Stop Shopping Tax Dodgers!

Some Corporations Are Moving Addresses Overseas To Dodge Paying Fair Share Of U.S. Taxes

walgreens

We talk a lot about the grave problem of inequality and how our economy is not working for most Americans. One of the causes of this big problem is that corporations and the wealthiest are taking advantage of the system, exploiting tax loopholes, and rigging the game to benefit themselves, often at the expense of everyone else. The latest tax-dodging tactic that some corporations are considering using is a perfect example of this rigged system–and demonstrates why we need our legislators to take decisive action to stop it.

What Is The Problem?
A loophole in the tax code essentially allows a corporation to renounce its corporate citizenship in the United States, move its address overseas by merging with a foreign company, and dodge its U.S tax obligations by paying most of its taxes to a foreign government with lower tax rates than the U.S. The process takes place primarily on paper — most corporate operations remain here. The corporations that do this want all the benefits of being an American company without paying their fair share of taxes. That makes the rest of us pick up the tab.

The practice has become known as “inversion.” But what it really amounts to is desertion. And it could cost Americans tens of billions of dollars.

Who Is Taking Advantage?
There are 47 firms in the last decade that have exploited this loophole, according to new data compiled by the nonpartisan Congressional Research Service. But it’s a hot topic again because at least a dozen U.S. firms are currently considering taking advantage of it.

One of those corporations is Walgreen. The company has always prided itself on being America’s go-to pharmacy: from 1993 to 2006, it had the slogans “The Pharmacy America Trusts” and “The Brand America Trusts.” A biography of the company is entitled, “America’s Corner Store: Walgreen’s Prescription For Success.” Walgreen chief executive Gregory D. Wasson has said the company is “proud of our Illinois heritage.”

At the same time, Walgreen is currently considering merging with European drugstore chain Alliance Boots and move to Switzerland as part of a plan to dodge up to $4 billion in U.S taxes. The company that gets almost a quarter of its $72 billion in revenue directly from the government through Medicare and Medicaid is trying to reap even more profits while leaving taxpayers holding the bag.

Walgreen isn’t the only one. Pfizer, the pharmaceutical company, tried merging with the smaller U.K.-based AstraZeneca earlier this year and switch its address, where the tax rate is lower. It was estimated the move would save them at least $1 billion a year in tax obligations to the U.S. (the deal ultimately didn’t go through). Medtronic, a medical device company, plans to move its corporate address to Ireland, a tax haven, to avoid paying U.S. taxes on $14 billion. Chiquita, the banana distributor, is also heading to Ireland after acquiring Fyffes. These tax dodges, as Fortune magazine calls them in this week’s issue, are “positively un-American.”

What Can Be Done?
President Barack Obama’s 2015 budget proposes making these corporate desertions more difficult by raising the minimum levels of foreign ownership required to 50 percent (currently it is just 20 percent), which means that U.S. corporations could not move their address abroad unless they actually ceded a controlling interest to foreign owners. Congressional Democrats have made similar proposals. Treasury Secretary Jack Lew recently called for more “economic patriotism” and urged Congress to “enact legislation immediately” to close the loophole. Leaders on both sides of the aisle want comprehensive tax reform, but finding common ground in the current Congress could take a while. The simple fact is that as more and more companies exploit this loophole, a solution for this problem is needed right away–and Congress has the power the solve it.

BOTTOM LINE: More and more corporations are taking advantage of a tax loophole that helps their bottom line while costing American taxpayers billions every year. These companies want to continue to take advantage of the things that make the U.S. the best place in the world to do business, while at the same time pay less than their fair share by moving their corporate addresses overseas. That desertion is unfair, unpatriotic, and has got to change.

Like CAP Action on Facebook and follow us on Twitter!


This material [the article above] was created by the Center for American Progress Action Fund. It was created for the Progress Report, the daily e-mail publication of the Center for American Progress Action Fund. Click here to subscribe.

The Latest Crack in Our Broken Immigration System

Undocumented immigrants who arrive as children may be well into their 40s before they get a green card.

— by  

Diana_Torres-small-color-headshotIn a bustling room at the Third Presbyterian Church in Albuquerque, New Mexico a group of white and Latino parishioners gathered for a workshop on immigration. They wanted to learn more about the issue.

Julio Alvarez, a Mexican immigrant, was there to answer their questions. “Why can’t immigrants just wait in line and move here legally? Isn’t there a process to do that?” one parishioner asked. “The truth is,” Alvarez replied, “standing in line is a myth for the majority of us.”

Stone Cold Immigrants, an OtherWords cartoon by Khalil Bendib

Alvarez’s personal experience with our nation’s immigration system illustrates this harsh reality.

