The TCJA (Tax Cuts and Jobs Act of 2017) Saved Apple Approximately $60 Billion in Owed Taxes

In order to convince US corporations who had stockpiled profits overseas to avoid US taxes on those profits, the TCJA gave those corporations a big gift. Rather than pay a 35% tax rate, the rate on corporate profits before the TCJA, these huge multinational corporations only had to pay a 15% tax rate on cash stored overseas, and only 8% on non-cash assets stored overseas. These assets were not brought back into the US before 2017 solely to avoid US taxes.

As a result of the UCJA, Apple Corporation, for example, was able to repatriate about $285 billion in profits held overseas. It paid about $38 billion in taxes. Had it paid taxes at the 35% tax rate, it would have had to pay about $99 billion. A +/- $60 billion gift to Apple, which enabled it to build a new campus in Cupertino, CA raising rents throughout the region, and it was also able to buy back huge amounts of Apple stock, increasing the stock price for the rich cats who could afford to own Apple stock.

A wonderful gift from all of you poor schnooks who pay US taxes on income to the richest Americans. Thank the Republicans!

https://www.taxpolicycenter.org/briefing-book/what-tcja-repatriation-tax-and-how-does-it-work

https://www.nytimes.com/2018/01/17/technology/apple-tax-bill-repatriate-cash.html

Comments

  • edited February 10
    So you are saddened taxes are lowered and as a result a new campus is built in California? People enjoy more jobs with better wages too in such vibrant economy!

    Modern leftists are Marxists who hate wealth. That's why Marxist Bernie Sanders is winning the previous caucuses. Democrats only want to raise taxes and control our lives...in essence, Democrat policies take away our freedoms. They hate capitalism because they are socialists.
  • Good God Almighty, you are really smart, Zero. Forgive me for doubting your intelligence. One smart motherf**ker you are. You must be one of those rich fat cats who profited off the backs of ordinary American taxpayers who owns Apple stock. How much Apple do you own, smart person? Maybe you can find a job at Apple cleaning toilets. You will only have to travel three hours each way to and from work to be able to find a place to live you can afford. WAPOS
  • When a company does well, dividend rises thus demand for their stocks rises with their prices. Basic economics are ignored by envious socialists, who hate those who become wealthy.
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