Tag Archive for Foreign Tax Rates

eBay To Pay $3 Billion Tax On Foreign-Held Cash

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eBay has made a huge decision to bring back as much as $9.7 Billion that had been designated as permanently invested overseas. As eBay made this decision, they had to pay tax on the difference between the United States and foreign tax rates. The tax to bring foreign held cash back to the United States: a staggering $3 billion. Moving the money back to the United States diminished eBay’s First Quarter.

At the end of 2013, eBay announced it has $12.8 billion in cash and investments with $9.7 billion held overseas. Because of this lucrative tax charge to eBay, they are reporting a $2.33 billion first-quarter loss. eBay made a major decision relocating capital to the United States in pursuit of financial growth and new acquisitions. Finance insiders predict Second Quarter revenues of $4 Billion. eBays sister company PayPal continues to draw new users which is Read more