TCJA: Apple repatriating cash and pumping it into US economy

[John V]

[vorlon13]

[Fireball]

Cheeto von Tweeto will claim credit in 3....2....1...

[BrianSoddingBoru4]

https://www.cnbc.com/2018/01/17/apple-an...years.html

• Apple says the new tax law will help it will contribute $350 billion to the U.S. economy over the next five years.
  
  
• It says it will create 20,000 new jobs and open a new campus.
  
  
• Apple expects to pay about $38 billion in taxes for the horde of cash it plans to bring back to the United States.
  

I'm no expert on US tax law, but aren't corporations supposed to be taxed at 21%? $38 billion out of $350 billion is less than 11%.

Boru

[The Grand Nudger]

Maybe they're working out a sweetheart deal before they move all their money from shady not-american memory holes.  Or maybe they're just waiting for the US to turn into one.

[John V]

Cheeto von Tweeto will claim credit in 3....2....1...

The new tax plan is the cause.

[The Grand Nudger]

You mean, "the cause" like it was with all that walmart greatness?

[John V]

I'm no expert on US tax law, but aren't corporations supposed to be taxed at 21%? $38 billion out of $350 billion is less than 11%.

It's 35% through 12.31.17, 21% beginning 1.1.18.

But, by keeping profits out of the country, US corps have been able to avoid taxation. Part of the TCJA is that corps will be taxed one time on their foreign profits, at a reduced rate and payable over 8 years. This will result in big tax collections and investment in US business. People calling the act corporate welfare just don't really understand the point.

[BrianSoddingBoru4]

I'm no expert on US tax law, but aren't corporations supposed to be taxed at 21%? $38 billion out of $350 billion is less than 11%.

It's 35% through 12.31.17, 21% beginning 1.1.18.

But, by keeping profits out of the country, US corps have been able to avoid taxation. Part of the TCJA is that corps will be taxed one time on their foreign profits, at a reduced rate and payable over 8 years. This will result in big tax collections and investment in US business. People calling the act corporate welfare just don't really understand the point.

Ok, so Apple is going to pay this $38 billion over eight years.  That works out to a little less than 5 billion per year, or (very roughly) $14.00 for every person living in the US.

Don't spend it all in one place.

Boru

[The Grand Nudger]

I don't think anyone is unclear as to the purpose of welfare, alpha.  

It's a handout for useless takers that we should absolutely cut asap..because incentivizing people with money only makes them lazy, unproductive dependents.