Editor’s Note: Adopt Sales Factor Apportionment taxation and this tax litigation becomes irrelevant. Because internal profit shifting becomes irrelevant. Simply tax MNC global profit in proportion to sales occurring in US. Ignore subsidiaries. Government challenges social-media giant’s transactions with its Irish subsidiary [Richard Rubin | February 8, 2020 | WSJ] Facebook Inc. FB 0.03% and the…
Excerpt: Digital companies aren’t the only ones avoiding corporate taxes. Plenty of foreign multinationals that sell in the U.S. are also shifting profits through tax havens… Over the past few months, a number of countries have been planning to impose new taxes on U.S. tech companies like Google, Facebook and Amazon. France in particular has aimed…
Excerpt: How did the pharmaceutical industry start sourcing pharmaceuticals in China? After her presentation at the Made in America trade show last month, I met Rosemary Gibson, co-author with Janardan Prasad Singh of China RX, published in 2018. China RX is an expose of the pharmaceutical industry just as Death by China by Greg Autry and…
By Jeff Ferry, CPA Chief Economist On October 25th, America’s largest steelmaker Nucor opened a new steel mill in Hickman, Arkansas. The mill will employ about 100 workers at an average salary of $80,000 a year. A jubilant Arkansas Governor Asa Hutchinson attended the opening and told the crowd: “I am thrilled that Nucor chose…
By John R. Hansen, CPA Advisory Board Executive Summary America’s trade deficits, which are caused primarily by America’s overvalued dollar, are eroding the American Dream of sustainably growing and equitably shared prosperity for all. By making American goods too expensive to compete with foreign goods in domestic and export markets, the overvalued dollar kills jobs,…
Editors note: Chinese owned Smithfield Foods shipping pork to China amidst Asian swine flu problems. SMITHFIELD, Virginia (Reuters) – Smithfield Foods’ slaughterhouse in Virginia used to carve up pork for American sandwiches and holiday dinners. But workers now box up pig carcasses to ship to China, according to employees, local officials and industry sources. [Tom…
Editors note: CPA has previously praised Peter Navarro‘s action fixing the requirement by the Universal Postal Union that the US subsidize the delivery of small packages coming in from China. A recent deal to reform global mail delivery shows that a strong, principled negotiation strategy gets results. [Peter Navarro | October 15, 2019 | NY…
Editors note: The China/Amazon/FedEx strategy finally comes to light as a major story. The de minimis loophole must be closed. And can be partially closed by administration action. CBP chose to give priority to Sec 321 (the de minimis authority stupidly expanded by Congress) over the 301 duties but did not have to. And more…
After an initial review of the various 2020 Democratic presidential contenders’ tax proposals, the CPA tax committee noted a lack of progress on corporate tax reform. Committee members subsequently voted on the remaining corporate tax proposals. By David Morse, Tax Policy Director The Coalition for a Prosperous America (CPA) believes corporate tax reform should stop…
Editor’s note: The massive phantom foreign direct investment described in this article shows why CPA’s proposal for sales factor apportionment is needed for the US tax system. If companies were taxed, as we propose, on profits from sales in the US, shifting their profits to shell companies other countries would no longer benefit them. Empty…
