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from the a-billion-here-and-a-billion-there...-now-you're-starting-to-talk-about-real-money dept.
Apple invests $350 billion (with a "B") in USA over next 5 years
https://www.apple.com/newsroom/2018/01/apple-accelerates-us-investment-and-job-creation/:
Apple today announced a new set of investments to build on its commitment to support the American economy and its workforce, concentrated in three areas where Apple has had the greatest impact on job creation: direct employment by Apple, spending and investment with Apple's domestic suppliers and manufacturers, and fueling the fast-growing app economy which Apple created with iPhone and the App Store. Apple is already responsible for creating and supporting over 2 million jobs across the United States and expects to generate even more jobs as a result of the initiatives being announced today.
Combining new investments and Apple's current pace of spending with domestic suppliers and manufacturers — an estimated $55 billion for 2018 — Apple's direct contribution to the US economy will be more than $350 billion over the next five years, not including Apple's ongoing tax payments, the tax revenues generated from employees' wages and the sale of Apple products.
[...] "Apple, already the largest US taxpayer, anticipates repatriation tax payments of approximately $38 billion as required by recent changes to the tax law. A payment of that size would likely be the largest of its kind ever made."
Using the new 15.5 percent repatriation tax rate, the $38 billion tax payment disclosed by Apple means they are doing a $245 billion repatriation. Apple had $252.3 billion in overseas cash as of the end of September quarter, according to SEC filings so that means the company is bringing back nearly all of its foreign cash.
Apple announces plans to repatriate billions in overseas cash and contribute $350B to US economy!
"Apple on Wednesday made a slew of announcements about its investment in and contribution to the U.S. economy in part because of the new tax law.
The headline from Apple is that it will make a $350 billion 'contribution' to the U.S. economy over the next five years, although it's unclear exactly how the company came to that number." https://www.cnbc.com/2018/01/17/apple-announces-350-billion-investment-20k-jobs-over-5-years.html
(Score: 4, Insightful) by Azuma Hazuki on Friday January 19 2018, @04:29AM (17 children)
1) What's the catch?
and
2) What do we lose in order to gain this?
See, I don't trust this to be anything other than PR. We're not told what those jobs are, how long they'll be around, etc., and we're not told who gets the money. Some people (*ahem*) are so eager to jump on their poor-persecuted-businesses soapbox that they're not stopping to consider the longer term here. This smells worse than two day old visitors with four day old fish.
I am "that girl" your mother warned you about...
(Score: 5, Insightful) by Anonymous Coward on Friday January 19 2018, @04:36AM (6 children)
They just want to further entrench the idea that tax cuts for corporations and the rich result in more jobs, higher wages, more investments, etc. Many of these corporations are either providing benefits that don't last (a one-time bonus) or doing doing things they already planned to do anyway and then claiming it's because of the tax cut. Suckers are falling for this in droves.
(Score: 4, Insightful) by Azuma Hazuki on Friday January 19 2018, @04:43AM (5 children)
Yeah, and one of them is the first post(er) in this thread. Utterly predictable. I wouldn't believe someone could be this stupid, this self-servingly gullible, if I didn't see it on a daily basis.
I am "that girl" your mother warned you about...
(Score: 0, Troll) by Anonymous Coward on Friday January 19 2018, @05:09AM (4 children)
Right there, in that comment:
Yep. That's about you. You dismiss facts which fail to affirm your feelings.
(Score: 0) by Anonymous Coward on Friday January 19 2018, @12:13PM
People who disagree with me are all closed-minded fools who are just ignoring facts. Saying that means I automatically win the argument.
(Score: 2) by Runaway1956 on Friday January 19 2018, @07:06PM (1 child)
Feelies? See my sig . . . damned liberals.
(Score: 0) by Anonymous Coward on Friday January 19 2018, @09:41PM
Youussa is a biiiiiiiig floopajabba. Shoulda learnad better readings skills. Maybe youssa could jump into da dumpsta fyre.
(Score: 2) by Azuma Hazuki on Friday January 19 2018, @09:12PM
You're obsessed with me, guy. Sorry to break this to you, but 1) I've got a girlfriend, soon to be wife and 2) I'm gay, so your chances are about the same as...well, as this not being a gigantic propaganda operation. Cry some more.
