Posted on 12/21/2017 10:56:56 AM PST by ding_dong_daddy_from_dumas
Last week, the finance ministers of Europe's five biggest economies — Germany, France, the UK, Spain and Italy — wrote an anxious letter to their American colleague, US Treasury Secretary Stephen Mnuchin, and copied it to all senior Republican politicians in the Congress and Senate.
The letter's thrust: The draft US tax bill, if passed as written a week ago, would represent a break with global fair-taxation rules as applied to corporations, and represent a thinly disguised form of trade war.
"The United States is Europe's single most important trade and investment partner," the finance ministers wrote. "It is important that the U.S. government's rights over domestic tax policy be exercised in a way that adheres with international obligations to which it has signed-up. The inclusion of certain less conventional international tax provisions could contravene the US's double taxation treaties and may risk having a major distortive impact on international trade."
(Excerpt) Read more at dw.com ...
My sentiments, exactly
Their corporate tax rates are already lower than ours, which is why they are upset. Some companies may remove their money from their economies. Ahh, too bad so sad.
FU EU
Euroweenies
How do you call the Whaambulance in German?
Germany, France, the UK, Spain and Italy? Well, well, well, please note what our “friends” think of MAGA. Our people, our American citizens, should suffer for the “global community” while the global community drains us dry of money and resources and any attempt to make our people prosperous and healthy again is frowned upon by the rest of the world??
Drop dead Europe.
The nerve of those people!
Krankenwaaaahgen. : )
Well in that case.........
How do you call the Whaambulance in German?
—
Flash you bomb belt?
Ha Ha Ha, FUEU
If the euroweenies don’t like it...it must REALLY be good...AMERICA FIRST!!!
Proof right there that lowering corporate taxes was the right thing to do to bring back jobs to the United States.
FUEU!
the one with the most obvious and direct international impact will be the change in the taxation of US corporations’ foreign subsidiaries.
The current US rule is unique among all major advanced economies. Consider the example of a subsidiary of a US corporation that earns profits in Ireland. That subsidiary pays the Irish corporate tax at Ireland’s low 12% rate. It is then free to reinvest the after-tax profits in Ireland, in financial securities, or in operating businesses anywhere in the world – except the US.
If the foreign subsidiary’s parent company brings the after-tax profits back to the US to invest or distribute to its shareholders, it must pay the current US corporate tax rate of 35% on its original pre-tax Irish profits, with a credit for the 12% that it has already paid.
Because of this 23% penalty on repatriation, US companies generally choose not to repatriate the profits of their foreign subsidiaries. The Treasury Department estimates that these subsidiaries have accumulated $2.5 trillion of offshore profits.
The EU has been riding our backs for FREE for far too long. Either they change their economic models or STFU. We have bailed them out too many times while they complain about us at every opportunity.
Thanks for posting this reality.
Those don’t understand percentages will not grasp the full impact of this:
The current US rule is unique among all major advanced economies. Consider the example of a subsidiary of a US corporation that earns profits in Ireland. That subsidiary pays the Irish corporate tax at Ireland’s low 12% rate. It is then free to reinvest the after-tax profits in Ireland, in financial securities, or in operating businesses anywhere in the world – except the US.
If the foreign subsidiary’s parent company brings the after-tax profits back to the US to invest or distribute to its shareholders, it must pay the current US corporate tax rate of 35% on its original pre-tax Irish profits, with a credit for the 12% that it has already paid.
Because of this 23% penalty on repatriation, US companies generally choose not to repatriate the profits of their foreign subsidiaries. The Treasury Department estimates that these subsidiaries have accumulated $2.5 trillion of offshore profits.
Wambulanz
I”d like to quote Fatbody O’Donnell to the EU here by saying something about my ***k.
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