Sen. Rand Paul Is Mostly Right In Defending Apple's Obligation To Minimize Taxes
"It's absurd for Congress to vilify businesses like Apple for wanting to minimize their tax code just like every other American rightly does," tweeted uber-Libertarian Senator Rand Paul, lashing out at his Senate colleagues for 'dragging' Apple CEO Tim Cook in to defend his company's tax policies. On the eve of Cook's much-hyped testimony, a Senate investigation released a scathing report, accusing Apple of cooking the books and engaging in shady tax-dodging practices, to avoid repatriating $102 billion in offshore cash to avoid a 35 percent U.S. tax rate.
Web of Tax Shelters Saved Apple Billions, Inquiry Finds
mspohr writes with news that Apple might be in a bit of hot water over its policy of offshoring revenues to favorable tax jurisdictions. Only they take it a step further, from the article: "Apple relied on a 'complex web of offshore entities' and U.S. tax loopholes to avoid paying billions of dollars in U.S. taxes on $44 billion in offshore income over the past four years ... The maker of iPhones and iPads used at least three foreign subsidiaries that it claims are not 'tax resident in any nation' to help it avoid paying billions in 'otherwise taxable offshore income,' the Senate Permanent Subcommittee on Investigations said in a statement yesterday."
Study: Limiting Bidding On Spectrum Could Cost Billions
itwbennett writes "According to a study (PDF) by the Georgetown Center for Business and Public Policy, restricting the ability of Verizon Wireless and AT&T to bid in upcoming spectrum auctions would drive down the bidding during the auction, and could cost the U.S. treasury as much as $12 billion. Even a partial restriction of bids by Verizon and AT&T could have a significant impact on auction revenues, said Douglas Holtz-Eakin, a co-author of the Georgetown study. Matt Wood, policy director at digital rights group Free Press, fired back, saying 'No one is talking about completely barring AT&T and Verizon from the incentive auction. Sensible people are talking about making sure that more than two companies have a chance at obtaining spectrum. The fact that these duopolists hired economists to parrot the companies' own talking points isn't really that newsworthy.'"
IMF awaits Morsi's agreement for $4.8 billion Egyptian loan
Although Egypt is said to be close to agreement on a loan from the IMF worth $4.8 billion, President Morsi is concerned about conditions imposed that would force him to legislate unpopular policies.
Russian Adding $50 Billion To Space Effort
An anonymous reader sends news that Russian President Vladimir Putin unveiled today a new $50 billion effort to maintain and extend the country's space capabilities. Part of this initiative is a new spaceport located in Russia, which will lead to the first manned launches from Russian soil in 2018. Manned launches currently originate from the Baikonur Cosmodrome in Kazakhstan. "The Russian space programme has been hurt in recent years by a string of launch failures of unmanned probes and satellites, but Putin vowed Moscow would continue to ramp up spending. He said that from 2013-2020, Russia would be spending 1.6 trillion rubles ($51.8 billion, 38 million euros) on its space sector, a growth far greater than any other space power. 'Developing our potential in space will be one of the priorities of state policy,' Putin said at a meeting in the regional capital Blagoveshchensk. ... speaking to Canadian spaceman Chris Hadfield, currently commander of the ISS, Putin hailed cooperation in space ...