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Old 01-10-2018, 07:49 PM
 
2,240 posts, read 1,385,700 times
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Quote:
Originally Posted by SportyandMisty View Post
It is a tax increase from zero to 10.5% on overseas profits that previously stayed overseas.

Those profits are still subject to taxation in the overseas jurisdictions: the corporation pays tax overseas.

It reduces from 100% to 80% the credit that a US corporation gets from having paid that overseas income tax when they move the money back to the USA.

Corporate executives across the board have said the new tax system provides adequate incentives to repatriate money.

Still, what Congress SHOULD have done is reduce the US Corporate Tax Rate to zero.
Luckily, those with basic understanding of tax, like the treasury and congressional budget office, outright reject the terrible, and simplistic idea of removing the corporate income tax.
https://www.ctj.org/fact-sheet-why-w...te-income-tax/
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Old 01-10-2018, 08:40 PM
 
Location: Texas
6,433 posts, read 2,340,871 times
Reputation: 13808
Businesses will get labor anywhere it's cheaper - regardless of tax laws. So tax laws are irrelevant.
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Old 01-10-2018, 10:55 PM
 
Location: Buckeye, AZ
25,394 posts, read 14,485,848 times
Reputation: 9206
Quote:
Originally Posted by MinivanDriver View Post
No Trump supporter here, but the NYT also was opining that the tax cut would not result in pay raises or capital investment once the new rates took effect. Yet there are already a ton of new capital investments and evidence that wages are rising. As someone who consults for a number of companies that specialize in equipment and other items sensitive to capital purchases, I can tell you that they report that their order books began filling up within days of tax reform being passed.

In other words, perhaps the NYT should stop with agenda-driven journalism and report facts, not hoist the bogeyman on an hourly basis. Some corporations might indeed do this. But the article, obviously written by someone who has never actually run a business, doesn't understand the intrinsic advantages of domestic manufacturing if the tax code doesn't punish it.

The former CEO of Intel gave an eye-opening speech around 2010 about this very subject. He pointed out that if you built two identical factories, one in Asia and one in the United States, the costs would be roughly twice the cost in the United States. Only 10% of the difference would be in higher salaries. The remainder would be in higher taxes and regulations. Further, the article doesn't seem to understand the salutary effect tax reform would have on tens of thousands of manufacturers who simply lack the resources or desire to site overseas.
Eh, a number of this is debunked. It is pretty widely stated that AT&T was set to invest the money in upgrades that the CEO stated was due to the tax law, prior to the law. American Airlines is set to invest more due to the tax law, yet right now they currently don't pay taxes due to the 2013 loses... Then we have the issue of the "tax" bonuses versus wage increases as well. I'm not trying to be partisan, just critical on these "investments."

Quote:
Originally Posted by Larry Caldwell View Post
You need to realize that Trump had very little to do with the Republican Tax Bill. It was all congress and lobbyists who pulled that little scam. All Trump did was roll over like a good puppy.
He gave the outline of what was the rough draft of the final bill though in his one to two page memo released sometime in Spring 2017. Trump put for the double standard deduction, which we actually do see in the law. Trump put forth the idea of the tax cut on the rich, which while not as drastic in the marginal rate, is still a cut. We didn't get the smaller amount of tax brackets as that was a Congressional agreement to reconcile their House and Senate bill, into a single bill.
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Old 01-10-2018, 11:14 PM
 
18,242 posts, read 11,645,412 times
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Quote:
Originally Posted by Larry Caldwell View Post
You need to realize that Trump had very little to do with the Republican Tax Bill. It was all congress and lobbyists who pulled that little scam. All Trump did was roll over like a good puppy.


If you believe that then I have a bridge am selling. It spans the East River between Manhattan and Brooklyn with some lovely views, and since you seem like a nice person tell you what I am going to do....


https://therealdeal.com/issues_artic...tter-or-worse/


Real estate lobby made out like bandits with this so called tax "reform", especially on the commercial side. You think that had *NOTHING* do to with The Donald?
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Old 01-11-2018, 07:09 AM
Status: "delete" (set 20 days ago)
 
3,189 posts, read 1,273,221 times
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Quote:
Originally Posted by bpollen View Post
You're trying to spin the bottle somewhere else. It doesn't MATTER one bit what prior administrations did or did not do. The matter is that the "greatest tax reform ever" has this provision in it.

That's the purpose of the thread.

But since you asked, what the prior administration did was add almost 6 Million jobs to the economy that had been crashed under the prior administration. That's a great accomplishment. Some infrastructure was done (to the extent the Republican Congress allowed it). A health care reform bill was passed (it didn't out great, IMO...but at least someone tried to do something...the Republicans were fine with the system that wasn't working for millions, and the system was clearly failing). And on and on. Many accomplishments. And he CERTAINLY didn't sign a bill that gave corporations even more of a tax break for sending jobs out of the country.

But that's irrelevant to the issue at hand.

