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Multinationals are disincentivized to send revenue back to the USA because they are taxed twice on it - they're taxed in the country it was earned in and they'r
by comrade1234 4mo ago
Multinationals are disincentivized to send revenue back to the USA because they are taxed twice on it - they're taxed in the country it was earned in and they're taxed again in the USA as income because they are essentially completely different companies.
Trump had a tax holiday in his first term where companies were allowed to send revenue back to the USA without being taxed. If I remember correctly apple sentt back billions and used it for stock buybacks.
So money earned outside the USA rarely makes it back.
- b40d-48b2-979e 4mo agoMoney usually stays in the community where it is paid. Even within the US, local businesses keep something like 80% of the money local in the community (spent at other local businesses or banks, city taxes, etc.), meanwhile buying from a chain store has most of the money shipped to some tax haven in Texas or Arkansas.