Moody's: Apple and Microsoft store 90% of their income abroad to avoid paying taxes in the US

Published on May 22, 2016

Moody's: Apple and Microsoft store 90% of their income abroad to avoid paying taxes in the US

    Apple, Microsoft, Alphabet, Cisco Systems and Oracle have concentrated 504 billion dollars, which is about 30% of the total amount of funds owned by American non-financial companies.

    At 90% of their money, Apple and Microsoft store abroad to avoid paying taxes in the United States.

    image

    The international rating agency Moody's Investors Service has figured out how much money is in the hands of non-financial companies in the United States. According to agency estimates, at the end of 2015, the total amount of these funds amounted to $ 1.68 trillion. Most of them - 1.14 trillion - are concentrated in 50 companies. To get into these top 50, you need to earn 6.12 billion dollars.

    The “richest” industries are technology, healthcare and pharmaceuticals, consumer goods and energy. They account for 1.3 trillion dollars, or 77% of the total. The technology sector in 2014 accounted for 41% of the total money of non-financial companies, and in 2015 this figure rose to 46% - this is 777 billion dollars.

    The largest corporations are Apple, Microsoft, Alphabet, Cisco Systems and Oracle. In the hands of Apple - 215.7 billion dollars, it takes the first place in this rating since 2009. Of the technology corporations, the top 50 include Gilead Sciences, Facebook, Amazon, Qualcomm, eBay, Hewlett-Packard and Yahoo.

    Dividends paid in the technology sector grew by 4% to a record 404 billion in 2015.

    To avoid paying taxes in the United States, out of $ 1.68 trillion, non-financial companies keep 1.2 trillions outside the United States — that is, leaving them in countries where these funds are earned. Apple does not return to the country 93% of the money earned, Microsoft - 94%.
    • Apple: $ 216 billion, 93% overseas
    • Microsoft: $ 102.6 billion, 94 percent overseas
    • Alphabet / Google: $ 73.1 billion, 59 percent overseas
    • Cisco: $ 60.4 billion, 94 percent overseas
    • Oracle: $ 52.3 billion, 87 percent overseas

    Moody's predicts the growth of foreign capital until such time as the United States changes its tax policy in order to repatriate money earned in other countries to the United States. Tim Cook since 2013 calls on the authorities to resolve this issue.