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Fri Jan 31, 2014, 12:56 PM

 

How states can reclaim 1 billion from offshore tax dodgers!

http://m.washingtonpost.com/blogs/govbeat/wp/2014/01/31/how-states-can-reclaim-1-billion-from-offshore-tax-havens/

For years, corporations were--and still are--shifting profits to offshore tax havens, starving Montana and other states of millions in revenues. So the Big Sky state introduced a simple fix: make corporations report profits going to known tax havens and then tax a share of it, relying on the same formula the state uses to calculate how to tax businesses with operations throughout the nation. In 2010, alone, Montana’s solution to the problem raked in $7.2 million in cash.

Last summer, Oregon became the only other state to join it, but there are others who stand to gain millions through making similar changes, according to a new report. Some 21 other states already require corporations report profits generated in and out of the state, according to the report produced by the U.S. Public Interest Research Group, a pro-consumer group countering big banks, insurers, manufacturers and other special interests. If those states had been taxing profits diverted to offshore havens in 2012, they could have generated another billion dollars in revenue, the group estimates.

“With Congress often gridlocked, states should take action to reduce the impact of offshore tax havens on state budgets,” the report’s authors argue.

Estimates of the federal impact vary, but a report last year from the nonpartisan Congressional Research Service cited a range of $10 billion to $90 billion in lost revenues annually. Yet, despite broad support for taxing corporate overseas profits and high-profile stories on the practice, the federal government has yet to do much about the problem. Enter the states.

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Reply How states can reclaim 1 billion from offshore tax dodgers! (Original post)
grahamhgreen Jan 2014 OP
Scuba Jan 2014 #1
grahamhgreen Jan 2014 #3
Samantha Jan 2014 #2

Response to grahamhgreen (Original post)

Fri Jan 31, 2014, 01:00 PM

1. My Governer (sic) has a different plan: Raise taxes on teachers and give the money to Corporations.

 

And not just teachers, but all working people.

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Response to Scuba (Reply #1)

Fri Jan 31, 2014, 01:03 PM

3. Despite broad bipartisan support for increasing taxes on the hoarding class!!!

 

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Response to grahamhgreen (Original post)

Fri Jan 31, 2014, 01:01 PM

2. Interesting

Thank you for posting this.

Sam

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