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It is not subject to taxation since the money has already been accounted for in Bermuda (where there is no corporate tax). It is effectively the same as money l
by melvinmt 15y ago
It is not subject to taxation since the money has already been accounted for in Bermuda (where there is no corporate tax). It is effectively the same as money laundering, but then legal and on a much bigger scale.
- rprasad 15y agoThat's not true at all. It is subject to taxation if the cash is ever repatriated back to the U.S. That's not money laundering (which is the use of legal business activities to exchange illegaly earned income for legally earned income). It's legal because the money was technically earned by Google's foreign subsidiaries, which are legally distinct entities. As long as the money isn't repatriated to Google (U.S.), the money isn't subject to U.S. income taxation.