Untaxed U.S. corporate profits held overseas top $2.1 trillion: study

[Sallow]

Just unreal..

WASHINGTON (Reuters) - Foreign profits held overseas by U.S. corporations to avoid taxes at home nearly doubled from 2008 to 2013 to top $2.1 trillion, said a private research firm's report, prompting a call for reform by the Senate's top tax law writer.

"The new numbers ... certainly highlight what is one of the key challenges for tax reform. I do think there need to be some reforms in this area," Senate Finance Committee Chairman Ron Wyden told reporters on Tuesday on Capitol Hill.

Under U.S. law, corporations do not have to pay income tax on most of their overseas profits until they are brought into the United States. These earnings can be held offshore for years if they are classified as indefinitely invested abroad.

Research firm Audit Analytics said in a report issued last week that the total of such earnings was up 93 percent from 2008 to 2013, citing federal financial filings for companies listed in the Russell 1000 index of U.S. corporations.

Conglomerate General Electric Co had the biggest pile of earnings stored abroad, at $110 billion, the firm said.

Next were software maker Microsoft Corp, with $76.4 billion; drugmakers Pfizer Inc, with $69 billion, and Merck & Co Inc, with $57.1 billion; and high-tech group Apple Inc, with $54.4 billion, it said.

In response, GE said in a statement: "GE operates in more than 170 countries, and most of these overseas earnings have been reinvested in active business operations like manufacturing facilities and loans to non-U.S. customers."

Microsoft, Merck and Pfizer were not immediately available for comment. Apple did not respond to requests for comment.

BAUCUS AND WYDEN

Congress has quarreled for years over the law that lets multinationals stash profits abroad tax-free. Some favor killing the law - known as offshore corporate income tax deferral - and some back a one-time tax holiday that would let companies bring foreign profits home, or "repatriate" them, at a low tax rate.

Debate over offshore deferral flared again in November when Wyden's predecessor as finance committee chairman, former Democratic Senator Max Baucus, proposed doing both. Baucus resigned weeks later to become U.S. ambassador to China.

Wyden in the past has called for repeal of offshore deferral, along with a repatriation holiday, among other changes to the tax code, which he last month called "a rotten carcass that the special interests feast on."Untaxed U.S. corporate profits held overseas top $2.1 trillion: study

Time to get rid of both.

 

[TemplarKormac]

Simple. Stop being so harsh on profit like you liberals naturally are, and perhaps people won't resort to such underhanded tactics to evade our tax code. It's ironic this spike in overseas profit comes under Obama's term in office. It's quite interesting really.

But I couldn't help but notice something else. You chastise the rich for being rich and greedy, yet demand that the minimum wage be raised again and again, almost endlessly. I call that greed, not benevolence. Profit is attacked, not encouraged. This behavior is the doing of an overbearing liberalized government.

 

[Politico]

Good for them.

 

[Billo_Really]

Just unreal..


Time to get rid of both.

Absolutely!

 

[Claudette]

Thats easy.

The Clowns in Congress simply need to change the law that allow it.

Oh and notice GE is the biggest company taking advantage of the law.

Kinda sorta Immelt the head of GE was Barry's good buddy?? In fact he's the Tzar of jobs? What a joke.

 

[zeke]

Simple. Stop being so harsh on profit like you liberals naturally are, and perhaps people won't resort to such underhanded tactics to evade our tax code. It's ironic this spike in overseas profit comes under Obama's term in office. It's quite interesting really.

But I couldn't help but notice something else. You chastise the rich for being rich and greedy, yet demand that the minimum wage be raised again and again, almost endlessly. I call that greed, not benevolence. Profit is attacked, not encouraged. This behavior is the doing of an overbearing liberalized government.

You find it ironic that international companies have found ways to make money in other economies around the world. While Obama is President. Where is the "ironic" part? In case you missed it, some countries have a pretty robust economy now. Think China.

And how fucking stupid are you to compare multi millionaires to minimum wage workers.
Dude, your hatred of the unfortunate and working poor has taken you off the deep end. Really. Greedy is defined in your world as wanting to work for 9 bucks an hour instead of 8. I guess we will just have to deal with their (working poor) greed.

 

[Sallow]

Simple. Stop being so harsh on profit like you liberals naturally are, and perhaps people won't resort to such underhanded tactics to evade our tax code. It's ironic this spike in overseas profit comes under Obama's term in office. It's quite interesting really.

But I couldn't help but notice something else. You chastise the rich for being rich and greedy, yet demand that the minimum wage be raised again and again, almost endlessly. I call that greed, not benevolence. Profit is attacked, not encouraged. This behavior is the doing of an overbearing liberalized government.

Harsh on profit?

WHAT?

Look around you.

This country has the most billionaires in the world.

And a VERY SMALL percentage of the population, around 1% controls 40% of this country's wealth.

Had it been "harsh" on profit that wouldn't be the case at all.

 

[Kosh]

More proof that the far left is disconnected from reality.

