No………………….
The data you’ve linked doesn’t square with the Fed analysis. I also couldn’t find a quote of Trump claiming that there is $5T to be repatriated. I’ve seen estimates around $2T, but I only looked for a few minutes, so if you could share a source, please and thank you.
Abstract: We investigate how companies with large holdings of cash abroad have used those funds following the Tax Cuts and Jobs Act, which eliminated prior tax disincentives on the repatriation of foreign earnings.
Before the Tax Cuts and Jobs Act (TCJA), foreign profits of U.S. multinational enterprises (MNEs) were subject to U.S. taxes, but only when repatriated. This system incentivized firms to keep profits abroad, and, by the end of 2017, U.S. MNEs had accumulated approximately $1 trillion in cash abroad, held mostly in U.S. fixed-income securities.2 Under the TCJA, the United States shifted to a quasi-territorial tax system in which profits are taxed only where they are earned (subject to minimum taxes); henceforth, U.S. MNEs’ foreign profits will therefore no longer be subject to U.S. taxes when repatriated. As a transition to this new tax system, the TCJA imposed a one-time tax (payable over eight years) on the existing stock of offshore holdings regardless of whether the funds are repatriated, thus eliminating the tax incentive to keep cash abroad.3
Balance of payments data show that U.S. firms repatriated just over $300 billion in 2018:Q1, roughly 30 percent of the estimated stock of offshore cash holdings (figure 1).
actually there is:
The Tax Cuts and Jobs Act of 2017 changed all that, bringing the U.S. more in line with other countries. For one, it lowered the corporate tax rate to a more competitive 21 percent. It also largely eliminated taxation of foreign earnings, and imposed a one-time tax – 15.5 percent on cash, 8 percent on other assets – on what companies had already accumulated.
Companies bring back the cash now. They get a 15.5 tax. They wait to long, the “grace” period ends and it goes to 21 percent. They wait until maybe dem’s take over things again and it goes back up to the 35%. I’d call that 15.5 to 21 an incentive.
Tax cut of 35% to 15.5% for repatriating money. Nearly 20% less tax. That sounds like a hell of an incentive to me.
It’s also a one time, one shot deal. The 15.5 is a one shot deal, AND they get to pay the tax due over a number of years. They waid, they then get the 21% top rate and have to pay the tax immediately.
15.5% AND pay the taxes over several years. Guess maybe the companies want to pay more tax at a later time.
I consider it a success and I’m far from rich.
$36 more per paycheck 26 times per year.
Electric company lowered rates due to the tax reform.
Gas company lowered rated due to the tax reform.
My car insurance company lowered my rate due to tax reform.
Just that alone . . . well I call it a success.
This should be constantly kept up with and reported. Thanks for the article.
why bring it back at all if you have it overseas in a 0% country?
So is “economic boom” apparently…
But Trump told us that money would come back quickly. And the incentive is there. So…what’s the old up?
Did you click the link in the OP? It has the 4-5 trillion quote.
Did you follow the link in the article to the WSJ’s analysis?
Should probably start there.
I’m sure the CEC has told him that if Democrats take the House, the tax cuts would be repealed. (which a poster already proclaimed a month ago)
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But the CEC has put this fear in their listeners. “If Democrats take the House, the economy will slow down, tax cuts repealed, DOOM I tell you, DOOM!”
Vote Republican.
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Tariff the product when the idea is to reap the 0%, then sell it back in the US.
I understand the huge initial expense of relocating and it will take time but…there should be steady progress that’s easy to monitor. Your thread shows where it is now and all of us should stay focused on it. This is important to our economy. If we don’t see steady progress and our debt continues to climb, then either taxes must go up or spending must go down. I’d have no problem with a time limit being set…like a government “groundhog day” where “we” come up out of our hole, look at the progress and make the decision.
In the meantime, brace for impact folks. We’re about to get even more taxes in the form of new tariffs:
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Maybe fear that libs would take over again.
Boring. We’ve already been over this. You’re late to the party.
how many cars/car parts have you sold in your lifetime that other countries have touched?
We’re not talking about manufacturing plants. We’re talk By about money sitting in off shore accounts. Aren’t we?
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he listens to too much Republican Media. hard to stop himself from repeating what they preach.
