Disir
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- Sep 30, 2011
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Oregon enacted a bill last June for the 2014 tax year identifying 39 countries and territoriesincluding Barbados, Liberia, and the U.S. Virgin Islandsas corporate shelters. The state counts profits that corporations and their subsidiaries stash in shelter countries as taxable income, and companies that do business in the state must report it on their state tax returns and pay up. On April 16 the Democrat-controlled Maine legislature gave final approval to similar legislation, over objections from some Republicans that its anti-business. Minnesota and Rhode Island are studying whether to pursue bills of their own. The issue at hand is one of fairness, Maine Representative Adam Goode, a Democrat from Bangor, said during the debate on the bill he sponsored. It really just seemed not in balance, not smart, and not fair that we would allow multinational corporations to hide their corporate income in a place like the Cayman Islands or in Bermuda.
Offshore tax shelters cost the federal government $30 billion to $90 billion annually, according to a 2013 Congressional Research Service report. The U.S. Public Interest Research Group, which tracks corporate taxes, puts the amount that states lose at $20 billion a year. The largest U.S.-based multinational companies have accumulated $1.95 trillion in profits outside the U.S. Thats up $206 billion, or 11.8 percent, from a year earlier, according to securities filings from 307 corporations.
U.S. States Target Corporate Tax Shelters Overseas - Businessweek
Good deal!