If Trump enacted his promised corporate tax reforms, Apple would likely repatriate the bulk of its $230B cash reserves held overseas, and see its profits jump by 16%. The prediction was made by Citi in analysis seen by Business Insider.

Trump’s tax reform plans include reducing the corporate tax rate from 35% to 15% in the US, and applying a tax of only 10% to the profits of US companies that want to repatriate cash being held overseas 

[…] The proposals would make it likely that Apple would move its foreign cash back to the US in order to pay the least amount of tax. In the most recent quarter, Apple said it was holding $246 billion in cash, of which $230 billion was held in foreign subsidiaries.

The combination of the two would have a significant impact on earnings per share, says Citi …


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Author: Ben Lovejoy
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