Good news for America; bad news for DEMOCRATS

[Legion]

U.S. companies have sent home over half a trillion dollars of cash they held overseas in 2018 to take advantage of tax changes. The repatriation bonanza followed new regulations that allowed the U.S. government to tax profits accumulated overseas, regardless of where the money was held. Prior rules allowed companies to “defer” U.S. tax on worldwide profits unless they repatriated the money.

The change offered a powerful incentive to bring home some of the trillions U.S. firms were believed to hold in jurisdictions ranging from Ireland to Switzerland, either in cash or in securities such as U.S. Treasuries.

The current account data shows repatriation in all sectors. Looking at just non-financial companies, JPMorgan calculates $60 billion was repatriated in the third quarter, $225 billion in the first quarter and $115 billion in the second quarter.

Repatriation flows are also evident from data released by the U.S. Treasury International Capital, or TIC. That shows Treasury bond holdings falling in locations that are well known as low-tax jurisdictions or overseas bases of U.S. companies or that host significant fund management or custody business.

Ireland, which hosts the European hubs of U.S. technology and pharmaceutical companies such as Apple and Pfizer, saw Treasury holdings drop by $40 billion between end-2017 and end-October 2018, TIC data released on Dec. 17 shows. The holdings fell by over a tenth in January-October to $287.6 billion.

Repatriation is likely to affect markets, because the flows helped fund this year’s record $1 trillion in U.S. share buybacks. A Jefferies analysis of a Federal Reserve paper looking at the use of repatriated cash concluded it had significantly enhanced buybacks, effectively placing a floor under stock markets.



https://www.reuters.com/article/us-us-repatriation-companies/u-s-companies-repatriate-over-half-a-trillion-dollars-in-2018-idUSKCN1OU0ME

[Bourbon]

No Wall for You

[Old Trapper]

U.S. companies have sent home over half a trillion dollars of cash they held overseas in 2018 to take advantage of tax changes. The repatriation bonanza followed new regulations that allowed the U.S. government to tax profits accumulated overseas, regardless of where the money was held. Prior rules allowed companies to “defer” U.S. tax on worldwide profits unless they repatriated the money.

The change offered a powerful incentive to bring home some of the trillions U.S. firms were believed to hold in jurisdictions ranging from Ireland to Switzerland, either in cash or in securities such as U.S. Treasuries.

The current account data shows repatriation in all sectors. Looking at just non-financial companies, JPMorgan calculates $60 billion was repatriated in the third quarter, $225 billion in the first quarter and $115 billion in the second quarter.

Repatriation flows are also evident from data released by the U.S. Treasury International Capital, or TIC. That shows Treasury bond holdings falling in locations that are well known as low-tax jurisdictions or overseas bases of U.S. companies or that host significant fund management or custody business.

Ireland, which hosts the European hubs of U.S. technology and pharmaceutical companies such as Apple and Pfizer, saw Treasury holdings drop by $40 billion between end-2017 and end-October 2018, TIC data released on Dec. 17 shows. The holdings fell by over a tenth in January-October to $287.6 billion.

Repatriation is likely to affect markets, because the flows helped fund this year’s record $1 trillion in U.S. share buybacks. A Jefferies analysis of a Federal Reserve paper looking at the use of repatriated cash concluded it had significantly enhanced buybacks, effectively placing a floor under stock markets.



https://www.reuters.com/article/us-us-repatriation-companies/u-s-companies-repatriate-over-half-a-trillion-dollars-in-2018-idUSKCN1OU0ME

Ahhhh, another example of true dyed right wing useful idiot. As usual, you did not actually read the article, you just cherry picked what works for your low IQ "opinion". And then you post a slide of Trump enjoying having a dick slid up his ass. From the article:

Business News
December 31, 2018 / 4:54 AM / a day ago
U.S. companies repatriate over half a trillion dollars in 2018, but pace slows

(Reuters) - U.S. companies have sent home over half a trillion dollars of cash they held overseas in 2018 to take advantage of tax changes, but data suggest the pace is slowing, potentially removing a key source of support for Wall Street.


500 billion out of an estimated 2-21 TRILLION. And who benefits from it?

