Apple Now Has More Cash Than the US Government

CommanderFrank

CommanderFrank

Cat Can't Scratch It
Joined
May 9, 2000
Messages
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For the time being, Apple Corporation has more cash reserve than the US government by around $3 Billion dollars. Maybe Apple should just buyout the government and operate it as a for profit corporation for a change. Apple seems to be very good in that respect. :D

As of June 25, 2011, the company is now sitting on nearly $76 billion in case reserve.
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Pawz2142 said:
God Forbid the employees get money
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They are not under paid. Apple should sit on that cash until they yet again stumble and fail. Something they seem to constantly end up doing after a series of successful launches.
 
This is such a stupid comparison. One is how much cash reserve one has and the other is how far ntil we hit the debt ceiling.

They're not comparable at all. Much less claiming Apple "has more money" than the government.
 
Why wouldnt Apple have so much money. All of their hardware is very overpriced.
 
dr.stevil said:
I'm sure they get paid ;) I really doubt they're working for free
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Are you 5?

Godmachine said:
They are not under paid. Apple should sit on that cash until they yet again stumble and fail. Something they seem to constantly end up doing after a series of successful launches.
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I think 76 bil is more than enough for hundred screw ups. Point is the American mid-class & lower-class could use the money right about now and Apple has most of their work overseas like every other company...to save money
 
Just because the government actual uses money and needs it and Apple has extra money that they have no need for/don't give raises to its workers doesn't mean its cool.

And as said before, the title is misleading.
 
The 76 billion that Apple has one would fund the US Federal government for 5 days. Yeah, pretty silly comparison. Not to mention that the gold reserves of the US are worth around 400 billion.
 
heatlesssun said:
The 76 billion that Apple has one would fund the US Federal government for 5 days. Yeah, pretty silly comparison. Not to mention that the gold reserves of the US are worth around 400 billion.
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And how many Trillions is the current US debt?
Meanwhile we are adding over 1.5 trillion a year.
I seem to remember a few years ago when the same party that's wants a huge increase in the debt ceiling now, was complaining how a $350 billion deficit was going to destroy us. Guess the $350 billion a year wasn't enough.
 
And I sit here wondering how much tax is Apple paying? Are they like GE and make 14.2 billion dollars in a year, pay nothing in taxes. then get a 3.2 billion dollar tax benefit? They did it two years in a row didn't they? The legal tax loopholes need to be fixed for companies pulling in money overseas. It is ridiculous.
 
wasteomind said:
And I sit here wondering how much tax is Apple paying? Are they like GE and make 14.2 billion dollars in a year, pay nothing in taxes. then get a 3.2 billion dollar tax benefit? They did it two years in a row didn't they? The legal tax loopholes need to be fixed for companies pulling in money overseas. It is ridiculous.
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First, how Apple manages its money:

"in 2010, Apple Inc. (AAPL) reported that it has over $30 billion in cash maintained overseas. Apple partially earned this money from international sales, but largely by holding various intellectual property patents within foreign holding company subsidiaries so that the cash leaves the U.S. as a tax-deductible business expense."

http://seekingalpha.com/article/263982-why-ge-apple-and-google-will-pay-a-lower-tax-rate-than-you

Now, what is it exactly that you want to do to get Apple to pay more taxes without encouraging Apple to leave the US entirely? Do you want to raise taxes or decrease taxes? Note: the US has the second highest corporate tax in the developed world.
 
Godmachine said:
They are not under paid. Apple should sit on that cash until they yet again stumble and fail. Something they seem to constantly end up doing after a series of successful launches.
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If they were smarter they would just get bailed out like the rest of big business.
 
evilsofa said:
Now, what is it exactly that you want to do to get Apple to pay more taxes without encouraging Apple to leave the US entirely? Do you want to raise taxes or decrease taxes? Note: the US has the second highest corporate tax in the developed world.
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The rate only tells a small part of the story, you have to look at loopholes and incentives as well. Apple recently built a data center not far from where I live and the state kicked in a lot of money to get those jobs. Yes I know that was state money but then of course the state gets money from the feds so it wall tends to wash around. In any case you can't just look at tax rates and have any real idea what the true tax burden is an individual or corporation.
 
heatlesssun said:
The 76 billion that Apple has one would fund the US Federal government for 5 days. Yeah, pretty silly comparison. Not to mention that the gold reserves of the US are worth around 400 billion.
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Apple could help out by buying its own US bonds, unless of coarse they figure their going into Junk Bond status down the road.:)
 
heatlesssun said:
The rate only tells a small part of the story, you have to look at loopholes and incentives as well. Apple recently built a data center not far from where I live and the state(taxpayers) kicked in a lot of money to get those jobs. Yes I know that was state(taxpayers) money but then of course the state(taxpayers) gets money from the feds(taxpayers) so it wall tends to wash around. In any case you can't just look at tax rates and have any real idea what the true tax burden is an individual or corporation.
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If more people would use the word taxpayer instead of state or government. etc. As it is now most people seem to disassociate themselves. Subconciously seeing the state government and Federal government as a seperate entity. If you read your statement with my changes, eventually it will sink in and you will start to have a different outlook between yourself and different layers of bureaucracy.
 
