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The borrowing route opens up cheaper ways to return the oversea cash piles. If the American divisoon of Apple get a loan from a company with branches in other
by Zenst 13y ago
The borrowing route opens up cheaper ways to return the oversea cash piles. If the American divisoon of Apple get a loan from a company with branches in other countries they have cash piles then the possibilities to avoid TAX on that overseas money becomes more open than it currently stands.
Either that or it allows them to capitalise upon there cash asset in a way that does not open it up to current American TAX and allows more time until the American TAX system does some amnesty TAX deal for overseas cash Amrican companies have sitting and growing. Not just Apple, many have huge oversea cash piles and TAX laws have changed in the past to accomodate such situations and will probably happen again for a short term cash injection.
- twoodfin 13y agoIf the American divisoon of Apple get a loan from a company with branches in other countries they have cash piles then the possibilities to avoid TAX on that overseas money becomes more open than it currently stands. How does that work? I would be a little surprised if such a scheme had any effectiveness in reducing U.S. tax liability.
- deleted 13y ago[deleted]
- Zenst 13y agoI'm no TAX expert, let alone multi country TAX laws but from what I understand a company can get a loan, they can get that lkoan in another country which they have a pile of cash sitting and pay that loan off from that money. They could bring that loan money into America as it is not profit as it is debt in a vailed form.