Skip to content

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).


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

** “eliminate the tax incentive for U.S. companies to move earnings offshore”

Pic: deepintolove-com

From → In a nutshell

Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: