As the GOP push through their tax bill, without any transparency, one of the big ticket items is corporate tax breaks.
My opinion is the government are really wasting their time, and our money giving tax breaks, especially to companies to repatriate their overseas earnings, in some kind of swap for jobs. No such thing will happen, sure there will be a few winners here and there, but nothing substantial and certainly nothing overtime.
If the government wanted to do this, they’d have been better creating an incentive program, which gave them tax deductions for each net new job they created, the longer their total employment numbers were up, net new, the lower the tax rate on repatriation would go.
I posted the following on twitter… but in a debate about it today, realized I’d left the link off for the NPR article. Here it is.
Full transparency, I really benefitted from share options during the last tax holiday for corps. Bringing money back.Over 10-year period ibm lost 100,000 US jobs. Anyone thinks it will be different this time, isnt thinking at all. #GOPTaxScam#GOPTaxPlanhttps://t.co/IH4qxvIH1M
And it wasn’t just ibm… And it won’t be this time. Most of the companies effected already have billions of dollars in the USA and could create jobs now. Share options are not evil, they do act as a great motivator, I know. However, 90% of the value goes to the top 1%
NPR reached out to seven tech giants – Apple, Alphabet, Microsoft, Facebook, Intel, Oracle, Cisco – to ask, would they use repatriated money to create jobs in the U.S.? Not a single one would make a commitment on the record
And I know I played a big part in that, encouraging, promoting, cajoling and educating senior management and execs that there was a tidal wave of tech coming from India and China, and if they were not on it, they’d be drowned by it…
But that still doesn’t make it right to cut tax that is needed to supports schools medical and welfare, infrastructure and more, when there is already enough money slushing around. #GOPTaxScam#GOPTaxPlan
I’ve argued this position from first hand experience for about 18-months. Apps in the stores both iTunes and Android have the ability to collect and direct information collected to unapproved websites. In a couple of instances, insisting on this has got me more trouble than I wanted.
Now days it’s much more common for an app to ask for permission and for people to accept and install without reading the permissions requested and thinking through the consequences of that. So it was interesting to see this in relation to the way adults let kids use this technology. Just last night at a dinner in a new, upscale restaurant, I watched a parent pull out an iPad and give it to her 9yr old child who then worked her way through dinner playing online. Seems innocent?
Yes, except you are giving away your location, and a lot of personal information which will be used to at least Spam you online or through apps in exchange for what? This article by the LA Times covers the issues.
A number of people on my facebook stream have been posting and commenting on the ruckus over Apples tax avoidance, especially as it relates to iTunes, which even a Luxembourg Government official has jumped in to defend the iTunes tax evasion scheme. The other thread that has been running is commentry on the so called “Buffet Rule”, a proposed tax code change to force millionaires and up, to pay a tax rate that is comparable to the average middle income family, or some such.
I think this is all losing perspective though, although both cases are dissimilar in practice, at their core, the complaints are about the same thing. While Apple is a worldwide corporation, with many share holders, to whom it owes a fiduciary responsibility to maximize profit, how it does it is the same as Buffett.
Changes in laws, it shouldn’t be needed. The billionaires and big companies are master of their own empires, they are not beholden to their accountants and tax advisors. They should move their investments on shore, make sure they are paying a fair wage to all their employees, provide decent health care etc. thats all everone else expects of them. Forcing the goverment to try to inact a law/rule change that is divisive purely because of the polarizing because of what it is trying to do, is just BS. when said billionaires and companies should know that they’d never had made their money in the first place in a weak, unhealthy country that was racked with division, decaying infrastructure, pollution, poorly educated children. JUST PAY YOUR TAXES, don’t avoid them.
Companies recently have spent a lot of time and effort dressing up their annual reports to show their environment and ethical efforts, it is time they did the same for fiscal fairness.
The clear difference between the two is not just the number of deaths, the illness, the treatment etc. but the nature of the society that allowed both to exist. In the 1880’s the Bryant and May Matchwomen had the ability to incite change and the ability to start a union like organization. In China, it’s not at all clear this is even remotely possible.
If you can catch todays Robert Elms show on the BBC iPlayer, it’s well worth a listen. It should be posted by 1pm Central time, and will be available only for the next 7-days. Unless I get time to rip that section of the show and post to soundcloud.
than do a real job”. Brilliant, sums up what I’ve thought for a longtime. No real examination of Apples products, no difficult questions, except recent coverage of their problems with manufacturing; the press would rather fawn over their products than do a critical examination.
Well this is a great summary of the upcoming Apple anouncement “Too many inky hacks pulled out to cover Apple instead. We, the Press would rather sit in a dark room, unable to ask tough questions or actually touch and test an Apple product, than do our job. We would rather serve as a gateway for Apple’s live action press releases.” You can read the rest here on Mat Honans’ Gizmodo blog.
Note in case this entry starts showing up on google search results, I’m not saying Apple has bad products, I wouldn’t know, I’ve never owned one and the press coverage doesn’t really tell you anything, it’s just an extension to Apples marketing operation, as Mat admits.
NPR has an interesting blog entry on “What ‘Mastered For iTunes’ Really Means”. I hadn’t spotted this since I’ve been a life long Apple avoider. It’s not that I think Apple has bad products, it’s just they always, always look for a way to lock users into their systems. I’ve felt for a long time that the music industry would eventually find a way to strike back at MP3. In this case it makes perfect sense. Pay particular attenion to the last two paragraphs.