Mexico’s weak economy pushed Alvarez out of his country in 1996. “When I decided to immigrate to Albuquerque, New Mexico I had 5 pesos — or less than a dollar — in my pocket and a family to feed,” he recounts.

Upon his arrival, Alvarez’s U.S.-citizen brother sponsored his petition for U.S. residency. As allowed by federal law, he included his wife, Myrna, and their school-age son, Edgar, in his application. He hoped that all of them could eventually reside in the United States legally.

That was 16 years ago.

Since then, Alvarez has established a successful automotive repair shop, bought a home, and saved enough money to send his child to college. But our broken immigration system has left him standing in that immigration “line.” And a recent Supreme Court decision just made things worse.

It takes the Citizenship and Immigration Services agency an average of seven years to grant immigrants green cards. Due to the structure of the immigration system that imposes a per-country cap, the wait now lasts more than two decades for Mexican immigrants.

As long as the petitioners’ dependent children don’t come of age during that period, they remain eligible for green cards. If those children turn 21 before the family reaches the front of that proverbial line, a Supreme Court majority recently ruled, those young immigrants “age out.” They lose their place in the immigration line where they may have stood for most of their young lives.

That’s a brutal reality for the Alvarez family.

Julio Alvarez has waited 16 years for his green card. He probably needs to wait two more years — or even longer. Meanwhile, Edgar will turn 21 and lose his place in the line he has waited on for more than half his life.

If Edgar, an engineering student at the University of New Mexico, applies for his own green card, he’ll be in his 40s before he gets to the front of the line. Tens of thousands of people face this Orwellian predicament.

The new ruling makes congressional action even more urgent. But House Majority Leader Eric Cantor’s stunning defeat to David Brat in his recent primary means that the already stagnated immigration reform debate may hit a dead end on Capitol Hill. According to conventional wisdom that ignores the prevailing views in that Virginia House district, anti-immigrant fervor helped Cantor’s tea party challenger pull off a surprise win against a candidate who outspent him 40:1.

This is bad news for Edgar Alvarez, who will turn 21 later this year.

After he reaches that milestone and graduates college, he may be forced to move to Mexico, a country he barely knows.

If Edgar wants to stay here he has limited options: He can marry a U.S. citizen or resident. Or he can find an employer to sponsor his green card. Few employers make this commitment because it’s a costly and time-consuming process.

If Edgar can’t find a path to shedding his undocumented status, his New Mexican community will feel the loss. The young man engages in local politics and campus life. He pays taxes, mentors younger boys who are aspiring engineers, and works as a public health advocate.

How can the United States turn its back on the more than 560,000 talented, young adults that are in a situation similar to his?

Our nation can certainly do better than that.


Diana Anahi Torres-Valverde is the New Mexico Fellow at the Institute for Policy Studies in Washington, DC. The author changed the name of the church and the names of the members of the “Alvarez family” in this commentary at their request. IPS-dc.org
Distributed via OtherWords (OtherWords.org)

One Storm Shy of Despair

A Climate-Smart Plan for the Administration to Help Low-Income Communities
Two weeks after Superstorm Sandy, a line of people wait to receive supplies donated to the victims of the hurricane.

Image

2 Weeks after Superstorm Sandy, a line of people wait to receive supplies donated to the victims of the hurricane

By Cathleen Kelly and Tracey Ross

President Barack Obama announced yesterday at the fourth and final meeting of the State, Local, and Tribal Leaders Task Force on Climate Preparedness and Resilience a series of actions to help state, local, and tribal officials prepare their communities for the effects of climate change. These actions range from helping communities to develop more resilient infrastructure and rebuild stronger and smarter existing infrastructure, to making our coasts more resilient, to providing decision makers with better information on flood and other climate change risks. These are laudable actions that will help communities better prepare for the real and costly effects of climate change. But more action is needed, in particular, to address the skyrocketing risks of climate change in low-income communities.

While many describe extreme weather events as “social equalizers” that do not differentiate based on ethnicity, race, or class, the truth is that these events usually hit low-income communities the hardest because they exacerbate the health, safety, financial, and other socioeconomic problems that low-income communities experience year round.

Aside from a few new federal disaster assistance requirements aimed at helping low-income communities recover from Superstorm Sandy, increasing equity and protecting the most vulnerable populations from climate change risks have not been a strong focus of federal disaster-recovery efforts, resilience strategies, or planning. However, the task force, which the president created in his Climate Action Plan and launched by a November 2013 executive order, has an important opportunity to change this and help protect low-income communities from extreme weather events.

