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Profit apportionment

by on December 4, 2013

This could help with the whole issue of corporations and tax havens.
Profit apportionment* is a neat trick to counteract the business routine of running away with all the loot when no one’s looking.**

Make them share the wealth, based on how much business they do in a certain area. The U.S. already does it for inter-state business. No reason it can’t be applied to international business, too!

Corporations will of course fight this tooth and nail. That’s because they are anti-globalisation: they want a world that’s divided, divide and conquer …make a killing in country A (taxed), but shift profits to country B (with crazy loopholes).

deepintolove-com

* a.k.a. ‘profit apportionment by formula’ or ‘formulary apportionment’

** “eliminate the tax incentive for U.S. companies to move earnings offshore”
http://taxjustice.blogspot.co.uk/2013/11/bloomberg-advocates-profit-apportionment.html

Pic: deepintolove-com

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