Tax Analysts Blog

Sep 1, 2016
Comments (2)

Not content with routing all of its sales from Europe, Africa, the Middle East, and India through subsidiaries in Ireland – and paying a 12.5 percent corporation tax on the profits – in 1991 Apple negotiated an even better deal with Ireland. That deal, and its 2007 version 2.0, reduced Apple’s tax rate on those profits to just five one-thousandths of 1 percent (.005!) in 2014. 

Aug 30, 2016
Comments (1)

In the wake of the United Kingdom's vote to exit the European Union, another core member of Europe is facing an uncertain future because of proposed major constitutional reform.  Italian voters will go to the polls in late October or early November to decide the fate of Prime Minister Matteo Renzi's leftist government.  If Renzi's reform passes, it will make governing Italy much easier, but its main aim is to essentially disenfranchise a euroskeptic, populist movement similar to the U.K. Independence Party. 

Aug 29, 2016
Comments (2)

You can feel it in the air. The college football season is just around the corner and we are plenty excited. But there’s another high-stakes drama that is almost as captivating to aficionados of tax policy. In case you missed it, the U.S. Chamber of Commerce has filed suit in federal court challenging the Treasury Department and the IRS over their latest anti-inversion regulations. 

Aug 22, 2016
Comments (7)

There is something very wrong with our priorities as a nation when our elected officials fast- track tax relief for Olympic athletes – many of whom are well-paid professional athletes – and place funding for a serious threat to public health on the back burner. Congress should be ashamed of itself. 

Aug 17, 2016
Comments (5)

 Apple is a major part of why the United States is the world's leading innovator on new technologies, particularly those involving telecommunications and computers. The company has over 66,000 domestic employees, and a large percentage of its customers are here -- at least 40 percent, according to its latest annual report. But Apple also aggressively avoids paying taxes in high-tax jurisdictions, particularly the United States. And Apple CEO Tim Cook's recent statements are misleading about why.

 

Aug 12, 2016
Comments (1)

That Donald Trump revised his tax reform plan came as no surprise. His campaign had been hinting for several weeks that a partial rewrite was in the works. The presumed objectives of the revision were threefold, and it’s useful to keep these goals in mind when evaluating the details of his plan.

Aug 11, 2016
Comments (3)

Most Americans are still waiting for Donald Trump to release his tax returns. But he’s not the only one dragging his feet. Hillary Clinton, who has generally been very forthcoming with her tax disclosures, hasn’t divulged her 2015 return, either.

Aug 11, 2016
Comments (1)

It is generally well accepted that the founders of the United States wanted a federalist system of government. That is, they wanted the national government to concern itself with issues that affect the entire country and the numerous subnational governments to take care of more local issues.  The powers granted to the federal government are enumerated in the U.S. Constitution. Article I, section 8 specifically provides that “Congress shall have the power to lay and collect taxes, duties, imposts and excises, to pay debts and provide for the common defense and general welfare of the Unites States.”

Aug 9, 2016

In April, while many people were celebrating the arrival of spring, the International Consortium of Investigative Journalists disclosed the existence of 11.5 million private documents it had obtained from Panamanian law firm Mossack Fonseca. In disclosing the Panama Papers, the consortium exposed to the public the secret world of financial dealings that the wealthy, the powerful, and the criminal underworld use to hide money from, and evade taxes owed to, governments worldwide.

Aug 3, 2016

Given that it’s a presidential election year, much of the discussion among tax policy experts will focus on the candidates’ appetites for federal tax reform. But what often gets lost in that discussion is how changes at the federal level might affect the states. The reason for this is that most states in some way conform to the Internal Revenue Code.