And the few dollars you’d lose by lowering the tax rate, would be made up by all the offshore money coming back home!
W-T-F!!
A business professor years ago told about a guy he knew, CEO of a fairly large bank which a larger bank was trying to buy. He publicly denounced the offer, saying it wasn’t reasonable and so on. Eventually the purchase went through, and he remained as an executive with the bank that had purchased his. And he was very positive about his new employer and how the deal had gone. What happened? Simple – he was looking out for the interests of his investors, first with the smaller bank and then with the purchased bank. In other words when you hear public complaints it is often just posturing and an effort to tip the scales in your favor.
You cannot be a US corporation and a multinational corporations at the same time; so fuck you Microsnot, Apple, etc.
Allow companies to bring their money back home. That’s the better option.
Otherwise, what they could do is just own a company overseas but not in their name, but still control it and be able to spend all the money they wanted w/o having to pay taxes or remit any of it back to the U.S.
Corporations are people! And people don’t have to pay taxes on foreign income. So why should corporate people have to?