Posted on 10/15/2017 9:19:22 AM PDT by Olog-hai
The United States does not support a French proposal to tax the gross revenues of international tech corporations like Google and Amazon, Treasury Secretary Steven Mnuchin said on Saturday.
The remarks come as European officials say Washington has softened in recent days on a point that has caused sharp transatlantic tensions in recent years.
European authorities have targeted multinational companies that avoid taxation by seeking out cozy arrangements in low- and no-tax jurisdictions. […]
In September of this year, French authorities proposed that the European Union impose taxes on gross corporate revenues because they say they have been unable to tax corporate profits directly. Mnuchin said Saturday he did not support this.
“I think the concept of a gross revenue tax does not make sense and I don’t think that’s the right direction,” Mnuchin told reporters on the sidelines of the annual meetings of the World Bank and International Monetary Fund. However, Mnuchin said talks were continuing. …
(Excerpt) Read more at thelocal.fr ...
Pull the plug.
rwood
Advantage of taxing gross revenues:
>> Takes away fake accounting and questionable business deductions. GE paid zero taxes in recent years!
>> Eliminates 3 martini lunches paid by other tax payers.
>> Rewards the more productive and efficient outfits, and stops subsidizing the chronic money losers by others.
The EU’s purposes do not need to receive any funds at all. They certainly do not deserve the power to tax.
Agreed on general principles of taxation. I was just comparing taxing gross revenues versus net profits.
Liberals don’t get it. Taxing the hell out of creative productiveness causes it to flee the country.
I understand that. Thanks.
The EU, furthermore, is pushing “harmonization” of tax regimes in the eurozone, which means they’re trying to strong-arm the member states to raise their corporate tax rates to 25 percent. (Ireland, for example, is at 12½ percent.)
It is really a simple solution, if you are going to sell or import products or services into country ABC, then you have to have a tax subsidiary that is headquartered in the country. All expenses occurred and revenues generated in the country have to be accounted through that subsidiary. Taxes get applied to the profits generated by the subsidiary.
Ef the French
Meanwhile, the IRS declares it has the right to tax the overseas earnings of American citizens, even if they had not set foot in the US at any time in the taxable year.
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