Article

US: Microsoft Ireland transferred a massive $77 billion to the United States last year.


Added on 28/05/2019

As published on mspoweruser.com, Saturday 25th May, 2019.

 

Thanks to Donald Trump’s tax overhaul, Microsoft has brought back a massive $77 billion to the United States last year.

In general, US companies have to pay 35% tax when they bring their offshore money back home. But Donald Trump last year announced a tax cut through which corporations can enjoy a one-time 15.5 percent tax rate on cash and 8 percent on non-cash or illiquid assets, regardless of the country from where the money is brought back.

In 2018, US corporations as a whole brought back $665 billion. It looks like more than 10% of that number was contributed by Microsoft. With this transaction, Microsoft’s total cash balance outside the US will be less than $70 billion.