(Confused by your reference to Hillary. As far as I know, she was never President. So she has no record on that, and we have no way of knowing what bills the Republican Congress would have passed under her administration.)
You sound like a fan boy. You'll find out within 5 years how badly your government failed you, unless you think financial blow outs and oil crises are par for course.
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Old 01-11-2018, 08:29 AM
 
1,025 posts, read 558,839 times
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Quote:
Originally Posted by bpollen View Post
No way. Really? OMG. I would like to know who put that provision in the law. This gets me ticked off.
BPollen, This tax policy further rewards enterprises for investing into foreign nations, contributing to their tax revenues, employing their labor, and enjoying their purely free access to USA's rich domestic markets. If purchasers of imported goods would eventually compensate us for trade deficits' detriment to our economy, there'd be no problem with this particular facet of the new tax bill.

Unlike other nations, Imports entering the USA contribute little or nothing to our federal tax revenues but they net reduce our GDP and numbers of jobs. Annual trade deficits are always detrimental to their nation's GDP and numbers of jobs.

Refer to Wikipedia's “Import Certificates”.
Respectfully, Supposn
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Old 01-12-2018, 01:05 PM
 
3,716 posts, read 1,666,317 times
Reputation: 5091
Fiat Chrysler to invest $1 billion in Michigan plant, pay bonus after tax cut - Chicago Tribune

"Fiat Chrysler to invest $1 billion in Michigan plant, pay bonus after tax cut"

It looks like it's doing the opposite.

"Fiat Chrysler also will spend more than $1 billion and add 2,500 jobs at a factory near Detroit to produce heavy-duty Ram pickups that the company has been making in Mexico."

Detroit needs a break, now they got one.
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Old 01-12-2018, 01:25 PM
 
8,376 posts, read 7,362,552 times
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WalMart has announced pay raises and bonuses for their employees because of the tax cut.

Yes we export some jobs. Low paid, jobs requiring a lot of hand work making cheap items.

On the other hand we import a lot of jobs, such as 11 of the 13 auto companies building cars in the U.S. are foreign companies that have exported jobs from Europe and the Oriental countries to this country. We export cheap labor jobs, and import higher paid jobs. We have millions of Americans working, due to importing jobs from foreign countries.

The new taxes to be paid by American Companies on their foreign operations, is not going to be a big factor to move jobs overseas. They are already paying taxes in the other countries, and now they will add the new taxes to their foreign taxes, and will be paying about the same taxes building products in the USA, or overseas.

When they export factory jobs overseas, they still keep a tremendous number of jobs in the USA, because the manufacturing overseas, left a lot of jobs in this country, in most instances at least half. Which do you prefer to happen.

A---When a company cannot build a cheap product in the USA, they just go out of business and lay everyone off. And investors in the company stock, lose all the money they have invested.

B---Move the manufacturing overseas, and keep half the workforce working. That is everyone from management to office help, to sales help, to warehouse and distribution workers, etc., etc. and the investors are able to keep their stock investment. This includes stock owners including pension funds invested in the stock, mom and pop investors taking care of their retirement possibly including your family, your friends, and others in your area that are invested in stock.

We export the cheap manufacturing jobs, and import much higher paying jobs and the company stays in business. OR go out of business, and everyone loses their jobs, and the investors lose their investment.
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Old 01-12-2018, 02:09 PM
 
Location: Ruidoso, NM
5,170 posts, read 4,730,147 times
Reputation: 4206
Quote:
Originally Posted by oldtrader View Post
We export the cheap manufacturing jobs, and import much higher paying jobs and the company stays in business. OR go out of business, and everyone loses their jobs, and the investors lose their investment.
If we are ditching low paying jobs for higher paying ones, then why have wages been stagnant for 40 years?

Yet productivity has more than doubled in that time, so one would have expected wages to double as well. Do you ever get the feeling that something doesn't add up?

Try option C: Instead of setting trade, tax, and fiscal policies that promote trade deficits, depressed wages, and escalating debt, so that the .1% can keep taking a larger piece of the pie... try promoting domestic investment for a change. Like in more democratic countries (and in the US prior to 1980).
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Old 01-12-2018, 02:28 PM
 
3,962 posts, read 1,590,532 times
Reputation: 12380
Quote:
Originally Posted by mkpunk View Post
Eh, a number of this is debunked. It is pretty widely stated that AT&T was set to invest the money in upgrades that the CEO stated was due to the tax law, prior to the law. American Airlines is set to invest more due to the tax law, yet right now they currently don't pay taxes due to the 2013 loses... Then we have the issue of the "tax" bonuses versus wage increases as well. I'm not trying to be partisan, just critical on these "investments."
The problem with your post is that you take ATT and American Airlines and try to apply it to businesses throughout the country.

Right now in the United States, there are 18,000 manufacturers with 500+ employees. And a very large percentage of them do not either have the desire or capability to site plants overseas.

In truth, most job generation takes place not at the Fortune 500 level but much further down the food chain in smaller companies. To wit: https://www.nfib.com/content/press-r...ure-intensify/
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