Tim Cook says Apple won't repatriate money to US 'until there's a fair rate'

The corporate tax is fair?

No the corporate tax is at 40% with an additional tax for your individual taxes in your own bracket when you collect the profits. So almost half the money is immediately claimed by the gubbernment and then they tax you again for daring to claim what you made.

Wake up people! People go into business to make money, not throw it away. So if Ireland for example is giving a tax rate of say 15% in order to attract revenue and businesses, why would a company NOT go there and abandon a country with a 40% tax rate. I just wish I could do the same with a small business.

originally posted by: UKTruth
This is basically an endorsement of Trump.
It's not rocket science. If taxes are low for business then everyone wins.
I can never quite understand why people let jealousy of the rich cloud their judgement and seem to prefer punishment for the rich even if it means they are worse off themselves.

No it's not. Overseas taxes are all about moving money in when the cost to doing so is at it's least. If the rate is 15%, but you think you can lobby for a temporary rate of 5% you're going to keep the money overseas. Similarly, if the rate is 35% and a holiday of 25% is enacted, you're going to bring it over at 25%. If no holiday is going to happen in the time frame you need the money, then you'll do it at 35%.

originally posted by: JIMC5499
When are people going to learn? Corporations do NOT pay taxes. When the corporate tax rate increases, the price of goods and services increase to offset the amount that the corporation has to pay. All costs are borne by the consumer.

If you lower the tax rate on business, then you're in essence getting fewer taxes from the citizens. Yet the bill still needs to be paid. This in turn brings about tax increases.

Are you in favor of just moving everything directly to an income tax and getting rid of corporate taxes? It wouldn't bother me one bit, that's essentially what we already have... some people really hate income taxes though.

originally posted by: musicismagic
Taxes are fair for the common man

My sides just passed Mars and are rapidly heading towards Jupiter.

originally posted by: JIMC5499
When are people going to learn? Corporations do NOT pay taxes. When the corporate tax rate increases, the price of goods and services increase to offset the amount that the corporation has to pay. All costs are borne by the consumer.

It would be very silly thing for people to learn as it's not true. The proportion of how much of, if any, of a tax increase are passed on to the customer varies, however there will be almost no circumstance where the entire increase is passed on.

a reply to: ScepticScot

Very true, most often the corporations have to cut back on spending in order to cover the new tax burden, which most often involves lay offs.

a reply to: UKTruth

Good lord you're endorsing trickle down economics. How out of touch with reality are you?

originally posted by: JDeLattre89
a reply to: ScepticScot

Very true, most often the corporations have to cut back on spending in order to cover the new tax burden, which most often involves lay offs.

If the employee is profitable, then taxes don't matter. You don't cut back on profit because you're suddenly making less profit. You only cut back on spending if that spending wasn't profitable in the first place, and when that's the situation the cutback would have happened eventually anyways.

a reply to: Aazadan

Ok, i apologise but I understood zero of what you just said.

originally posted by: JDeLattre89
a reply to: Aazadan

Ok, i apologise but I understood zero of what you just said.

If an employee generates $100/hour for a company, is being paid $25/hour, then the company is paying an additional $25/hour in taxes for $50/hour total, they're not going to stop paying for that employee if it suddenly starts costing them $75/hour instead. Cutting the employee means -$100/hour, while paying the tax means +$25/hour.

It may slow the rate at which they add new jobs because margins are slimmer, but it doesn't create layoffs unless that position was already a candidate for a layoff.

originally posted by: Blazemore2000
a reply to: UKTruth

Good lord you're endorsing trickle down economics. How out of touch with reality are you?

I tend not to apply broad labels and catch phrases to economics. That's for the foolish who don't understand and those that are too lazy to think beyond the broad brushes.
I do know that bloated govts taking care of people will never lead to a prosperous middle class, rather it destroys opportunity and actually creates a greater division between the have's and the have nots.

In terms of reality, I see a stagnant economy with only the rich getting richer right now. Which reality are you living in?

originally posted by: UKTruth
This is basically an endorsement of Trump.
It's not rocket science. If taxes are low for business then everyone wins.
I can never quite understand why people let jealousy of the rich cloud their judgement and seem to prefer punishment for the rich even if it means they are worse off themselves.

