In a bid to prevent what has been called the biggest tax evasion scheme of its kind—and others like it—Sen. Bernie Sanders of Vermont has urged U.S. Treasury Secretary Jack Lew to use his agency's authority to block the planned merger of two pharmaceutical giants.
Viagra-maker Pfizer's proposal to acquire Allergan, which manufactures Botox, is "nothing less than a tax scam," Sanders wrote in a letter (pdf) sent to Lew on Friday.
The so-called "corporate inversion," which would allow Pfizer to
profit from a lower corporate tax rate in Allergan's home country of
Ireland, could starve the U.S. government of up to $35 billion in tax
revenue, Sanders said, citing a recent report from consumer group Americans for Tax Fairness.
Starving, with an expectation of 4 trillion in spending, 25 billion is chump change.
Perhaps Sanders should focus on fixing our broken tax system.
Sadly Lou Sanders is probably right. I read a conversation recently with Tim Cook about the whole IPhone deal. Within that conversation he said and I quote, " Apple is a well respected company that could not have happened anywhere except the United States", but by god he'll stash his money overseas before he brings it here to support the country that by his own admission was the only place his company could have been as successful as it has been. Hypocrite!
ReplyDeleteA company makes money overseas. Why should they bring it back to the US and pat a 35% tax on money made overseas???
DeleteMicrosoft purchased Skype for 6 billion dollars with money that was made and left overseas.
I sent a letter to Bernie telling him corporations shouldn't be charged any tax, because they don't pay it anyway. The consumer does. I went on to say that the middle class can only thrive when those above them don't pay taxes.
DeleteI sent off a letter to the Trumpster suggesting they promote fair trade agreements where imports equal exports of tariffs apply.
DeleteNo answer so far. Perhaps I should sent it to Bernie.