“Economists, businessmen, and politicians of every stripe have spent months talking themselves hoarse about how to get the roughly $2 trillion in corporate reserves back into the economy,” Tory Newmyer reports for Fortune. “Get ready to start hearing a lot about that sum’s international cousin.”
“A group of tech, pharmaceutical and energy giants is readying a major lobbying blitz for a tax holiday that would allow them to bring home the estimated $1 trillion they’ve got parked overseas at a steeply discounted rate, Fortune has learned,” Newmyer reports. “The campaign is still in its planning stages, but sources close to the effort say Oracle, Cisco, Apple, Duke Energy, and Pfizer are among the major players looking to bankroll a coordinated, sustained pitch to sell policymakers on the idea.”
Newmyer reports, “Their aim is to win a one-year tax amnesty on their foreign earnings, allowing them to repatriate that money at a tax rate of about 5%, instead of the 35% they face now… Where will the White House come down? Obama’s economic team has been cool to the proposal in the past. But with the President scouting for opportunities to burnish his relationship with big business, he could give the idea a fresh look. Either way, he’s sure to get an earful about it on Thursday, when he makes an overnight trip to Silicon Valley to meet with tech industry CEOs and try to sell them on his budget.”
Read more in the full article here.
[Thanks to MacDailyNews Reader “Dan K.” for the heads up.]