Prove it. I think companies like being in the US because of the sophisticated capital markets, strong and predictable legal environment, and deep pockets of American consumers. I'd like some evidence instead of hyperbole.
I’m not a tax expert but IME the people who are blaming Apple don’t know what they’re talking about. Only the US has such an insane attitude towards international profits.
And remember that there’s no loophole to close, unless the “loophole” is deciding what to do with your capital. Who is the US to tell Apple that its foreign subsidiaries must return their foreign-made profits back to the US?
Also remember that with our current laws, repatriating the money before a tax holiday is arguably a violation of Apple’s fiduciary duty to its shareholders.
Maybe repeating a string of specious arguments that have already been debunked or refuted elsewhere in the thread isn't the best approach for your brand-new HN account.
I admit I haven't provided much in the way of evidence. However we're talking about a complicated tax situation so it's hard to stick to the concrete.
Do you agree that the only way to "close the loophole" is to force companies to repatriate their earnings? I don't see another way to address it.
Right now the issue is that iff Apple repatriates its money, it must pay taxes. So Apple has been fulfilling their fiduciary obligations by opting not to repatriate (which would destroy 30%+ of the value, I don't know the actual number but I believe I am being conservative), instead choosing to take on cheap debt domestically to fund share repurchases.
Thus I don't see a "solution" to the "loophole" (obviously I don't believe it's a loophole because it's the law) that doesn't involve forced repatriation.
If there's something wrong with what I've said or something I haven't considered, I'm all ears.
They're looking for ways to close some of these loopholes that are keeping a ton of tax money out of the coffers belonging to We the People.
Please don't conflate "closing tax loopholes" with "making it illegal to operate internationally".
The "loophole" as far as I can tell is that a company can choose not to repatriate their earnings, which is completely legal.
Are you walking that back, and want to talk about loopholes now?
I do want to talk about loopholes. How do we close the "repatriation loophole"?
For obvious reasons, no other developed country in the world has a corporate tax system like the US. We should try to reform it, not make it worse.
A lower repatriation rate seems like a good idea to get money back into the US for local spending as well as collecting a bit in taxes.