Essential reading: Calculating Apple’s true U.S. tax rate, and more
Welcome to the top tax and accounting headlines.
* Calculating Apple’s true U.S. tax rate. Victor Fleischer – The New York Times. One lesson from the Senate hearing about Apple’s offshore tax planning is that figuring out what a multinational company actually pays in taxes is harder than it should be. Link
* Conservatives’ top five grievances against the IRS. Juliet Eilperin – The Washington Post. The House Ways and Means Committee hearing Tuesday has offered leaders of conservative groups a chance to detail their biggest grievances against the Internal Revenue Service. Link
* Scandals prompt doubts about honesty. Patrick O’Connor and Rebecca Ballhaus – The Wall Street Journal. Recent controversies surrounding the Internal Revenue Service and other government agencies have sown doubts about the honesty of the Obama administration, but most people don’t hold the president personally responsible for the agency actions, a new Wall Street Journal/NBC News poll finds. Link
* U.S. trade nominee has $490,000 in Cayman fund. Jonathan Weisman – The New York Times. Republicans on the Finance Committee, however, said they planned to accuse President Obama of hypocrisy for making the elimination of such tax loopholes a centerpiece of his re-election campaign while promoting Michael Froman for the position of United States trade representative. Link
* Brazil ends tax on foreign bond buyers. Paulo Trevisani and Gerald Jeffris – The Wall Street Journal. With Brazil’s currency weakening, Finance Minister Guido Mantega Tuesday lifted a years-old tax on foreign bond buyers and other overseas investors. Link
* Swiss lawmakers balk at plan to release bank data. John Letzing – The Wall Street Journal. Swiss lawmakers are raising concerns about a proposal that would allow the country’s banks to hand over sensitive information to U.S. legal authorities investigating alleged tax evasion, highlighting the anxiety caused as Switzerland’s bank secrecy comes under increased pressure. Link