“Stop tax inversion by American corporations” is the latest war cry of American socialists. Obama is infuriated that U.S. corporations want to be American no more and is going to stop it.
Tax inversion is a method whereby a U.S. multinational company takes over a foreign company and creates a new corporate entity that the U.S. “tax inversion” uses to leave U.S. tax jurisdiction (the newly created company re-incorporates overseas). With a single takeover the U.S. corporation is no longer American — it might be British or Irish and subsequently pay a much lower rate of tax.
There's something really weird about the economic message President Obama put forward today. He talked about how we've already had a lot of deficit reduction and we need to shift our focus to creating jobs and strengthening the middle class.
WASHINGTON: A European Commission order requiring Apple Inc to pay Ireland $13 billion euros ($14.5 billion) in unpaid taxes on Tuesday drew swift rebukes from the Obama administration and lawmakers in Congress, while reigniting calls for US tax reform. The White House and the Treasury Department, which enforces federal tax policy, warned that US-EU economic relations could be affected by the European Commission's ruling that Apple had received illegal state aid under its agreement with Ireland. Business groups protested.
WASHINGTON (Reuters) - President Barack Obama will propose a "grand bargain for middle-class jobs" on Tuesday that would cut the U.S. corporate tax rate and use billions in revenues generated by a business tax overhaul to fund projects aimed at creating jobs.
The U.S. government is driving some of its most productive citizens abroad. The only beneficiaries are countries such as Singapore and Switzerland, which offer sanctuary to Americans fleeing avaricious Uncle Sam.
Three years ago Eduardo Saverin, one of Facebook’s founders, joined 1,780 other Americans in renouncing their citizenship. Saverin’s case was particularly striking: Born in Brazil, he only gained U.S. citizenship in 1998. But heading overseas allowed him to reduce the federal government’s take when his company went public.
Hillary Clinton has announced that she will make a second run at the White House, ending months of all-but-certain speculation and cementing her position as the frontrunner for the Democratic nomination in 2016.
While the former first lady, senator and Secretary of State is perhaps best known for her record on foreign policy and social issues, Clinton has made it clear that her economic agenda will be front and centre during this campaign. And if recent remarks are any indication, that agenda could include proposals intended to bolster new and small businesses.
Economic refugees have traditionally lined up to get into America. Lately, they have been lining up to leave. In the past few months, half a dozen biggish companies have announced plans to merge with foreign partners and in the process move their corporate homes abroad.