This has to be one of the dumbest comparisons I've noticed on [H] so far.
Apples to Oranges much?
 
Uncle said:
If more people would use the word taxpayer instead of state or government. etc. As it is now most people seem to disassociate themselves. Subconciously seeing the state government and Federal government as a seperate entity. If you read your statement with my changes, eventually it will sink in and you will start to have a different outlook between yourself and different layers of bureaucracy.
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All I have to do is look at my paycheck stub to understand.;)
 
Valshistixol said:
Which is why GE doesn't just pay $0 on taxes, they get money back. :rolleyes:
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I guess we think about it, if US Federal taxes were so burdensome to businesses then why is just ONE US company supposedly sitting on more cash than the US government?:confused:
 
just kidding... from outsider, nothing serious...

1. Send Bill Gates and Warren Buffet to Republican to promote donation. (to satisfy Democrats)

2. Send Apple to Democrats to explain how to extract more revenue and become more lean (to satisfy republican demand)
 
additional note, just in case the previous entry is relevant,

eventually, maybe Bill Gates and Warren Buffet can also approach Apple when the time is right about donation...
 
hmmm, I came to this thread expecting a bunch of ridiculous flame wars. Honestly it wasn't too bad, and we had some rather well informed/read people making comments. I approve of this thread (mostly) :)
 
lightp2 said:
just kidding... from outsider, nothing serious...

1. Send Bill Gates and Warren Buffet to Republican to promote donation. (to satisfy Democrats)

2. Send Apple to Democrats to explain how to extract more revenue and become more lean (to satisfy republican demand)
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Do you really think Microsoft and Apple have anything to teach a politician about extracting money from the masses? Microsoft and Apple have to make products, and then make people want to buy them. Politicians don't even have to have a product - they have to get people to give them money so they can decide how to spend those people's taxes. Gates and Jobs telling politicians how to make money is like teaching your grandma how to suck eggs!
 
Yossarian22 said:
I'm sure the workers at Foxconn won't see a dime.
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Sure they did, this is probably all insurance money saved by avoiding civil suits from suicidal employees when they installed that suicide netting at the factory. And they've gotten at least 2 raises in the past few years. I think they may be making around $290/month now. Now if I could only find that sarcasm font... ;)
 
wasteomind said:
Are they like GE and make 14.2 billion dollars in a year, pay nothing in taxes. then get a 3.2 billion dollar tax benefit? They did it two years in a row didn't they?
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You can rest your concerns on the fact that GE lost more than that several years straight and earned credit on the losses, just as they have to pay taxes on gains. Be happy, had they not made money those years they would have taken even more in credit. Just happens they did not make enough profit to offset the credit.

Add to that the policital climate of 'globalizing' and placing union burden on large production companies operating in the US, GE was smart and moved most all of the company offshore, meaning the US can't tax those parts. This was Clinton's idea...make it easy to take money out of the US and give it to other countries who hate us.
 
I'd bet if you totalled all the money GE has paid in taxes vs. Apple since the beginning of Apple, you would see Apple as a big time smoocher of YOUR (tax) money.

I do think they should donate to charity, only because the rich should not ignore those in need. The greedy end up with nothing in the end, where it really counts.
 
BBA said:
You can rest your concerns on the fact that GE lost more than that several years straight and earned credit on the losses, just as they have to pay taxes on gains. Be happy, had they not made money those years they would have taken even more in credit. Just happens they did not make enough profit to offset the credit.

Add to that the policital climate of 'globalizing' and placing union burden on large production companies operating in the US, GE was smart and moved most all of the company offshore, meaning the US can't tax those parts. This was Clinton's idea...make it easy to take money out of the US and give it to other countries who hate us.
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So, since I work by the hour, and didn't earn as much this year can I declare that as a loss on next years income if I make more as an individual taxpayer. Or how about I declare my loss of wages this year on last years income when I made more. :)
 
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