Taxes can be zero and if overseas cheap labor still makes them more profits, guess what? They are still going to use cheaper labor overseas.

The biggest problem I have with this arrangement though is the global military welfare they receive and do not want to pay for it. I say all countries should pull their military back to border protection only and let the chips fall where they may.

Tim Cook can break out his wallet and pay for the trillions spent for global military

a reply to: UKTruth

If taxes are low for business then everyone wins.

Only in fantasy land. Here in America it means bigger dividends for the share holders and the employees and consumers get the shaft.

originally posted by: Aazadan

originally posted by: JIMC5499
When are people going to learn? Corporations do NOT pay taxes. When the corporate tax rate increases, the price of goods and services increase to offset the amount that the corporation has to pay. All costs are borne by the consumer.

If you lower the tax rate on business, then you're in essence getting fewer taxes from the citizens. Yet the bill still needs to be paid. This in turn brings about tax increases.

Not at personal percentage level. That would only be true if all other variables remain static, which of course is not the goal of lowering corporate taxes. The goal is to get more people into proper jobs (not the kind of jobs Obama has created that keep people in poverty whilst they work for peanuts). Better and more jobs means more income tax overall, whilst keeping rates low at the individual level.

originally posted by: JIMC5499
When are people going to learn? Corporations do NOT pay taxes. When the corporate tax rate increases, the price of goods and services increase to offset the amount that the corporation has to pay. All costs are borne by the consumer.

It is part of the socialize losses and privatize the profits kind of thing isnt it?
It costs apple 200 bucks with labor to make an Iphone in China while they sell it for 650 bucks in the USA

Where did the 450 bucks go? Ever look at Apple stocks and there is your answer.
They pass the costs on to the consumers and the profits onto the shareholders.

originally posted by: buster2010
a reply to: UKTruth

If taxes are low for business then everyone wins.

Only in fantasy land. Here in America it means bigger dividends for the share holders and the employees and consumers get the shaft.

Dividends have zero to do with it.
If everyone gets richer then who cares if the rich get even richer too?
What would you rather have:

1) an extra $3000 a year for you and an extra $100k a year for a business owner OR
2) nothing for you (or maybe even less than you have now) and business owners paying more

It seems the people who hate the idea of more talented and harder working people achieving more than themselves gravitate to option 2.

Likewise, if it is the consumers that pay the corporate tax, then it is also the consumer that is paying for Corporate Lobbying and we need to find a way to have that come out of shareholder and exec pay instead.


www.opensecrets.org...

Top Lobbying Industries

Pharmaceuticals/Health Products $3,146,090,212
Insurance $2,190,651,832
Electric Utilities $2,013,127,133
Electronics Mfg & Equip $1,823,347,451
Business Associations $1,811,811,643
Oil & Gas $1,715,405,541
Misc Manufacturing & Distributing $1,416,425,661
Education $1,399,862,870
Hospitals/Nursing Homes $1,310,021,801
Telecom Services $1,271,840,866
Securities & Investment $1,264,774,284
Civil Servants/Public Officials $1,216,181,432
Real Estate $1,215,135,758
Health Professionals $1,189,983,794
Air Transport $1,125,384,003
Misc Issues $929,225,311
Automotive $891,793,138
Defense Aerospace $887,354,553
Health Services/HMOs $863,410,051
TV/Movies/Music $851,379,595

a reply to: UKTruth

lol you can try to deny that's what you're endorsing all you like. The only one who doesn't see it is you. Enjoy your delusions I guess.

originally posted by: seasonal
Hint: the corporations keep the money.

Only because the single strongest entity in the economic structure stopped caring.

As long as the consumer fails to understand and utilize their place in the economic structure, it will continue to be that way.

originally posted by: jacobe001
Likewise, if it is the consumers that pay the corporate tax, then it is also the consumer that is paying for Corporate Lobbying and we need to find a way to have that come out of shareholder and exec pay instead.

That still, ultimately, comes from the consumer.

The only way to end corporate lobbying is to end all political lobbying. I don't really know if that is good or bad, in the grand scheme of things.