[rdtsc]

True it seems we are getting the crumbs here falling between the cracks. But what is another realistic scenario? Tax them even more? Wouldn't they move to another tax haven. Why didn't that work so far, these tax tricks are not new.

[sjg007]

The whole point is that earned income should not have to be repatriated to be taxed. If I as a citizen have a bank account in Switzerland that accepts my foreign income then I pay tax on that money in the year it was earned. The exact same rules should apply. Just because the bank account is outside of the US should not make a difference.

[landryraccoon]

No other country taxes it's citizens this way. Do you think if a US citizen lives and works in Germany, they should still have to file and pay US income taxes even though they were living in Germany and earning a salary working in another country? That makes no sense to me.

If Apple pays double taxes on iPhones sold in Europe to European citizens, after Apple pays taxes to the EU, that's effectively a tax by America on citizens of the EU. The phones are made in China, shipped to Europe and sold to citizens of the EU for Euros, never having stopped on US soil, and being taxed in the EU. Why does it make sense for the US to apply a tax which effectively would amount to an increased tax on purchases by citizens of another country?

[rdtsc]

> The whole point is that earned income should not have to be repatriated to be taxed.

Agree. They used the double Irish paying basically no income tax there. Then were trying to move to Jersey (the island). This isn't new though and other companies were doing it. Is there any realistic short term hope that we'll finally close all the loopholes and the Apples and Googles of this country will start paying their fair share of taxes? Probably not.

But I don't see why not at least be happy with them paying some taxes and investing the money domestically? Yet everyone here is upset. It is not ideal, I'd rather have universal healthcare, basic income even, I'd rather these companies not be able to do these schemes and pay their fair share of taxes, but it is what it is, why not be happy for some positive thing happening.

[sjg007]

My guess is that the path outside of the legislature doing anything is through the courts. Since corporations are citizens there must be some kind of constitutional law since human citizens don’t get the same benefit.

[rdtsc]

I haven't thought of the courts. It might be interesting to see what would happen. Fighting with a hundred billion dollar company in court is tough though. The have infinite legal resources basically.

And yeah, I see the point about it being considered a person but that is mostly what is called "legal fiction" (it is actually a technical term, not just me being silly https://en.wikipedia.org/wiki/Legal_fiction). And that only goes so far. Mostly to benefit the corporate entity not the society. I'd like to put some companies in prison for life for destroying the environment or poisoning its workers but it just won't work. It would be nice to see how far it would go though.

[qznc]

What they do is not illegal, so courts do not help. For example, see Fair Tax Town. https://www.independent.co.uk/news/uk/crickhowell-welsh-town...

[sjg007]

I'm describing the US here, not the UK. In the US you can challenge a law or statue as being unconstitutional.

[yorby]

If I don't pay my taxes on time, I get fined... If Apple doesn't pay on time, they get a reduced rate.

[rhizome]

There are other forces in play. How likely do you think Apple is to give up their "Designed in California" tagline?

[rdtsc]

Probably not that but they could keep that even when their "profitable on paper" subsidiaries were spread around tax havens just like before.

But another interesting thing here is the interplay with EU countries. EU recently started to pay closer attention to Apple. Even forced them to look for a new place (they found Jersey I think). From my armchair understanding if they pay taxes in one place, say EU they might not need to pay it in US and vice-versa. Because of double taxation. As long as Apple was hoarding the money quietly and nobody could do anything it all good. As soon as EU started going after the money, it would benefit US to try to get to it sooner.

Whether politicians considered that or not not sure. But if they did, I can see them wanting to capture those taxes before EU got to them.

I for one am happy the part of them investing more in US. Don't see the reason people are upset about it.