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Hmm......

Posted: Tue Feb 13, 2018 7:17 pm
by HokieHam
If the trend continues..........

Re: Hmm......

Posted: Tue Feb 13, 2018 7:21 pm
by awesome guy
There's going to be a massive 1 year pop from repatriation due to the lowered Corp tax followed by a continuous higher stream as it's no longer advantageous to keep foreign income offshore.

Re: Hmm......

Posted: Tue Feb 13, 2018 7:26 pm
by HokieFanDC
HokieHam wrote:If the trend continues..........
January has run a surplus for 3 straight years now. Hasn't held the last 2 years.

Re: Hmm......

Posted: Tue Feb 13, 2018 7:29 pm
by HokieHam
HokieFanDC wrote:
HokieHam wrote:If the trend continues..........
January has run a surplus for 3 straight years now. Hasn't held the last 2 years.
I’m betting it will......we’ll see.

Re: Hmm......

Posted: Tue Feb 13, 2018 7:32 pm
by TheH2
awesome guy wrote:There's going to be a massive 1 year pop from repatriation due to the lowered Corp tax followed by a continuous higher stream as it's no longer advantageous to keep foreign income offshore.
Good move to go to a non-territorial system so there is no foreign taxable income*. Under the previous corporate tax, all foreign income was taxable in the U.S., with a credit for foreign taxes paid. The new system does not tax foreign income. Income will still be earned internationally, it just won't be taxed in the U.S.

GILTI is still a tax on foreign income, but based on a formula which won't result in taxable income for many companies.

Re: Hmm......

Posted: Tue Feb 13, 2018 7:40 pm
by awesome guy
TheH2 wrote:
awesome guy wrote:There's going to be a massive 1 year pop from repatriation due to the lowered Corp tax followed by a continuous higher stream as it's no longer advantageous to keep foreign income offshore.
Good move to go to a non-territorial system so there is no foreign taxable income*. Under the previous corporate tax, all foreign income was taxable in the U.S., with a credit for foreign taxes paid. The new system does not tax foreign income. Income will still be earned internationally, it just won't be taxed in the U.S.

GILTI is still a tax on foreign income, but based on a formula which won't result in taxable income for many companies.
https://www.withum.com/kc/what-the-fdii ... an-to-you/

Re: Hmm......

Posted: Tue Feb 13, 2018 7:57 pm
by USN_Hokie
awesome guy wrote:There's going to be a massive 1 year pop from repatriation due to the lowered Corp tax followed by a continuous higher stream as it's no longer advantageous to keep foreign income offshore.
That was my first thought.

Re: Hmm......

Posted: Wed Mar 28, 2018 3:11 pm
by TheH2
HokieHam wrote:
HokieFanDC wrote:
HokieHam wrote:If the trend continues..........
January has run a surplus for 3 straight years now. Hasn't held the last 2 years.
I’m betting it will......we’ll see.
Bad bet:
The United States plans to sell about $294 billion of debt, according to the Treasury Department. That's the highest for a week since the record set during the 2008 financial crisis.
http://money.cnn.com/2018/03/27/investi ... index.html

Re: Hmm......

Posted: Wed Mar 28, 2018 4:04 pm
by HokieHam
TheH2 wrote:
HokieHam wrote:
HokieFanDC wrote:
HokieHam wrote:If the trend continues..........
January has run a surplus for 3 straight years now. Hasn't held the last 2 years.
I’m betting it will......we’ll see.
Bad bet:
The United States plans to sell about $294 billion of debt, according to the Treasury Department. That's the highest for a week since the record set during the 2008 financial crisis.
http://money.cnn.com/2018/03/27/investi ... index.html
Should have taken it! ;)

Re: Hmm......

