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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: 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