Apple Says Its Making Attempts to Move Foreign Money Back to the U.S. – Claims it Will Pay $38 Billion in Taxes
Apple has made a bold claim, stating that it will pay $38 billion in taxes in an effort to bring money stashed overseas to the U.S. The tech giant has around $250 billion in cash that is stored overseas, allowing it to avoid taxes on that liquid amount. With the tax bill passed by Donald Trump, Apple will be able to bring back money to the U.S. without suffering a dense number of penalties.
Apple States That it Will Be Contributing $350 Billion to the U.S. Economy over the Course of 5 Years
During the latest announcement, Apple states that it will be contributing immensely to the U.S. economy.
“Combining new investments and Apple’s current pace of spending with domestic suppliers and manufacturers — an estimated $55 billion for 2018 — Apple’s direct contribution to the US economy will be more than $350 billion over the next five years, not including Apple’s ongoing tax payments, the tax revenues generated from employees’ wages and the sale of Apple products.”
Slowly, but surely, these investments are going to be concentrated in three key areas:
- Direct employment
- Spending and investment with Apple’s domestic suppliers and manufacturers
- Digital App Store economy
What this could mean is that Apple will not be focused on contributing the entire $350 billion to the U.S. economy. For example, just $75 billion of that total number will come from capital expenditures and new investments in manufacturing. After the repatriation tax payment, the aforementioned number could just be signifying the effects of a company as large as Apple through its normal growth and spending in the country.
Tim Cook also believes that company possesses the responsibility to give back to the people and to make jobs where it matters.
“We believe deeply in the power of American ingenuity, and we are focusing our investments in areas where we can have a direct impact on job creation and job preparedness. We have a deep sense of responsibility to give back to our country and the people who help make our success possible.”
Apple has also stated that it will be attempting to create 20,000 new jobs during these 5 years. It is also expected that a new campus is going to be made in the country, but there are no details provided regarding its location, which we will update you guys at a later time.
Do you feel that Apple will act in a responsible manner now that the tax bill has seemingly been in the company’s favor? Tell us your thoughts down in the comments.
News Source: Apple