4 ms·

If the fines would impact profits in a significant way, the companies would just ensure they have no profit on paper going forward.

• bko 3y ago
  I didn't know companies can just ensure they have no profit on paper. Why don't they do that now and not pay corporate taxes? Why is it dependent on fines?
  • fifteen1506 3y ago
    No clue on your specific question. However it is a known practice. Most Hollywood studios do it. That's why actors which claimed a percentage of profits of the movie would get $0.
    • waffleiron 3y ago
      https://en.wikipedia.org/wiki/Hollywood_accounting https://en.wikipedia.org/wiki/Hollywood_accounting Handy wikipedia link
    • deleted 3y ago
      [deleted]