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In the second quarter of 2019, $ 88.3 billion of corporate profit received abroad were returned to their homeland.
US President Donald Trump, while promoting the reform, said, without mentioning sources, that such measures would help return over $ 4 trillion to the country. Investment banks and analysts estimated the total amount of funds of American companies stored on foreign accounts in the range from $ 1.5 trillion to $ 2.5 trillion.
According to the Ministry of Commerce, the rate of return of funds from abroad is steadily decreasing: in the first quarter, the volume of repatriated funds amounted to $ 96 billion, in the fourth quarter of last year it was $ 146.6 billion.
American companies have avoided repatriation for years so as not to pay high taxes. In order to solve this problem, as part of a change in the tax system at the end of 2017, the lump-sum tax on repatriation was reduced from 35% to 15.5% for cash and 8% for non-cash or illiquid assets.
In 2017, before the tax changes came into force, the volume of repatriations amounted to $ 155 billion for the whole year.
source: cnn.com
US President Donald Trump, while promoting the reform, said, without mentioning sources, that such measures would help return over $ 4 trillion to the country. Investment banks and analysts estimated the total amount of funds of American companies stored on foreign accounts in the range from $ 1.5 trillion to $ 2.5 trillion.
According to the Ministry of Commerce, the rate of return of funds from abroad is steadily decreasing: in the first quarter, the volume of repatriated funds amounted to $ 96 billion, in the fourth quarter of last year it was $ 146.6 billion.
American companies have avoided repatriation for years so as not to pay high taxes. In order to solve this problem, as part of a change in the tax system at the end of 2017, the lump-sum tax on repatriation was reduced from 35% to 15.5% for cash and 8% for non-cash or illiquid assets.
In 2017, before the tax changes came into force, the volume of repatriations amounted to $ 155 billion for the whole year.
source: cnn.com
