Journal Transcript: Apple Inc., Microsoft Corporation and Cisco Systems, Inc. Buoyed By Trump Proposed 10% Tax Rate

The fact that the 5.25% one-time rate in 2004 failed to have the desired impact on American job growth is another headwind that could hinder the proposed 10% rate from coming into effect. The Trump administration will have to come up with a way of preventing the likes of Apple, Microsoft, Cisco, and Apple from returning repatriated cash to shareholders if the proposed tax plan is to see the light of day.

“I think that the lesson of the last repatriation holiday is that it’s virtually impossible to prevent companies from doing what they want with repatriated cash in hand,” said Matthew Gardner, a senior fellow at Institute on Taxation and Economic Policy.  Read more