Furthermore:

"Shrinking repatriation is likely to affect markets, because the flows helped fund this year’s record $1 trillion in U.S. share buybacks. A Jefferies analysis of a Federal Reserve paper looking at the use of repatriated cash concluded it had significantly enhanced buybacks, effectively placing a floor under stock markets.

But U.S. equities have endured a dismal few months as worries have grown for economic growth. The last quarter of 2018 has been the worst for the S&P500 index since the end of 2008 when the Lehman Brothers crisis erupted.

Should flows dwindle further, “the extra boost that U.S. repatriation provided to U.S. equity and bond markets via share buybacks and corporate bond redemptions would likely dissipate next year,” JPMorgan told clients"

[Legion]

Ahhhh, another example of true dyed right wing useful idiot. As usual, you did not actually read the article, you just cherry picked what works for your low IQ "opinion".

You forgot to add this: "Because companies had probably already pre-booked a one-off tax hit for the year, repatriation will have dwindled further in the last quarter".

Presumably repatriation will continue in the new tax year.

Who benefits from tax cut? People and companies who pay taxes, mature masturbator.

And who told you that $21 trillion is held offshore?

[Old Trapper]

You forgot to add this: "Because companies had probably already pre-booked a one-off tax hit for the year, repatriation will have dwindled further in the last quarter".

Presumably repatriation will continue in the new tax year.

Who benefits from tax cut? People and companies who pay taxes, mature masturbator.

And who told you that $21 trillion is held offshore?

Well little dog fucker, explain just how the common person benefits from this. The cash repatriated was used for stock buybacks.

[Legion]

Well little dog fucker, explain just how the common person benefits from this. The cash repatriated was used for stock buybacks.

You think people who didn't expatriate trillions should expect to benefit directly from a tax break designed to incite repatriation of other people's money, mature masturbator?

The financial analysis in the article explains how America benefits. Read it, and if you need help with big words, let me know.

[katzgar]

U.S. companies have sent home over half a trillion dollars of cash they held overseas in 2018 to take advantage of tax changes. The repatriation bonanza followed new regulations that allowed the U.S. government to tax profits accumulated overseas, regardless of where the money was held. Prior rules allowed companies to “defer” U.S. tax on worldwide profits unless they repatriated the money.

The change offered a powerful incentive to bring home some of the trillions U.S. firms were believed to hold in jurisdictions ranging from Ireland to Switzerland, either in cash or in securities such as U.S. Treasuries.

The current account data shows repatriation in all sectors. Looking at just non-financial companies, JPMorgan calculates $60 billion was repatriated in the third quarter, $225 billion in the first quarter and $115 billion in the second quarter.

Repatriation flows are also evident from data released by the U.S. Treasury International Capital, or TIC. That shows Treasury bond holdings falling in locations that are well known as low-tax jurisdictions or overseas bases of U.S. companies or that host significant fund management or custody business.

Ireland, which hosts the European hubs of U.S. technology and pharmaceutical companies such as Apple and Pfizer, saw Treasury holdings drop by $40 billion between end-2017 and end-October 2018, TIC data released on Dec. 17 shows. The holdings fell by over a tenth in January-October to $287.6 billion.

Repatriation is likely to affect markets, because the flows helped fund this year’s record $1 trillion in U.S. share buybacks. A Jefferies analysis of a Federal Reserve paper looking at the use of repatriated cash concluded it had significantly enhanced buybacks, effectively placing a floor under stock markets.



https://www.reuters.com/article/us-us-repatriation-companies/u-s-companies-repatriate-over-half-a-trillion-dollars-in-2018-idUSKCN1OU0ME

if you wanted to be honest you would have posted the fact that only about 1/6 of the money parked overseas has been repatriated. But as usual you're not honest.

[Legion]

if you wanted to be honest you would have posted the fact that only about 1/6 of the money parked overseas has been repatriated. But as usual you're not honest.

If you weren't stupid you would have seen this and understood what it meant, grandpa:

"Because companies had probably already pre-booked a one-off tax hit for the year, repatriation will have dwindled further in the last quarter". Presumably repatriation will continue in the new tax year.

But you are stupid, old man.

