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another round of layoffs coming....

Discussion in 'Members' Lounge' started by Briansol, Oct 18, 2010.

  1. Briansol

    Briansol Admins Admin VIP

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  2. UNDR8D

    UNDR8D ...has a job!

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    Unfortunately, I doubt the tax breaks for overseas operation are large enough for many companies to even consider withdrawing. Why would they?

    Labor is the largest expense for most businesses.

    So, if he repeals a tax cut, and their profitability is negatively effected, why would they shift labor back to American soil where it is more expensive anyway?
     
  3. Briansol

    Briansol Admins Admin VIP

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    28% of millions of dollars = big money
     
  4. Cashizslick

    Cashizslick !i!i!i!i!i!i!i!i!i!i!i!

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    US companies can avoid taxation on their foreign income by never repatriating the income. When the US tax rate is high (aka NOW), companies will look to "permanently reinvest" their earnings rather than repatriate.

    If a company is already stuck supporting its US operations with foreign income, then taxing that income this will only kick more jobs out of the US.
     
  5. phunky.buddha

    phunky.buddha Admin with a big stick Admin VIP

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    Won't really affect us. :)
     
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