Apple holding $181 billion in profit offshore, study says

[Newsjock]

Source: San Jose Mercury News

With $181 billion stashed overseas, Apple tops the list of U.S. companies that hold the most offshore profit, according to a new study released Tuesday.

Citizens for Tax Justice and the U.S. Public Interest Research Group Education Fund used the companies’ SEC filings in the study, which found that Fortune 500 companies held more than $2.1 trillion in profit overseas in 2014.

Apple would have to pay more than $59 billion in taxes if the company tried to bring its $181 billion back to the United States, according to the study, which also noted that the Cupertino tech giant has three tax-haven subsidiaries overseas.

... The study put GE at No. 2 on the list, with $119 billion held offshore.

Read more: http://www.siliconbeat.com/2015/10/07/apple-holding-181-billion-in-profit-offshore-study-says/

[msongs]

1. all that profit and still they gouge customers with exhorbitant prices nt

[philosslayer]

2. If the prices are so exhorbitant, why are people paying?

Apple's products are superior. They can fetch a higher price because of it. And they do.

[apnu]

4. Their products are superior, they still over change for them however.

They are all luxury engineered products. Like Mercedes Benz, great things, also expensive things and more expensive because of the logo stuck on the thing. Apple's jacking the price up on its products, they always have done that, even back to Job's garage days, they always will. Everybody knows this.

But we are a vain species, and though something is expensive, many will have the expensive thing so they can be star bellied sneeches, the best on the beaches.

Its no different with Coach handbags and any other luxury item.

The difference with Apple is, and you pointed it out, their products are actually good, unlike Coach handbags which are nice looking garbage.

[philosslayer]

12. The market will bear what the market will bear

People have lots of choices when it comes to technology. It may be your opinion that they overcharge, but for all the products can do, some would argue they are a bargain.

[Xithras]

7. The same reason why people buy $150 Nikes instead of $50 Adidas sneakers

Brand recognition, marketing, social status. The product itself differs only in the details.

[arcane1]

3. And the people that actually make the devices are threatening mass-suicide.

But thanks to the miracles of branding, Apple is viewed as one of the most ethical and friendly companies ever.

[newblewtoo]

15. And that was the true

genius of Steve Jobs. Scary sad if you ask me. Only 18% of all phones world wide are Apple and those made in virtually slave labor camps as you mention. Cook, however, can't seem to pull the 'magic beans' out like Steve Jobs could. Sales: It is all about the story and how you tell it. A good salesman can sell snow cones to Eskimos the old saying goes. Jobs could sell those snow cones!!

I worked on Apple computers very early in my career and found them to be quirky with proprietary software, parts, and accessories, through a sales system which made them very expensive to maintain. While Apple owned the graphics and print market, business fled to Microsoft clones in droves.

[alfredo]

16. Apple dropped Foxconn, moving their operation to another plant.

The threat was against Foxconn, not Apple. Apple is just one company that used the Foxconn plant. Foxconn was not living up to the Contract with Apple, and that contract contains language against human rights abuses.

Anyway, the threat against Foxconn worked. They raised wages and improved conditions. It was too little too late as far as Apple was concerned. They were out the door.

Tim Cook takes a harder line against companies that misbehave. Cook has a long friendship with the owner of the plant, Pegatron.

China's suicide rate is lower than the US.

http://www.worldlifeexpectancy.com/cause-of-death/suicide/by-country/


A map by WHO

?ua=1

[OhioChick]

21. And pay their employees slave wages n/t

[apnu]

5. $122 billion. That's how much Apple would have if it paid its taxes.

ONE HUNDRED AND TWENTY TWO BILLION DOLLARS! Would be left over. Anybody who gives Apple sympathy for a $59B tax bill has something wrong with them.

[TM99]

10. For an idea of how much $122 billion really is

let's consider this --

http://finance.yahoo.com/photos/u-budget-deficit-122-billion-photo-152341610.html

The entire US budget deficit for October is $122 billion!

Fuck Apple.

[alfredo]

14. Obama can't get congress to make the needed changes.

Until we recapture the House, and gain a filibuster proof Senate, nothing will be done.

Corporations won't do it on their own. If Apple did it, and their competitors didn't, it would put them at a disadvantage.

[NotHardly]

6. Where do I sign up to be able to use this device to lower my tax bill???

Seems like every citizen in US ought to be able to benefit in the same way....surely Uncle Sam wants to treat all their little children as equals... people are people too, just like corporations.

[PoliticAverse]

8. Just set up your own Double Irish...

https://en.wikipedia.org/wiki/Double_Irish_arrangement

[Gumboot]

9. With the amount of profit Apple makes...

... they could easily afford to build their products in America - without using prison labour.

Just sayin'...

[alfredo]

13. They have started moving their plants back to the US.

Last edited Wed Oct 7, 2015, 05:49 PM - Edit history (1)

On edit: I have been searching for any evidence that Apple uses prison labor, so far I have found nothing. A statement out of Apple: http://www.apple.com/supplier-responsibility/progress-report/


I haven't checked on their progress so far, but I think it is something Tim Cook wants. I know the Mac Pro is being made in Austin Texas. If they are willing to bring more back home, they have to make sure they have a reliable, local supply chain. They also need an educated workforce.

The biggest issue is not just cost of labor, it is the supply chain. If all the RAM is made in Malaysia, and the motherboards in Korea, the shipping costs, and delivery time to Austin raises the cost per unit. I'm sure they didn't move the Mac Pro to Austin until they had the local suppliers they needed for the computer.

When I ran a bike shop, out of necessity I ordered from a business in Louisville Ky because it was quick. If we were in a rush we could drive down and pick up the parts the same day.

Another supplier was Oschner & Oschner in Chicago. Their products were good, but shipping and delivery time cut into our bottom line.

[TeamPooka]

17. That's why Steve Jobs is the Henry Ford of the 21st Century...in China. The USA not so much. nt

[alfredo]

11. How much of that profit was made off shore?

[TeamPooka]

18. Since that's their offshore stash I'd say all of it.

[alfredo]

19. If they were moving US profits off shore, that would be different.

I don't think they will change until the law changes, and the laws won't change as long as Republicans control Congress.

[alfredo]

20. Companies that use prison labor. Apple isn't one of them.

http://www.buycott.com/campaign/504/boycott-companies-that-utilise-prison-labour