Target: Apple CEO Tim Cook
Goal: Ensure profits stored in off-shore accounts are taxed at the corporate rate.
Congress recently released a report claiming Apple Inc. has avoided paying $9 billion in taxes, largely by storing profits in off-shore accounts. The Permanent Subcommittee on Investigations held a hearing Tuesday in which Senator Carl Levin insisted the off-shore accounts are used explicitly to avoid taxation, while Senator John McCain claimed the company has avoided paying taxes on $44 billion in income over the last four years. Apple CEO Tim Cook denied the allegations.
Popular products such as the iPhone and iPad continue to keep Apple Inc. profits soaring; Apple’s most recent quarterly revenue was reported at $43.6 billion. The company belongs to a larger cohort of corporations that have been shifting profits to tax-friendly locations across the globe, according to Bloomberg. Said the news agency, “Microsoft, Apple and Google Inc. each added to their non-U.S. holdings by more than 34 percent as they expanded on prior tax maneuvers to earn and park profits in low-tax countries.”
By abusing the tax code, Apple has avoided paying the 35% corporate tax rate on profits that are owed to the federal government. While many Americans face cuts to vital services due to underfunded social welfare programs, Apple hoards untaxed income to further exacerbate income inequality. Demand that Apple pay its fair share of taxes to the American people.
Dear Tim Cook,
A report written by the Permanent Subcommittee on Investigations claims Apple, Inc. has failed to pay $9 billion in taxes. Apple belongs to a cohort of larger companies that shift profits to tax-friendly locations across the globe to avoid paying taxes rightfully owed to the federal government.
By abusing the tax code, Apple avoids the 35% corporate tax rate that is in place to fund, among other things, critical social services. In a time when many families experience severe hardship due to a recession and a lackluster economic outlook, Apple refuses to pay its fair share.
Take heed of the criticism delivered by Senators Carl Levin and John McCain. Exploiting tax loopholes to avoid paying taxes hurts the economy and therefore the livelihood of hardworking Americans. Stop shifting profits to off-shore accounts and pay taxes rightfully owed.
[Your Name Here]
Photo credit: Apple, Inc. via Wikimedia Commons