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Global minimum corporate tax: 130 nations to support U.S. proposal

cnbc.com

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Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#51

Post by motohagiography »

colechristensen wrote: post #41
motohagiography wrote: post #36

The idea that politicians and bureaucracies can defer to external international conventions to be the bad-cop for wildly unpopular policy decisions - and then claim to be powerless to stop them - is anathema to democratic principles like national representation, consent of the governed, and other concepts of human rights. This proposal seems like a global group of government affiliated people colluding to fleece each…

I don't think the New World Order conspiracy theorists were particularly paranoid about closing corporate tax haven loopholes.

I thought their whole schtick was "one world government," which is precisely what colluding to destroy tax competition is, as is banning capital flight which results from abusive policy.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#52

Post by ClumsyPilot »

natvert wrote: post #29

When the benefits of creating a new country outweigh the costs (to shareholders), does it fall within the fiduciary duty of corporate leaders to form a new country?

Hahaha, and then be saddled with paying for defence infrastructure and education?"

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#53

Post by ClumsyPilot »

harikb wrote: post #34
eunos wrote: post #28

Earlier quoted context omitted.

> who exactly are we targeting with these taxes? Is it the rich executives? Lot of times the money were not handed to the employee, executives included. They just stay at the company or paid to the financial company that owned the companies.

At least from my eyes, recent trends are exact opposite. Stock buyback returns the money to investors (by raising stock price). Huge bonuses to executives. The company itself is managed on a very thin buffer so that a) When things go south, they can always ask the government for bail-out. Too big to fail & all that. b) Anything affecting the company, in terms of regulations, can be shown to directly affect the employ…

But investors keep their money in honding companies and trusts, sometimes registered in panama. The billions never actually have a physical person as their official owner

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#54

Post by elliekelly »

motohagiography wrote: post #36

The idea that politicians and bureaucracies can defer to external international conventions to be the bad-cop for wildly unpopular policy decisions - and then claim to be powerless to stop them - is anathema to democratic principles like national representation, consent of the governed, and other concepts of human rights. This proposal seems like a global group of government affiliated people colluding to fleece each…

Is a minimum corporate tax “a wildly unpopular policy decision”? I worked on international inversions in the early 2010s and they fell out of favor pretty quickly but I don’t think it was the end of the world. No one needed to do an inversion in order to keep the business afloat, it was purely a play to pad the bottom line. A nice to have but not a must have.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#55

Post by disposekinetics »

cinntaile wrote: post #43
motohagiography wrote: post #36

The idea that politicians and bureaucracies can defer to external international conventions to be the bad-cop for wildly unpopular policy decisions - and then claim to be powerless to stop them - is anathema to democratic principles like national representation, consent of the governed, and other concepts of human rights. This proposal seems like a global group of government affiliated people colluding to fleece each…

While it may be a cowardly way to divert responsibility I don't agree that this is so bad. This problem can only be solved by cooperating, otherwise companies can just shop around for the cheapest taxation rate.

But isn't it good that companies shop around for the cheapest tax rate?

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#56

Post by ClumsyPilot »

LatteLazy wrote: post #45
mwint wrote: post #6

Earlier quoted context omitted.

Apple might make no profit, but wouldn't the shareholders selling their stock back to Apple have to report the sale as capital gains? So (at least some) taxes would be paid on that money, just not by Apple directly.

So, if they paid a dividend apple would pay Corp tax AND the share holder would pay cap gains. A buy back avoids the Corp tax and let's the shareholder delay paying (until they sell) and also pay a lower rate if they're careful (long term holdings I think get a lower rate, 10% I think?). There is another reply here saying Corp tax is still due. I didn't think it was but I'll check after dinner.

If my shares are handled by an LTD I'll never pay tax because i will keep reinvesting that monet.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#57

Post by jimbob45 »

cinntaile wrote: post #43
motohagiography wrote: post #36

The idea that politicians and bureaucracies can defer to external international conventions to be the bad-cop for wildly unpopular policy decisions - and then claim to be powerless to stop them - is anathema to democratic principles like national representation, consent of the governed, and other concepts of human rights. This proposal seems like a global group of government affiliated people colluding to fleece each…

While it may be a cowardly way to divert responsibility I don't agree that this is so bad. This problem can only be solved by cooperating, otherwise companies can just shop around for the cheapest taxation rate.

Not sure why you’re getting downvoted. Not only are you right, you’re right even without speaking hypothetically because we can actively see this happening with companies moving to Ireland, Switzerland, and others.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#58

Post by throwkeep »

mustafa_pasi wrote: post #40

This is a new kind of imperialism. The G7 makes up the rules, under the guise of fighting tax evasion or financing of terrorist activities. Then they make all the less powerful countries comply to those rules. If they do not, they get greylisted or blacklisted by some "international" watchdog, making it much harder for those countries to participate in the global economy. Of course only the poorer less influential co…

You'll own nothing, and you'll be happy.

https://www.youtube.com/watch?v=lBBxWtKKQiA

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#59

Post by krupan »

“For decades, the United States has participated in a self-defeating international tax competition, lowering our corporate tax rates only to watch other nations lower theirs in response. The result was a global race to the bottom: Who could lower their corporate rate further and faster? No nation has won this race,”

Translation, "We want to have these corporations in our country so badly that we keep paying more and more for them in order to compete with the other countries that also want them. We now want to collude with these other countries to keep our costs lower."

Sounds an awful lot like price or salary fixing. Who is actually going to pay for this in the end?

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