I am "that girl" your mother warned you about...
(Score: 0) by Anonymous Coward on Friday January 19 2018, @05:07AM (1 child)
> What's the catch?
One catch for sure is the amount of public money that will be requested/demanded for each new project. I'm sure Apple will act just like every other big company, playing one city/state/IDA off against another to get the best aid package. A few local governments have gotten smart and figured out that paying a company $Million per job is corporate welfare that isn't going to pay back anytime soon.
(Score: 2, Interesting) by Sulla on Friday January 19 2018, @04:08PM
What is wrong with some competition? About five years ago my town had the opportunity to fill a vacant lot that was bringing in no tax revenue with a google facility that wanted a five to ten year property tax break, in exchange for them being in the building for as long as they got a tax break the city would have received several thousand jobs. This is a meaningful trade when the lot would have not been used anyways because the people who get a job there or come to work there will buy property for the time they are here and then pay taxes on that property - these properties also would not have sold or been built had the facility not been given that original tax break.
For my town we knew how this works because we had the same thing happen with Hynix. Hynix came in for a 10 year waver and ended up staying an additional 5 because they liked the area and the workers they had. Hynix only ended up closing because they would have had to retool the plant, they asked for at three year property tax exemption in order to help cover the costs but were told to f off.
Companies will compete to find the best place to run their business from and there are a lot of factors that go into this, but at the end of the day it is worth it (in some cases) to provide exemptions (especially property tax) to entice business into the area. There was that recent flap about google wanting additional money other than the property tax break in order to move in, but if they are bringing gigabit internet to the area that is a quantifiable resource that your city can then market.
Ceterum censeo Sinae esse delendam
(Score: -1, Troll) by Anonymous Coward on Friday January 19 2018, @05:16AM (3 children)
Apple can see the writing on the wall. If they resist making America great again, Trump will find some way to make them suffer greatly over the next 7 years.
Apple might be completely unpatriotic, but they can be made to take patriotic actions.
(Score: 2) by c0lo on Friday January 19 2018, @05:37AM
Another idiotic AC or one holding a partisan interest in the matter.
This is what you gonna lose [soylentnews.org]
https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford
(Score: 2) by MostCynical on Friday January 19 2018, @07:02AM
Patriotism bought with your tax money.
Actually, not yours, and no extra for hospitals, roads, or other infrastructure.
Tax cuts for all! They can buy elections, after all! http://theconversation.com/howards-end-how-the-coalitions-last-budget-created-the-ground-for-the-current-deficits-13848 [theconversation.com]
"I guess once you start doubting, there's no end to it." -Batou, Ghost in the Shell: Stand Alone Complex
(Score: 0) by Anonymous Coward on Friday January 19 2018, @09:44PM
Heh, that is some hopeful faith you have there. If the plummeting approval ratings and trumpgret aren't enough to convince you then you might want to look into sterilization so you never have to figure out raising a child.
(Score: 5, Informative) by c0lo on Friday January 19 2018, @05:35AM
An increased federal deficit by $1.487 trillion over the 10 years [businessinsider.com], that's what you'll get. Which will transform in more cuts in social services.
---
The deficit is to be recovered from "trickle down in reverse". Specifically: [vox.com].
https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford
(Score: 4, Insightful) by shortscreen on Friday January 19 2018, @05:49AM
There's no need for such cynicism. I can already see the storm of job postings coming over the horizon. Walled Garden Curator. Head Creative Terms of Service Writer. Obsolesence Planner. Senior Corner Rounder-offer!
(Score: 1, Informative) by Anonymous Coward on Friday January 19 2018, @11:22AM (1 child)
All of it is going straight as dividends.
A few trillion.
Actually, the catch is that under new tax law, it no longer matters where the money is. So Apple would pay the greatly reduced tax rate whether it keeps money in Ireland or moves it to US and pays out dividends. Prior to the tax changes, they would pay no taxes as long as money wasn't in America... 1800s tax laws don't work with Internet commerce.
(Score: 2) by Azuma Hazuki on Friday January 19 2018, @09:02PM
That sounds about like what I suspected, yeah :/ Thank you for filling in the blanks there.
I am "that girl" your mother warned you about...