More and more corporations are giving up their identity as American companies to avoid taxation by reincorporating in tax havens like Bermuda, the Cayman Islands, or in Ireland. as pointed out in a recent New York Times story.
Among these corporations are Fruit of the Loom, Ingersoll-Rand, Eaton Corp., and Ensco International Inc . As these companies pay less taxes in the U.S. while doing business around the world, local businesses become more important. Why?
Their importance comes about because first, they provide jobs, generally hiring people from their community, and second, they pay taxes – federal, state, and local taxes, including income and worker compensation.
When you shop or do businesses with a local businesses, it spends 45 cents of each dollar it takes in locally. This compares to only 15 cents spent locally by a corporate chain. If you have a job with a local employer, know that spending your money locally helps sustain the economy for everyone.
If you own a local business or provide a local service, you understand quite well what it means to you when someone says, “I wish I could use your service or buy your product, but right now our budget is stretched.” So when you are doing your own shopping, think about what this means to everyone in the community, you, included.
It’s the goal of Let’s Live Local, the non-profit we established to live by our motto, “live, work and shop locally.”
Corporate Tax Shelter Abroad Means Local Businesses The Hope Of The Future.
Excerpt:
More and more corporations are giving up their identity as American companies to avoid taxation by reincorporating in tax havens like Bermuda, the Cayman Islands, or in Ireland. as pointed out in a recent New York Times story.
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