Medtronic, a big player in the medical device market, has agreed to buy competitor Covidien for $43 billion. Since Covidien is domiciled in Ireland, and through a process referred to as "tax inversion", Medtronic will redomicile in Ireland with its 12% corporate tax rate. Medtronic had an effective US rate of 18%.

Medtronic was also at the center of the debate on the Obamacare medical device tax that uber-left wing politicians such as Stuart Smalley, Elizabeth Warren and Ron Wyden want repealed.

Oh, don't worry about jobs leaving the US. In order to redomicile in Ireland, all you need a post office box and an lawyer in Dublin.

Link to CNBC

You mean if you raise taxes, smart people will find ways around them?

The Irish tax system is beautiful.

Pfizer would have done the exact same thing if it had acquired Astra-Zenaca. That is, moved it's headquarters overseas to gain the better corporate tax rate. That's starting to be a larger motivation behind these huge mergers/buy-outs, etc.

And it continues. Walgreens thinking of moving headquarters overseas to avoid high US corporate tax rate.

Walgreens Considers Move Abroad to Lower Taxes

Snippet:

Quote:Walgreen Co.'s Chief Executive Greg Wasson on Tuesday said for the first time that the company is weighing moving outside of the U.S., as it considers buying the shares it doesn't already own in European pharmacy group Alliance Boots GmbH(Switzerland).

Under pressure from shareholders to use a merger with Alliance Boots to cut its tax bill through a so-called inversion, Mr. Wasson said the company is looking at how to structure its tax liabilities as part of its discussions over whether to buy the remaining 55% of Alliance Boots it doesn't already own.

Walgreen, based in Deerfield, Ill., plans to hold a conference call in the coming weeks to lay out its plans.

It will continue until the leftists completely destroy the country.

I propose a 5 year 0% rate with a grace period to repatriate.

Next 5 years at 5%.

3rd 5 year period at 10%.

Cap at the 15th year at 13%

Flat rates all the way around.

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Here's what I don't understand.

On the one hand, leftists complain about US corporations moving operations overseas to escape US taxes and regulations.
On the other hand, they insist that raising taxes and implementing more regulations won't cause corporations to move more operations overseas.

Can one of our lefties explain how both of those work?

(06-25-2014 03:39 PM)Owl 69/70/75 Wrote:  Here's what I don't understand.

On the one hand, leftists complain about US corporations moving operations overseas to escape US taxes and regulations.
On the other hand, they insist that raising taxes and implementing more regulations won't cause corporations to move more operations overseas.

Can one of our lefties explain how both of those work?

Well, let's be honest here. It's not just that little dilemma, many want to triple down on the idiocy- They want to further "punish" (in whatever form they are proposing) corporations that move their HQ's or operations overseas. Talk about chasing them away in droves.

I've said it many times here, lefties, it's pretty simple. You want more of something? Make it profitable. You want less of something? Tax it. That really is how it works.

(06-25-2014 03:49 PM)JMUDunk Wrote:  

(06-25-2014 03:39 PM)Owl 69/70/75 Wrote:  Here's what I don't understand.
On the one hand, leftists complain about US corporations moving operations overseas to escape US taxes and regulations.
On the other hand, they insist that raising taxes and implementing more regulations won't cause corporations to move more operations overseas.
Can one of our lefties explain how both of those work?

Well, let's be honest here. It's not just that little dilemma, many want to triple down on the idiocy- They want to further "punish" (in whatever form they are proposing) corporations that move their HQ's or operations overseas. Talk about chasing them away in droves.
I've said it many times here, lefties, it's pretty simple. You want more of something? Make it profitable. You want less of something? Tax it. That really is how it works.

That's about the size of it.