Almost nine years ago, Bristol Myers Squibb filed paperwork in Ireland to create a new offshore subsidiary. By moving Bristol Myers’s profits through the subsidiary, the American drugmaker could substantially reduce its U.S. tax bill. Years later, the Internal Revenue Service got wind of the arrangement, which it condemned as an “abusive” tax shelter. The…
Tag: corporate tax dodges
How FedEx Cut Its Tax Bill to $0 – The New York Times
In the 2017 fiscal year, FedEx owed more than $1.5 billion in taxes. The next year, it owed nothing. What changed was the Trump administration’s tax cut — for which the company had lobbied hard. The public face of its lobbying effort, which included a tax proposal of its own, was FedEx’s founder and chief…
Big businesses paying even less than expected under GOP tax law – POLITICO
Federal tax payments by big businesses are falling much faster than anticipated in the wake of Republicans’ tax cuts, providing ammunition to Democrats who are calling for corporate tax increases.The U.S. Treasury saw a 31 percent drop in corporate tax revenues last year, almost twice the decline official budget forecasters had predicted. Receipts were projected…
Google Uses Shell Companies, NDAs To Hide Its Tax Break Negotiations From Public
For years, Google has used anonymous LLCs to secure development deals and tax breaks with local officials, whom it then signs to broad nondisclosure agreements in an attempt to keep its role in negotiations secret for as long as possible, the Washington Post reports. The news comes days after Google announced a plan to spend $13B…
U.S. Companies Shelter 40 Percent Of Foreign Profits, Study Finds | HuffPost
The Trump tax cuts have had no real impact on any of the goals it was purportedly designed to achieve, including this one: Multinational companies based in the U.S. and elsewhere hide close to 40 percent of their foreign profits in overseas tax havens, according to a new study, and the massive U.S. corporate tax…
Corporate Tax Cuts Don’t Create Jobs, They Enrich CEOs | The Nation
Though congressional Republicans and the White House rarely see eye-to-eye these days, they are united on the idea that cutting corporate taxes will spur an hiring boom that will reach down to the ordinary worker. A new report from the Institute for Policy Studies shows this isn’t true. US companies are already paying minimal amounts…
US corporations have $1.4tn hidden in tax havens, claims Oxfam report | World news | The Guardian
US corporate giants such as Apple, Walmart and General Electric have stashed $1.4tn (£980bn) in tax havens, despite receiving trillions of dollars in taxpayer support, according to a report by anti-poverty charity Oxfam. Tax havens don’t need to be reformed. They should be outlawedRichard BrooksThe Panama Papers demonstrate that for all the fine words about…
Is This the End of the Rush to Inversions?
On Tuesday, drugmakers Pfizer and Allergan announced that the two companies terminated their $160 billion merger agreement. The deal would have moved US-based Pfizer’s headquarters to Ireland, where corporate tax rates are lower. New Treasury rules aimed at limiting corporate inversions were introduced just a day prior. https://w.graphiq.com/w/3kvOQlA8bQ1?data-uid=0aba9ffe5e&data-campaign=e4e609d4ea (chart courtesy of Graphiq) Alan Murray writes…
What Fires Anger in Grass Roots America?
What Fires Anger in Grass Roots America? January 28, 2016 Washington – If you want to see what fires the grass roots passion for Donald Trump and Bernie Sanders and the populist rebellion against the U.S corporate and political elite, take a look at the latest case of an American corporation’s gaming the system for handouts…
Pfizer and America’s Corporate Exodus – The New Yorker
James Surowiecki writes in the New Yorker about “inversions” — US companies moving their legal domiciles overseas for tax savings. Two features of American tax policy make inversions attractive: a relatively high corporate tax rate and what’s called a worldwide tax system—American corporations have to pay that tax rate on all their global income. That…