Here are four critical steps that can be taken to create resilient, safe, and equitable communities.


This material [the article above] was created by the Center for American Progress Action Fund. It was created for the Progress Report, the daily e-mail publication of the Center for American Progress Action Fund. Click here to subscribe.

Really? Updated College Sexual Assault Prevention Guidelines are Federal Overreach?

by Zach Hudson, NSDP Communications Director

Remember Todd Akin, the GOP Senate candidate in Missouri who talked about “legitimate rape?”  Akin’s comments were ignorant, insensitive, and out-of-touch.  Which is why we were disappointed Nevada Republicans seem to be taking their cues on women’s health from Todd Akin.

Last week, the Republican nominee for Nevada Controller, Ron Knecht, wrote an op-ed where he essentially said new guidelines to prevent sexual assault on college campuses are an example of federal overreach.  He even blamed programs to prevent sexual assault for the increase in college tuition!

Let’s make sure Republicans like this never get elected to office – join Democrat Andrew Martin’s campaign for Controller by clicking here today.

Ron Knecht’s comments were moronic, but unfortunately not surprising.  Whether it’s Sen. Dean Heller’s support for restricting access to contraception, Rep. Joe Heck’s votes to ban abortion for rape victims and to weaken the Violence Against Women Act, or Nevada Republican Senate Leader, and former Tom DeLay operative, Michael Roberson, supporting “personhood” measures which could outlaw forms of birth control, Nevada Republicans time and time again demonstrate they are completely clueless when it comes to women’s health.

Fortunately, Nevadans have a clear choice in the election for State Controller.  While Ron Knecht is focused on criticizing programs to help sexual assault victims, Democratic nominee Andrew Martin will focus on managing the state’s finances.

Click here to join Andrew’s campaign and tell Nevada Republicans when it comes to women’s health decisions, #ItsNotUpToThem.

Sen Heller Betrays NV’s Women; Votes to Filibuster Hobby Lobby Fix

Sen. Dean Heller (R-NV) Betrays NV's Women

Sen. Dean Heller
Betrays NV’s Women

When the Supreme Court made the terrible decision to allow corporations like Hobby Lobby to discriminate against women, members of Congress were ready to fight back to defend women’s access to birth control.

Senators Murray, Udall and Boxer quickly introduced a bill to make sure that corporations can’t interfere with employees’ access to health care, including birth control, as provided for by the Affordable Care Act (aka Obamacare) under federal law. Senate Majority Leader Harry Reid fast-tracked the bill, bringing it for a full vote in the Senate today.

Not surprisingly, Republicans, including Nevada’s own Senator Dean Heller,  used the filibuster to block an up-or-down vote on the bill, meaning it will now take 60 votes to pass this bill. Only two Republicans broke from their caucus’s en bloc action — Senators Kirk and Murkowski.

Republicans continue to use the filibuster to shut down sensible legislation, and provide cover for their members who don’t want to go on the record in opposition to things like birth control access for women, common sense gun law reform, or relief for crushing student loan debt.

This week, they used the filibuster to block a legislative remedy for the disastrous Hobby Lobby v. Burwell decision. Outrageously, the five male justices on the Supreme Court ruled that the contraception mandate violated the Religious Freedom Restoration Act. In oral arguments, Chief Justice John Roberts suggested that Congress could exempt the Affordable Care Act from the RFRA as a way of protecting the inclusion of contraception as preventative care in the ACA. The Protect Women’s Health from Corporate Interference Act does exactly that, and would have protected not only women’s access to contraception from employer discrimination, but any employees’ access to any health care provided through the Affordable Care Act.

Tell Senate Republicans to end their filibuster and allow a vote on women’s access to birth control. Click the link below to automatically sign the petition:

Take-Action

Vote #228 held on July 16, 2014, 02:09 PM EDT  on the Motion to Proceed (Motion to Invoke Cloture on the Motion to Proceed to S.2578 )