Posted: Wed Mar 28, 2018 4:10 pm
by ip_law-hokie
TheH2 wrote:
HokieHam wrote:
HokieFanDC wrote:
HokieHam wrote:If the trend continues..........
January has run a surplus for 3 straight years now. Hasn't held the last 2 years.
I’m betting it will......we’ll see.
Bad bet:
The United States plans to sell about $294 billion of debt, according to the Treasury Department. That's the highest for a week since the record set during the 2008 financial crisis.
http://money.cnn.com/2018/03/27/investi ... index.html
Thanks a lot Obama.


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Re: Hmm......

Posted: Wed Mar 28, 2018 4:16 pm
by HokieHam
ip_law-hokie wrote:
TheH2 wrote:
HokieHam wrote:
HokieFanDC wrote:
HokieHam wrote:If the trend continues..........
January has run a surplus for 3 straight years now. Hasn't held the last 2 years.
I’m betting it will......we’ll see.
Bad bet:
The United States plans to sell about $294 billion of debt, according to the Treasury Department. That's the highest for a week since the record set during the 2008 financial crisis.
http://money.cnn.com/2018/03/27/investi ... index.html
Thanks a lot Obama.


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Blind spot

Re: Hmm......

Posted: Wed Mar 28, 2018 4:16 pm
by ip_law-hokie
HokieHam wrote:
ip_law-hokie wrote:
TheH2 wrote:
HokieHam wrote:
HokieFanDC wrote:
HokieHam wrote:If the trend continues..........
January has run a surplus for 3 straight years now. Hasn't held the last 2 years.
I’m betting it will......we’ll see.
Bad bet:
The United States plans to sell about $294 billion of debt, according to the Treasury Department. That's the highest for a week since the record set during the 2008 financial crisis.
http://money.cnn.com/2018/03/27/investi ... index.html
Thanks a lot Obama.


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Blind spot
Absolutely.


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Re: Hmm......

Posted: Wed Mar 28, 2018 4:32 pm
by HokieHam
Absolutely
Good to see you recognize your issue, former Republican.

Re: Hmm......

Posted: Wed Mar 28, 2018 8:55 pm
by ElbertoHokie
So as an aside to this, China is one of the USA's biggest debt holders. Let's say China abstains from purchasing more debt from the USA due to the "trade war." Does that ultimately drive the interest rates on those bonds up just to drum up more interest? China and Japan own 45% of the USA's outstanding debt. That's a lot.

Re: Hmm......

Posted: Wed Mar 28, 2018 9:03 pm
by ip_law-hokie
HokieHam wrote:
Absolutely
Good to see you recognize your issue, former Republican.
You being wrong about Trump clearly demonstrates my partisan blind spot. Got it.

Re: Hmm......

Posted: Wed Mar 28, 2018 9:40 pm
by cwtcr hokie
ElbertoHokie wrote:So as an aside to this, China is one of the USA's biggest debt holders. Let's say China abstains from purchasing more debt from the USA due to the "trade war." Does that ultimately drive the interest rates on those bonds up just to drum up more interest? China and Japan own 45% of the USA's outstanding debt. That's a lot.
China is not stupid, they rely on us to buy all that stuff so they cut their own throat if they try and punish us by not buying the debt. They also have to put the funds somewhere and no where is safer than the USA....China thinks that is important

Re: Hmm......

Posted: Wed Mar 28, 2018 10:01 pm
by TheH2
ElbertoHokie wrote:So as an aside to this, China is one of the USA's biggest debt holders. Let's say China abstains from purchasing more debt from the USA due to the "trade war." Does that ultimately drive the interest rates on those bonds up just to drum up more interest? China and Japan own 45% of the USA's outstanding debt. That's a lot.
They can't, they love the dollar, just like everyone else. It's like getting a smoker to quit. The dollar is a lifeline for economies all around the world and they all seem to think there is no limit on how much to hold.

Hypothetically, if they could, there would be other buyers, with likely minimal effect on the interest rate. For example, over year or so ago they were sellers to try and prop up the yuan and the interest rate on US bonds didn't budge. However, if there wasn't enough demand, the value of the China's holdings would decrease because increasing interest rates reduces the price of bonds. So, it would hurt China too, although I don't think they care too much about the market value of the bonds.

