Move Over, Apple: 16 More U.S. Companies Stashing Billions Overseas

CEO Tim Cook
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Apple (AAPL) CEO Tim Cook was summoned to Capitol Hill Tuesday to explain his company's tax arrangements, which, according to Congressional investigators, amount to large-scale avoidance of taxes due to the U.S. and other governments.

According to a report by the office of Senator Carl Levin (D-Mich.), the world's most profitable tech company pays U.S. taxes on revenue from its sales in this country only. That money is kept in California. Revenue from international sales winds up in Ireland, and Apple only pays U.S. taxes on the interest on that money, which doesn't amount to very much.

As Levin explained, to minimize its tax obligations, Apple created subsidiaries with no employees, run by execs at HQ in Cupertino, that could hold money without owing duties to any state:

"Apple wasn't satisfied with shifting its profits to a low-tax offshore tax haven. Apple sought the holy grail of tax avoidance. It has created offshore entities holding tens of billions of dollars while claiming to be tax resident nowhere."

But if Apple's use of accounting tricks saved it an exceptional amount of cash, the company is just one of many U.S.-based multinational corporations to create elaborate tax shelters. Here are some other heavy users of tax havens, companies that were each holding more than $5 billion offshore as of early 2012. (Hat tip to Business Insider for unearthing the Senate report from last September that highlighted this.)

Companies with Foreign Cash Balances Greater than $5 Billion

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wall street and the ceos are so full of it. look at their stern sheepish grin faces and the crook inside them rips out of their souls in the photo. they are crooked and so evil........

June 21 2013 at 8:30 AM Report abuse rate up rate down Reply

I see the Bush haters and Obama haters are out in full force - wake up sheeple, both sides are in bed with the Wall Street boys - you have no power, no lobby, you have nothing - they will throw you a few crumbs and put on a dog and pony show of outrage - all the whole business as usual. Stop the finger pointing - that is exactly what they want.

May 23 2013 at 7:09 PM Report abuse +1 rate up rate down Reply

Compared to Bloomberg, HP, NY Times, or Fred and Bill's website for idiots, this site is for the truly intellectually challenged. Feel free to reply, but I won't see it.

May 23 2013 at 6:29 PM Report abuse +2 rate up rate down Reply

The laws needed to be changed or we have to quit whining. Try to personalize it. If you have a mortgage and the associated interest, is it really a decision whether or not you deduct the interest on your tax return? Corp's are kind of like people. Their "job" is to make or save money which indirectly makes money. If they have the latitude to take steps that enhance shareholder value, it would be malfeasance not to do so.

So either change the laws or quit whining about it. BTW, current law did not suddenly appear in the last 5 years. Good luck changing it no matter which side of the aisle you live in.

May 23 2013 at 6:14 PM Report abuse +3 rate up rate down Reply

All of these companies are Obama donors and some even work for his administration and other are his friends like Bill Gates that got 100% in foreign banks ,but they only mention Apple ,wonder why ?

May 23 2013 at 5:27 PM Report abuse -1 rate up rate down Reply

You're really so naive as to think that this is all Obama's fault ? Just get rid of Obama, and everything will be wonderful, again ? Tell me, who would you have for the next sock puppet ? Do you really think the next POTUS will change anything ? Oh, I see, it's all going to be OK as long as a Republican is in office. I recall when the Republicans had control of the House, Senate, and Presidency. What did they do ? They did exactly what the people who run this country told them to do. You're a serf, just like the rest of us. Wear your chains with pride while pounding your chest, and chanting, "USA, USA, USA." You're calling the beast, and the beast is hungry.

May 23 2013 at 2:52 PM Report abuse +2 rate up rate down Reply

The US Government is a raging, hungry beast. The US Government will write the laws allowing it to take the money. The US Government has the muscle, and the guns to take the money. The elite have lost control of their beast, and they will be devoured with the rest of us.

May 23 2013 at 12:58 PM Report abuse +1 rate up rate down Reply

If these companies are breaking any laws, prosecute them. If they're not, leave them alone. If you want them to invest their cash in the US, replace the current administration with someone with business sense.

May 23 2013 at 11:50 AM Report abuse +3 rate up rate down Reply
David A. Thomas

This has nothing to do with politics people. We as American citizens are responsible and no one else. So quite trying to blame everything else and take a look at yourself.

May 23 2013 at 11:27 AM Report abuse +4 rate up rate down Reply
David A. Thomas

We are being undermined by our own greed.

May 23 2013 at 11:20 AM Report abuse +2 rate up rate down Reply