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U.S. Senators Claim Apple Has Avoided Paying Billions in U.S. Income Taxes Ahead of Tim Cook Testimony

Well, this story is certainly getting more interesting! The UK government seemed to start it first with these major, it has to be said, American corporations avoiding paying tax by using all the loopholes they can.

I've only seen Google, Apple, Amazon and Starbucks, in fact Starbucks slapped insult on it all by 'offering' to pay some tax almost as a gift!

But I have read other massive corporations dodging the tax, in the UK our customs and excise have been quick to slap small and medium firms on their tax if they don't pay it, yet turned a blind eye to the billions from the giants not being payed because of all the loopholes.

So I am VERY glad to see the American government get involved and start to point fingers. Tax is a way of life, NO corporation should be able to dodge paying a penny whilst turning over more and more billions every year. It's the small guy's and the public that get screwed over with this as it means we pay MORE tax!

Well I guess it's my favorite saying, that's the capitalist world we have created for you!

Lets hope these two governments start to kick major corporate ass! Close the loopholes and fine those who won't pay tax! After all YOU would go to jail for not paying it!
 
drewyboy said:
You guys are freak'n idiots thinking apple should pay more. WHY?! These politicians, either side I don't care, don't know crap. They don't know how to run this country, so they go on a witch hunt to make apple look horrible. Tax havens... how? As far as I've seen in Apple's reports is that tens of billions of dollars are held overseas in the countries that those items were BOUGHT in. They've already PAID those countries taxes. Why the F should they have to pay AGAIN? Just to have the money in the US so the greedy government can double dip?
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I don't give a damn if a company pays taxes in China and India. That doesn't make them exempt from US taxes. If they want to do business here, they have to pay the taxes to do so.
 
drewyboy said:
...what is that? Is 6 Billion not enough? that's 1/40 of all corporate taxes collected.
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That right there. They pay 1/40th of all corporate tax collected. And somehow they are a target. What a joke Washinton.
 
burnside said:
Don't get me wrong, I blame the strict and unfair tax laws setup here in the States, but at the same time, if I gotta pay my fair share of taxes, it's only right that big time corporations do the same.
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Corporations in reality do NOT pay taxes. The taxes are paid by the shareholders. Less taxes, means more dividends or capital gains....which get taxed. Now, everything should be taxed at the same rate, though. But there should be no corporate tax at all, because that means more investment in the US...more jobs...more taxes...
 
applesith said:
Doesn't the IRS check for these kinds of things when companies file every year? Considering how money hungry the government is, you'd expect them to pay closer attention to large international public companies such as Apple.
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They only check conservative entities :)
 
Witch Hunt

Just another witch hunt by our politicians so they can get in front of the camera and show what a fine job they are doing. I guess it's easier then actually trying to fix the problem :p.
 
I'd note that old, angry men McCain and Levin haven't released any statement on other US corporations who pay little or no tax according to reports. Companies like General Electric and Exxon Mobil. Will officers of those corporations be testifying?
 
burnside said:
We all gotta pay taxes. If Apple doesn't want to pay them to the Feds, then maybe they should setup shop next door to Foxconn and not in Cupertino.
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...which is exactly what many companies do.

Maybe it's time to examine a US tax code that is so broken that it's more cost effective to hire armies of lawyers and accountants to navigate around it than it is to just pay a reasonable amount.
 
I should state, BOTH the UK and American governments need to get their acts together, and close ALL tax loopholes, it's almost like a mafia money laundering scam! Place some random office in a carefully selected country to use to pass your money back and forth legally avoiding ANY tax.

It needs to stop, I pay tax, so must a multi billion doller corporation pay tax! Paying nothing is simply not acceptable in this day!
 
1. Government creates tax system to enrich people who designed it
2. For decades legislators create and expand secret loopholes to allow certain individuals and entities to profit even more
3. Said individuals and entities obviously take advantage of the loopholes
4. The population time and time again re-elects the legislators who create the system that the population complains about
5. The media reports something like this
6. People freak out
7. People re-elect the legislators
8. And the show goes on
 
zioxide said:
I don't give a damn if a company pays taxes in China and India. That doesn't make them exempt from US taxes. If they want to do business here, they have to pay the taxes to do so.
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Apple do pay the taxes on the profits they made in USA, they should not be paying taxes on profits they made from selling in China and leaving the profits there.

Majority of Apple's cash reserve are not in USA and they did not make those money from US's market.

Over half of their revenue are from the international markets, they leave the money to expand their businesses there. Apple should not be paying taxes that are not related to their businesses in US.
 
RBMaraman said:
Yes, Apple appears to have broken no laws here, while doing an excellent job of showing how greedy, unethical and dishonest a company can be and still be loved by the consumer.
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I also did not pay more taxes than I was required to.

This makes me greedy, unethical and dishonest? I disagree, but it's nice to know you think I'm slime.
 
zioxide said:
I don't give a damn if a company pays taxes in China and India. That doesn't make them exempt from US taxes. If they want to do business here, they have to pay the taxes to do so.
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Wow, do you simply not comprehend what's going on? They HAVE paid every single dime that the US government is entitled to. What is going on here is the Government is playing the mad kid in the corner because Apple WONT bring the money the made over seas here. Why should they? If they have 50 billion in china, they're gona leave it there and pay suppliers, invest in facilities, and etc. There is absolutely no reason they need to bring it home. So Zioxide, they are not exempt, they are paying every penny. So what's the problem here? Why are you so mad? They do pay taxes here with the business they do here. Read up on GLOBAL ECONOMY.
 
zioxide said:
I don't give a damn if a company pays taxes in China and India. That doesn't make them exempt from US taxes. If they want to do business here, they have to pay the taxes to do so.
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They do, and as long as they follow the law they shouldn't pay any more than the law requires. The tax code is so complex and full of tax breaks, all of which are legal, and often aimed at a specific company, that it needs reform.

the problem is no one wants to give up a tax break - because it is their break.

Why should home mortgages be deductible? Or income sheltered in a 401K? Why should someone who is self employed enjoy tac breaks that the next door neighbor doesn't? Until people are willing to give up their breaks no reform will happen; and the problem is with the tax code not the individual behavior to minimize their tax burden.
 
apolloa said:
Nope, you pay your taxes. Whats wrong with that? You only should pay what you owe? But in America you have different tax laws as you have to work out what you owe yourselves every year right?
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Appke I'd just taking advantage of the system the same way we all do as individuals.
 
drewyboy said:
As far as I've seen in Apple's reports is that tens of billions of dollars are held overseas in the countries that those items were BOUGHT in. They've already PAID those countries taxes. Why the F should they have to pay AGAIN?
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They don't.
Since there are mutual tax agreements in place with these countries, Apple would not have to pay taxes twice. They would only have to pay the difference between the foreign and the US tax.

Also, the money is not really held in the countries where the products were bought. It is moved to a few specific countries (e.g. Ireland) where the corporate tax rate is lowest. With several tricks like the so-called "Double Irish With a Dutch Sandwich" they can shift around the money between foreign subsidiaries.

The problem is not just the US tax code, the tax havens would have to close their loopholes as well.
 
japanime said:
Note to senators: Do your job first. Close the loopholes that Apple and the others are LEGALLY using to their advantage. Until then, you haven't earned the right to whine and moan.
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Right. These hearings are just strictly for show and takes focus away from what the Senators should be doing, like passing legislation to simplify the U.S. tax code and close loop holes. Let's set a competitive corporate tax rate but shut down the loop holes.
 
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