For a simplistic mind like mine, it makes absolutely no sense, like many of the laws/policies in this country. The same with the abortion issues. How is it that a woman can have a late term abortion and not be charged with murder, but if you kill a pregnant woman you can be charged with 2 murders?
There is a very good example of an inequity in the law. If the child is not a child by the court's decision, but it is when the law is applied in a different case, isn't that a violation of the civil rights of the accused?
Today I read that Citigroup has 4000 subsidiaries registered as offshore companies, just to avoid paying taxes. I think that's just the tip of the iceberg, when it comes to how much power 'business' has usurped from we, the people.
AND
Just an example of Cheri's point, our beloved Halliburton has only 36 subsidiaries incorporated in the US; the rest (107 or 75%) are incorporated in 30 other countries.
Well here is a little lesson to quell that ignorance (sorry Cheri).
1 - you have fallen for the propaganda without any knowledge of why it is so. Most of this has been spun in the last two weeks from Obama (hey he is great with false propganda - who would have thought) and his ramping up of closing loopholes that are NOT loopholes.
2 - the problem with this is they are not trying to avoid taxes, it is something that has to do with the tax laws and double taxation. These places get taxed where they are operating irregradless of what our tax policies are.
3 - a lot of these companies have to have seperate companies (entities) in other countries to operate in those countries, their laws do not allow them to be a part of a company from another country, Ford foreign operations is a good example if you look at their history.
4 - a lot of these subsitiaries for Citi have been existing businesses that were bought out, their Hong Kong and Singipor opperations were long established before Citi gourp was formed.
5 - the idea that Haliburton has only X amount of subsitiaries here and X overseas is ingorant of the facts that they are responding to their customers needs, not the needs of the company. Look at what these subsitiaries do and then try to figure out how to keep them here.
6- the right thing to do is to eliminate the corporate taxes altogther if the concern is having the money off shore.
7 - remember that these corporate taxes are paid for by the consumer, not the corporation - it is all passed on throught the price of the service or product.