[Master Fang]

U.S. companies have sent home over half a trillion dollars of cash they held overseas in 2018 to take advantage of tax changes. The repatriation bonanza followed new regulations that allowed the U.S. government to tax profits accumulated overseas, regardless of where the money was held. Prior rules allowed companies to “defer” U.S. tax on worldwide profits unless they repatriated the money.]

Maybe this Einstein here can explain why the deficit continues to grow.

[Legion]

Maybe this Einstein here can explain why the deficit continues to grow.

Maybe you can explain what deficits have to do with repatriation of overseas wealth.

I'll understand if you can't.

[katzgar]

If you weren't stupid you would have seen this and understood what it meant, grandpa:



But you are stupid, old man.

I know lacking and education there's a lot of stuff in this life that's difficult for you but just trying to understand that a small number is smaller than a bigger number

[Legion]

I know lacking and education there's a lot of stuff in this life that's difficult for you but just trying to understand that a small number is smaller than a bigger number

I didn't think you could understand the financial ramifications of repatriating offshore wealth, grandpa, and I was right.

Prior to the Tax Cuts and Jobs Act (TCJA), the tax code created major disincentives for U.S. companies to repatriate their earnings, or bring earnings made overseas back to the United States. Changes in the TCJA eliminate these disincentives, thus, going forward, companies do not face the old barriers which discouraged repatriation. The Tax Cuts and Jobs Act (TCJA) changed the U.S. tax system from one where the worldwide income of U.S. corporations was taxed to one which only taxes income earned within the United States. These changes removed a major barrier to repatriation, or the process by which companies bring overseas earnings back to the United States. Going forward companies do not face the old tax barriers which discouraged repatriation. To transition to the new system, the TCJA imposed a one-time tax of 15.5 percent on liquid assets and 8 percent on illiquid assets, payable over eight years. Recent estimates show companies held about $1 trillion of overseas earnings in liquid assets. Most of this $1 trillion is invested in dollar-denominated bonds, such as U.S. Treasuries. Repatriation has significantly increased since enactment of the TCJA. More earnings were repatriated in just the first sixth months of 2018 than in 2015, 2016, and 2017 combined. Repatriation, or the potential of an inflow of capital into the United States, is not the reason the TCJA is expected to boost investment and grow the economy. The lower corporate tax rate drives the long-run economic growth expected from the TCJA.

https://taxfoundation.org/tax-cuts-and-jobs-act-repatriation/

[katzgar]

I didn't think you could understand the financial ramifications of repatriating offshore wealth, grandpa, and I was right.

Prior to the Tax Cuts and Jobs Act (TCJA), the tax code created major disincentives for U.S. companies to repatriate their earnings, or bring earnings made overseas back to the United States. Changes in the TCJA eliminate these disincentives, thus, going forward, companies do not face the old barriers which discouraged repatriation. The Tax Cuts and Jobs Act (TCJA) changed the U.S. tax system from one where the worldwide income of U.S. corporations was taxed to one which only taxes income earned within the United States. These changes removed a major barrier to repatriation, or the process by which companies bring overseas earnings back to the United States. Going forward companies do not face the old tax barriers which discouraged repatriation. To transition to the new system, the TCJA imposed a one-time tax of 15.5 percent on liquid assets and 8 percent on illiquid assets, payable over eight years. Recent estimates show companies held about $1 trillion of overseas earnings in liquid assets. Most of this $1 trillion is invested in dollar-denominated bonds, such as U.S. Treasuries. Repatriation has significantly increased since enactment of the TCJA. More earnings were repatriated in just the first sixth months of 2018 than in 2015, 2016, and 2017 combined. Repatriation, or the potential of an inflow of capital into the United States, is not the reason the TCJA is expected to boost investment and grow the economy. The lower corporate tax rate drives the long-run economic growth expected from the TCJA.

https://taxfoundation.org/tax-cuts-and-jobs-act-repatriation/

a small number isn't as big as a big number a small number is smaller than a big number

[Legion]

a small number isn't as big as a big number a small number is smaller than a big number

Is that what you learned in kindergarden 64 years ago, grandpa?

[tinfoil]

Well little dog fucker, explain just how the common person benefits from this. The cash repatriated was used for stock buybacks.

LOL it has nothing to do with common people, dumbass. WTF? Explain how keeping their money offshore benefits the common man! You are an idiot