They are producing a product at China and selling it to Turkey.. They are perfectly paying to those who contributed to the product R&D and Design in USA and paying their taxes in USA as well.. So, please tell me, where is it not ethical???
the products that they are producing are 'designed in california' by engineers working here. they are making their money selling the products that are based on their intellectual property. just ask samsung how much apple values its intellectual property. the people that facilitated those creations are enjoying the benefits of the united states. seems to me that there should be some obligation towards bringing that money back. the fact that they have to go through so many shenanigans to minimize their taxes here and elsewhere seems to me to be less than ideally ethical.
further, there is the recent story of them reclassifying their new facility in arizona as international for tax purposes (I'm not an expert on all of the details, sorry if I get some specifics wrong). now this is an
american company (aapl) doing work
on american soil (mesa, arizona) with presumably
american workers building products and technologies (sapphire screens) that will presumably be
solid in the united states yet they lobbied for a tax break by somehow arguing that they were international. how is this? the justification for the decision is that what
corporate taxes the local government loses from the international reclassification will be more than made up for by the
personal taxes on the influx of people and work that this new facility will bring. but the flaw in that argument is that those benefits would be realized regardless of the tax breaks aapl sees. the only caveat is that without those tax benefits for aapl, they would threaten not to open the facility there (and likely follow through on the threat, and go find someone else who will give them the tax benefits). so not only is aapl using its position as a large corporation to threaten the local government, they are also leaving their employees to pay all the tax burden. again, seems less than ideally ethical. of course you can point to the fact that without the jobs the works wouldn't even have an income to pay tax on which is true and valid, but I am just saying that aapl's position seems less than ethical as they could (and I believe should) both pay the full corporate tax and still open the facility.
That would be a very, very bad move. Besides, why should a multinational corporation pay all of its taxes to the US? Probably some tax dodging going on, but if they had to pay corporate tax at the rate of whatever country the HQ happens to be in, they would most likely move HQ.
the flaw in that logic is that the people doing the work were living here when they did do the work. the HQ was here. if they are not happy with it then, going forward, they can move, but will all of the people move? maybe some. almost certainly not all. either way, the past work was done here and should be recognized as such up until the point that they are no longer here. and what about the infrastructure? they have a nice facility here. will they be able to build that elsewhere? how long will it take? further, once they move they will have to pay import taxes when they bring their products back here. will customers be willing to pay the higher prices associated or will they start looking at alternatives? it just isn't as easy booking a flight to the caribbean and opening shop.
they are not paying
all of their taxes to the united states, they are just paying the corporate repatriation tax. now you can argue that the details of that tax are not appropriate or other reasons why that tax is bad (and I have nothing to say about that. I am an engineer not a businessman or a politician and have no understanding of the implications of the tax law) but it is the current way things are done. is this an ethical concern? depends on your definition of ethics and so it might not apply in Tim's mind to his little announcement that he made.