Apple Paid $6 Billion in Federal Income Tax in 2012, 1/40 of All U.S. Corporate Income Tax Collected

At our current spending rate that will last us about a 1/2 day.

We don't have a revenue problem.

"and its gone......"

I hope someone gets that joke....:rolleyes:

The easy solution is to eliminate the corporate income tax altogether. Perhaps replace it with a small consumption tax on the ultimate buyer. At the end of the day corporations just collect taxes. People (whether customers, employees, or shareholders) ultimately bear the burden of corporate taxes.

Barring that, then just lower the corporate tax rate to what other countries have, and don't tax overseas income (most countries don't). The current system creates a perverse incentive for multi-national companies to leave their profits overseas, since they would wind up paying the difference between 35% and the foreign rate if they brought the money home. We gave a tax holiday to multinationals in 2004 and companies repatriated billions of dollars.

What do you think would happen if corporate tax went away?

1. Corporations will lower their service costs
2. Pocket it all for Upper Mgmt bonuses

The easy solution is to eliminate the corporate income tax altogether

A good idea except corporations are given the rights of an individual. They should therefore pay taxes as such.

Just goes to show how little anybody else is paying. Something's definitely broken.

As an Intuit employee, I'm curious as to why the Mint iOS app logo is being used on this story?

I like this. This way everyone would pay their "fair share". (including illegals)

It wouldn't be at all fair. Sales tax is regressive.

Taxation based on everyday essentials like food (e.g. sales tax, salt tax), clothing (value added tax), transport (fuel tax), energy (carbon tax) and housing (council tax, window tax) is frequently regressive. The income elasticity of demand of food for example is usually less than 1 (inelastic) (see Engel's law) and therefore as a household's income rises, even significantly, the tax collected remains almost the same. So as a proportion of available expenditure the tax burden falls far more heavily on households with lower incomes.

http://en.wikipedia.org/wiki/Regressive_tax

It is astounding that Apple pays 1/40 (2.5%) of ALL corporate taxes collected nationwide. Their revenues are not as high as some corporations, but because they have high margins, they have high taxable income.

It is right and proper that divisions located in foreign countries not also pay tax here. Them's the rules. In fact if Apple were to be so bold as to bring money back to the US, they would be taxed AGAIN according to current law and contrary to every other major country. If anything they should relocate their HQ to shut people up. But they are "patriotic".

As for Nevada, that does not avoid federal income tax, only state income tax.

Our country is vastly overtaxed (18% of GDP) and overspends (25% of GDP) which sucks oxygen out of the free market directly and by diverting investment capital (18%-25%=-7%) to government bonds to finance the debt. If that was not happening those investors would have to chase commercial paper (or infrastructure bonds!) which would help every company in the US who wants to expand and hire. The reverse is at play now.

I sincerely believe this post is on topic. That is my intention.

Rocketman

In related news, 12 billion worth of iPads were bought for US schools.
Lol jk most schools can't even afford paper.