The far left latches onto anything they can and does not understand why they look like hypocrites doing it.

 

[Sallow]

Thats easy.

The Clowns in Congress simply need to change the law that allow it.

Oh and notice GE is the biggest company taking advantage of the law.

Kinda sorta Immelt the head of GE was Barry's good buddy?? In fact he's the Tzar of jobs? What a joke.

Immelt is a registered Republican.

Jeffrey R. Immelt - Wikipedia, the free encyclopedia

His appointment followed the tradition of what this administration has tried to do. Get both sides of the aisle and people who are experts in their fields involved in problem solving.

Even then, Immelt's regurgitated the "company" line of most American businesses involved in off shoring.

"Americans simply don't have the skills."

 

[occupied]

Best country in the world to be ultra wealthy and still they bitch and moan about taxes. Most of us do not have the option to hide our income from taxation, at least not for long, and if found out we get audits and fines yet here we have a bunch of middle class people cheering that the billionaires get out of taxes therefore placing more burden on us. Assholes need to just leave and buy their own country where they can be just as much like emperors as they can afford and quit fucking up our country with their selfish meddling in politics.

 

[Kosh]

So let us see GE is responsible for getting Obama elected in 2008 and they are the top of this list that some far left loon is complaining about.

This hypocrisy is absolutely priceless.

 

[Sallow]

So let us see GE is responsible for getting Obama elected in 2008 and they are the top of this list that some far left loon is complaining about.

This hypocrisy is absolutely priceless.

What lunacy.

 

[Kosh]

So let us see GE is responsible for getting Obama elected in 2008 and they are the top of this list that some far left loon is complaining about.

This hypocrisy is absolutely priceless.

What lunacy.

Says the far left Obama drone.

 

[Mac1958]

.

Drop corporate tax rates to 10% with a 5% minimum.

Reverse the current hostile anti-business environment.

You'll see that money repatriated and new foreign capital flood in.

But our Great & Glorious Leaders In Central Planning say we can't have that.

.

 

[editec]

.

Drop corporate tax rates to 10% with a 5% minimum.

Reverse the current hostile anti-business environment.

You'll see that money repatriated and new foreign capital flood in.

But our Great & Glorious Leaders In Central Planning say we can't have that.

.

No you won't.

 

[Gadawg73]

And rising which is a good thing.
I hide my money from thieves also.

 

[Sallow]

.

Drop corporate tax rates to 10% with a 5% minimum.

Reverse the current hostile anti-business environment.

You'll see that money repatriated and new foreign capital flood in.

But our Great & Glorious Leaders In Central Planning say we can't have that.

.

I'd be in favor of that if the following happened.

-All government contracts were cancelled. Government would manufacture, build and provide services without private industry involved.

-All government services provided to private corporations would be on a fee basis. Which would mean they would have to pay a fee to use the courts, roads, bridges and other services.

-Corporations would lose their "people" status. They would no longer be able to make donations.

-The financial sector would be wholly responsible for backing accounts. Corporate executives would be criminally liable for loss.

-There would no longer be "limited liability" protection involved. Corporate executive would be both criminally and financial responsible for corporate wrong doing.

-Patents and copyrights would be limited to 5 years.

 

[Gadawg73]

Imagine the job growth if this nation would abandon confiscatory tax policy as that money comes home yesterday if it would not be stolen by politicians to grow the moocher class.
The liberal is a dumb ass on fiscal issues.
NO TAX INCREASE EVER works as ALL folks have to do is invest their money in things that are exempt from taxation or leave their profits overseas in those companies.
But the dumb masses eat it up when their heroes scream "tax the evil and greedy rich" and then wonder with their thumbs up their ass when they raise taxes and revenues drop as people and their money leave.

 

[Gadawg73]

.

Drop corporate tax rates to 10% with a 5% minimum.

Reverse the current hostile anti-business environment.

You'll see that money repatriated and new foreign capital flood in.

But our Great & Glorious Leaders In Central Planning say we can't have that.

.

I'd be in favor of that if the following happened.

-All government contracts were cancelled. Government would manufacture, build and provide services without private industry involved.

-All government services provided to private corporations would be on a fee basis. Which would mean they would have to pay a fee to use the courts, roads, bridges and other services.

-Corporations would lose their "people" status. They would no longer be able to make donations.

-The financial sector would be wholly responsible for backing accounts. Corporate executives would be criminally liable for loss.

-There would no longer be "limited liability" protection involved. Corporate executive would be both criminally and financial responsible for corporate wrong doing.

-Patents and copyrights would be limited to 5 years.

You are out of your fucking mind.
If a company does not make a profit you want to imprison their executives?
You haven't a clue about business.
You want government to start a manufacturing business(es) from scratch?

 

[WinterBorn]

Why is there an assumption that all profits made by US companies should be filtered thru the coffers of the federal gov't?

Yes, those companies made money. So? Why do some people assume it is either paid to Uncle Sam or they are doing something wrong?