Roger Fingas
The $178 billion in cash reserves Apple held at the end of 2014 was more than aggregate of every other non-financial U.S. industry sector, excluding the technology and medical industries, according to a Moody's Investors Service study released on Thursday.
The U.S. technology sector had a combined $690 billion in cash in 2014. Apple has been the top American cash holder since 2011, Moody's said. Apple controlled 10.2 percent of all the cash held by companies in the study.
In terms of individual corporations, Microsoft's $90.2 billion in cash ranked it second next to Apple, while Google came in third with $64.4 billion. Rounding out the top 10 were Pfizer, Cisco, Oracle, Johnson & Johnson, Qualcomm, Medtronic, and Merck.
Apple's cash reserves climbed even higher during the March quarter to $194 billion. $171 billion of that was kept overseas, however, since like a number of major American businesses, Apple has refused to repatriate the money at current tax rates. Apple and other businesses have periodically lobbied for a one-time tax "holiday" to bring cash back.
On April 27, Apple announced that it was adding another $50 billion to its capital return program, which should now see a total of $200 billion given to shareholders by the end of March 2017. That includes a higher dividend for the recent quarter, increased from $0.47 to $0.52 per share.
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31 Comments
Here's a idea, the U.S. could drop it's crazy high Tax 35% rate rate just to bring the money back into the U.S. I don't believe other countries do this. That would be like The E.U. taxing Apple for the money Apple made in the U.S. It's double taxation and for what? Apple and other U.S. company's that made money outside of the U.S. shouldn't even be taxed, but if that's going to happen, it should be far less!!! Not just a one time thing, a all the time thing!!! The Government would be getting something and not nothing. Bring the money home opens up new business here which means JOBS which brings in even more money to the government. Studies have shown time after time, when you jack up taxes, you end up bring in less money in taxes. Think about it. But it sounds better to tax those evil rich people. All that happens is they pay less in taxes.
Apple's paid foreign tax on that money, in theory, which is tax-deductible from the 35% rate to repatriate the money. So, not "double tax", just evening off at 35% overall. Of course, if they've already deducted the foreign tax paid on the money from it's domestic income, it would feel like double taxation...but then again, they've probably been paying less than their fair share on domestic money.
Here's a idea, the U.S. could drop it's crazy high Tax 35% rate rate just to bring the money back into the U.S. I don't believe other countries do this. That would be like The E.U. taxing Apple for the money Apple made in the U.S. It's double taxation and for what? Apple and other U.S. company's that made money outside of the U.S. shouldn't even be taxed, but if that's going to happen, it should be far less!!! Not just a one time thing, a all the time thing!!! The Government would be getting something and not nothing. Bring the money home opens up new business here which means JOBS which brings in even more money to the government.
Studies have shown time after time, when you jack up taxes, you end up bring in less money in taxes. Think about it. But it sounds better to tax those evil rich people. All that happens is they pay less in taxes.
Yeah... When those taxes were 75% to 95% in the last century, the U.S. Government could barely operate on the pittance they took in. Hitler and the Commies just rolled right over us. And the middle-class were so bad off.
America produced nothing in the 20th Century!
Apple's paid foreign tax on that money, in theory, which is tax-deductible from the 35% rate to repatriate the money. So, not "double tax", just evening off at 35% overall. Of course, if they've already deducted the foreign tax paid on the money from it's domestic income, it would feel like double taxation...but then again, they've probably been paying less than their fair share on domestic money.
How do you figure, since they pay domestically 26%... per the IRS public tax statement .. Thats MORE than nearly every business in the US.. In-fact.. most large businesses pay well under 35%, average is UNDER 13%..
Guess who we DONT see on USA Todays list for 0% tax companies? Apple...
http://www.usatoday.com/story/money/business/2013/10/23/big-companies-pay-no-taxes/2480281/
So please.. explain how they are 'under' paying domestically? Or is that just stupid you're speaking w/o actually having a clue?
[quote name="tlevier" url="/t/186172/apple-cash-reserves-greater-than-those-held-by-most-us-industries-combined#post_2721031"]Apple's paid foreign tax on that money, in theory, which is tax-deductible from the 35% rate to repatriate the money. So, not "double tax", just evening off at 35% overall. Of course, if they've already deducted the foreign tax paid on the money from it's domestic income, it would feel like double taxation...but then again, they've probably been paying less than their fair share on domestic money.[/quote] Ah, the "fair share" brigade is here! :no: [quote name="AppleZilla" url="/t/186172/apple-cash-reserves-greater-than-those-held-by-most-us-industries-combined#post_2721035"] Yeah... When those taxes were 75% to 95% in the last century, the U.S. Government could barely operate on the pittance they took in. Hitler and the Commies just rolled right over us. And the middle-class were [I]so [/I]bad off. America produced nothing in the 20th Century! [/quote] The US government brought in 470 [B]billion[/B] dollars in April alone. Cry me a river about their budget issues.