YEAs —56
Baldwin (D-WI)
Begich (D-AK)
Bennet (D-CO)
Blumenthal (D-CT)
Booker (D-NJ)
Boxer (D-CA)
Brown (D-OH)
Cantwell (D-WA)
Cardin (D-MD)
Carper (D-DE)
Casey (D-PA)
Collins (R-ME)
Coons (D-DE)
Donnelly (D-IN)
Durbin (D-IL)
Feinstein (D-CA)
Franken (D-MN)
Gillibrand (D-NY)
Hagan (D-NC)
Harkin (D-IA)
Heinrich (D-NM)
Heitkamp (D-ND)
Hirono (D-HI)
Johnson (D-SD)
Kaine (D-VA)
King (I-ME)
Kirk (R-IL)
Klobuchar (D-MN)
Landrieu (D-LA)
Leahy (D-VT)
Levin (D-MI)
Manchin (D-WV)
Markey (D-MA)
McCaskill (D-MO)
Menendez (D-NJ)
Merkley (D-OR)
Mikulski (D-MD)
Murkowski (R-AK)
Murphy (D-CT)
Murray (D-WA)
Nelson (D-FL)
Pryor (D-AR)
Reed (D-RI)
Rockefeller (D-WV)
Sanders (I-VT)
Schumer (D-NY)
Shaheen (D-NH)
Stabenow (D-MI)
Tester (D-MT)
Udall (D-CO)
Udall (D-NM)
Walsh (D-MT)
Warner (D-VA)
Warren (D-MA)
Whitehouse (D-RI)
Wyden (D-OR)
NAYs —43
Alexander (R-TN)
Ayotte (R-NH)
Barrasso (R-WY)
Blunt (R-MO)
Boozman (R-AR)
Burr (R-NC)
Chambliss (R-GA)
Coats (R-IN)
Coburn (R-OK)
Cochran (R-MS)
Corker (R-TN)
Cornyn (R-TX)
Crapo (R-ID)
Cruz (R-TX)
Enzi (R-WY)
Fischer (R-NE)
Flake (R-AZ)
Graham (R-SC)
Grassley (R-IA)
Hatch (R-UT)
Heller (R-NV)
Hoeven (R-ND)
Inhofe (R-OK)
Isakson (R-GA)
Johanns (R-NE)
Johnson (R-WI)
Lee (R-UT)
McCain (R-AZ)
McConnell (R-KY)
Moran (R-KS)
Paul (R-KY)
Portman (R-OH)
Reid (D-NV)
Risch (R-ID)
Roberts (R-KS)
Rubio (R-FL)
Scott (R-SC)
Sessions (R-AL)
Shelby (R-AL)
Thune (R-SD)
Toomey (R-PA)
Vitter (R-LA)
Wicker (R-MS)

 

Not Voting – 1
Schatz (D-HI)

Amodei and the Perils of the Second Question

NVRDC:

Here’s one from the Desert Beacon for those of you scraping by in Lyon County and hoping to be able to find gainful employment … Rep. Amodei isn’t doing you folks any favors.

Originally posted on Desert Beacon:

Amodei 3I lasted for two questions and Amodeian Answers during last evening’s telephone town hall session.  The Second Question I  heard was from “Dorothy from Fernley” asking: “I live in Lyon County, what does the government plan to do to bring jobs…”

The previous post described the nature of any response on offer from Nevada’s 2nd District Congressman, Mark Amodei (R-NV2).  So, imagine the serpentine syntax and the following reply:

Representative Amodei was quick to let the caller know that the House had just passed a Jobs Bill, one that was a “general measure, instead of extending unemployment benefits.”

The Congressman didn’t specify what bill that was, but might have been referring to the Highway Trust Fund bill, or to the Federal Register Act, but those aren’t generally classified as “jobs” bills by the Republican leadership.  The bill to which he was most likely referring was H.R. 4718

View original 1,157 more words

#ItsNotUpToThem Week

— Roberta Lange, Nevada State Democratic Party Chair

A few weeks ago, the United States Supreme Court issued a backwards ruling that allows for-profit corporate CEOs to make medical decisions that should be made between a woman and her doctor.  That’s right – in the year 2014, the Supreme Court thinks female employees’ healthcare decisions should be made in a corporate boardroom, not a doctor’s office.

This week, the United States Senate will vote on legislation to address the Supreme Court’s ruling and ensure women who work at for-profit corporations have access to reproductive healthcare.  While Democrats like Senator Reid, Reps. Dina Titus and Steven Horsford, and Erin Bilbray support ensuring women have access to reproductive healthcare, Republicans like Dean Heller and Joe Heck have consistently voted to restrict women’s access to contraception.

In support of the Senate bill, Nevada Democrats are launching #ItsNotUpToThem week.  All week we will be highlighting how dangerous the Republican agenda is for the health of Nevada women.  Because whether it’s Mark Hutchison leading the charge to go back to a time where private insurance companies could treat being a woman as a pre-existing condition, or Joe Heck voting to weaken the Violence Against Women Act, it’s time we send a message to Nevada Republicans that women’s healthcare decisions aren’t up to them or corporate bosses.

Sign your name here to tell Republicans it’s 2014, not 1914.    


Please note that Roberta mentioned Candidate Erin Bilbray who is running agains Rep. Joe Heck, but failed to mention Candidate Kristen Spees who is running against Rep. Mark Amodei to represent those of us who are unfortunate enough to live in NV-Congressional District 2!

