When the facts change, I change my mind. What do you do? -- John Maynard Keynes

Monday, January 28, 2013

This is why there is no tax reform

Tax reform is acknowledged as a priority need by almost everyone but nothing is getting done--in Washington or  elsewhere. Wonder why? Well the most powerful corporations have a great deal right now paying only about 2% tax rate (see below)--why would Apple et al want tax reform where they might have to pay their fair share? There are plenty of lobbyists and lawyers paid by big corporations to block true reform from ever taking place in Washington. Here's an excerpt of just one of many stories--

Apple Is Hiding Billions Of Dollars From The IRS - Business Insider: " . . . Technology giant Apple shuttled $11bn (£7bn) into offshore tax havens in the fourth quarter of 2012, an analysis of its corporate filings has revealed. The iPad maker has slashed its tax bill by paying less than 2pc on its overseas profits, as it moves money through offshoots in low-tax countries such as the British Virgin Islands. Apple's completely legal tax avoidance strategies bring the total the company has sheltered from the US tax authorities to $94bn, according to a Sunday Times analysis. Corporation tax on Apple's overseas operations amount to just 1.9pc of profits, compared with a tax rate of up to 24pc in the UK and 35pc in the US. Apple is estimated to have avoided more than £550m in tax in Britain in 2011. Its latest accounts show UK turnover at just over £1bn and profit at £81.3m, generating a tax bill of £14.4m.

Read more: http://www.businessinsider.com/apple-is-hiding-billions-of-dollars-from-the-irs-2013-1#ixzz2JDMJHpv7


The Big Picture

Financial Crisis - The Telegraph

JohnTheCrowd.com | The Sailing Website

Craig Newmark - craigconnects