Also, I believe 45% is their percentage of foreign country held debt, I think it is much lower when you take into account all holdings.

Re: Hmm......

Posted: Thu Mar 29, 2018 12:39 am
by 133743Hokie
HokieHam wrote:If the trend continues..........
Timing more than anything else i assume.

Re: Hmm......

Posted: Thu Mar 29, 2018 12:47 am
by 133743Hokie
ElbertoHokie wrote:So as an aside to this, China is one of the USA's biggest debt holders. Let's say China abstains from purchasing more debt from the USA due to the "trade war." Does that ultimately drive the interest rates on those bonds up just to drum up more interest? China and Japan own 45% of the USA's outstanding debt. That's a lot.
Foreign entities only hold about 30% of the total debt ($6T out of $21T), about the same as other USG entities (like social security) hold.

https://www.thebalance.com/who-owns-the ... bt-3306124

Re: Hmm......

Posted: Thu Mar 29, 2018 3:38 am
by HokieHam
ip_law-hokie wrote:
HokieHam wrote:
Absolutely
Good to see you recognize your issue, former Republican.
You being wrong about Trump clearly demonstrates my partisan blind spot. Got it.
This is about deficits and incoming tax receipts.

Re: Hmm......

Posted: Thu Mar 29, 2018 3:43 am
by ip_law-hokie
HokieHam wrote:
ip_law-hokie wrote:
HokieHam wrote:
Absolutely
Good to see you recognize your issue, former Republican.
You being wrong about Trump clearly demonstrates my partisan blind spot. Got it.
This is about deficits and incoming tax receipts.
Correct. The former is increasing faster than the latter.


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Re: Hmm......

Posted: Thu Mar 29, 2018 3:52 am
by HokieHam
ip_law-hokie wrote:
HokieHam wrote:
ip_law-hokie wrote:
HokieHam wrote:
Absolutely
Good to see you recognize your issue, former Republican.
You being wrong about Trump clearly demonstrates my partisan blind spot. Got it.
This is about deficits and incoming tax receipts.
Correct. The former is increasing faster than the latter.


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Yup. We will see. Hoping the tax cuts have a net positive on tax receipts.

Re: Hmm......

Posted: Thu Mar 29, 2018 2:18 pm
by TheH2
HokieHam wrote:
ip_law-hokie wrote:
HokieHam wrote:
ip_law-hokie wrote:
HokieHam wrote:
Absolutely
Good to see you recognize your issue, former Republican.
You being wrong about Trump clearly demonstrates my partisan blind spot. Got it.
This is about deficits and incoming tax receipts.
Correct. The former is increasing faster than the latter.


Sent from my iPhone using Tapatalk
Yup. We will see. Hoping the tax cuts have a net positive on tax receipts.
LOL. Hope away. I'm hoping I'll be playing in the NBA soon.

Re: Hmm......

Posted: Thu Mar 29, 2018 2:43 pm
by HokieHam
LOL. Hope away. I'm hoping I'll be playing in the NBA soon.
Are you all of a sudden concerned about deficits and debt now?

Re: Hmm......

Posted: Thu Mar 29, 2018 3:03 pm
by TheH2
HokieHam wrote:
LOL. Hope away. I'm hoping I'll be playing in the NBA soon.
Are you all of a sudden concerned about deficits and debt now?
My point was that you're hoping when it is a 100% certainty that it won't. You're choosing to believe a lie.

For example, I'm 6'0" (5'11.75- but I round that up because that's what they did for life death insurance), not the fastest person on a basketball court, and in my "prime" would have made a great baseketball player
And I'm white :) http://uwsboard.com/viewtopic.php?f=2&t=24781

I can ignore the reality and hope to be in the NBA, but the reality is that's not happening. I couldn't even make a division II squad.