WHY the 2014 Election is Extremely Important

If Republicans win control of the Senate this November, and the Tea Party increases its power in Congress, they will do absolutely everything within their power to impeach President Obama.

The Washington Post’s Jonathan Capehart is sounding the alarm — and I agree with him:

“I’ve said this before and I’ll keep repeating it until the message sinks in for Democrats inclined to sit out the midterms: Obama is not on the ballot in November, but Obama is on the ballot in November. Democrats have it in their power to keep the Senate and save the Obama presidency from the all-but-certain asterisk of impeachment.”

If there is even a 10% chance that Jonathan Capehart is right, we have to do everything in our power to stop the possibility that the GOP will impeach the president — a media circus that would have disastrous policy consequences for what would have been the final two years of the Obama Administration.

The Republicans are serious.  In 2013 Senator Ted Cruz was asked why Republicans hadn’t impeached the president. His answer was that they did not yet control the Senate. Senator Tom Coburn has said he is “watching whether the president was committing impeachable offenses,” and Senator Lindsay Graham said impeachment was a possibility over the return of Sgt. Bowe Bergdahl. Really? Over the return of a US Soldier who was a prisoner of war? Now half-term Sarah Palin is calling for the president to be impeached over the humanitarian crisis at the border, arguing that “the many impeachable offenses of Barack Obama can no longer be ignored. If after all this he’s not impeachable, then no one is.”

So, how would that 2-step procedure for Impeachment work? First, the House of Representatives would need to pass, by a simple majority of those present and voting, articles of impeachment, which constitute the formal allegation or allegations. Upon passage, the defendant would be considered “impeached,” but NOT out of office. Second, the Senate would then need to “try” the accused. In the case of the impeachment of a president, the Chief Justice of the United States presides over the proceedings (that would be Chief Partisan Roberts). To convict the accused, a two-thirds majority of the senators present is required. Conviction removes the defendant from office. The Senate could also vote to further punish the individual by barring him from holding future federal office, elected or appointed and to disqualify him from receiving certain emoluments of his prior office (such as a pension or secret service protection).  If there is no charge for which a two-thirds majority of the senators present vote “guilty”, the defendant is acquitted and no punishment is imposed.

If the Republicans win control of the Senate in November, even if they do NOT have a solid super-majority, and if Republican membership within the House remains in control of the Republicans, they will proceed with at attempt to impeach not just President Obama, but most likely Vice President Biden as well.  Their logic will be that he aided and abetted the President in whatever ridiculous “high crimes or misdemeanors” they manage to dream up.

Can you imagine President John Boehner and Vice President Mitch McConnell as the leaders of   our nation?  It would be the end of our nation and everything we’ve worked for throughout our lives.  Sitting this election out is the equivalent of voting for every Republican on the ballot.  We just CANNOT do that.   Not only can we NOT sit this one out, we need to engage others to vote for Democrats up and down the ticket.  We cannot afford to provide Republican candidates with seats of power through which they can achieve name recognition which can be used to fool uneducated members of the electorate into voting for them just because their name is better known (even though their deeds aren’t).

Kristen Spees

Kristen Spees

In Nevada, we can’t do anything about Republican membership in the Senate, be we can improve Democratic membership in the House.  Kristen Spees is running against Republican incumbent Mark Amodei.  We need to engage in every way possible to help Kristen win the race in CD2.  It’s up to us to help our friends and neighbors understand how Mr. Amodei’s attrocious voting record impacts them and how that record predicts how his votes could personally harm them should Republicans take control of both the House and the Senate — and then engineer an impeachment coup to usurp the Presidency and Vice Presidency.  Gone will be many of the programs millions of Americans dependent upon.  Gone will be our national parks and heritage, sold off to the Corporations and Billionaires to pillage.  Gone will be any environmental safeguards to ensure safe drinking water, clean air and the like.

Erin Bilbray

Erin Bilbray

Similarly, Erin Bilbray (Open Secrets) is running against Joe Heck in CD3 which encompasses the southern outreaches of Clark County.  Rural and Urban Democrats throughout CD3 need to engage with both Democrats and independent voters across the district, get folks registered and energize  them to make it to the polls this November to vote for Erin.  Just as those of us in CD2 need to unseat Mark Amodei, those in CD3 need to unseat Joe Heck.  CD3 is a competitive district for Democrats.  We just need to get folks off their couches and out to the polls to vote for our candidate. Make your commitment now, to do just that.

Engage and pay attention.  This could be the election that ends what was our great nation.