Tim Horton's being bought by Burger King.

[Sava]

Wrong one.

?

Kuci + reg + HC = brothers

[snoopy369]

For reference, the effective US corporate tax rate on profitable corporations pre-recession was 27.7%, comparable to other similar nations at 27.2% (weighted by GDP), or a bit higher unweighted (23.5%). http://www.epi.org/publication/ib364...onomic-growth/ The most recent number I saw was 12.2% last year thanks to bonus depreciation.

[snoopy369]

?

Kuci + reg + HC = brothers

Sorry, I apparently missed that revelation

[Sava]

Sorry, I apparently missed that revelation

YOU BRING SHAME TO JAPAN

[snoopy369]

Sorry, wrong Axis power. I'm Italian(-American).

[Sava]

Antonio Margariti. MAR GAR EE TEE

MAR GAR EE TEE

bravo bravo!

[Dinner]

The 39.1% is including those deductions.

Reg.... Damn it. I won't even respond other than to quote an authoritative source.

No.

[Dinner]

3G Capital is owned by a British Company? Where did you read that?

3G Capital is the Brazilian company which bought the British company which bought the American company which is now buying the Canadian company. Keep up!

[Sava]

All this for a measly $8 million in savings.

http://fivethirtyeight.com/datalab/burger-king-might-save-8-1-million-by-moving-to-canada-whats-the-whopper-equivalent/

That savings could be wiped out if sales drop by 6.5%.

The move seems short-sighted and stupid from a business perspective. A strong enough 'Murica backlash could conceivably have that sort of impact.

[Imran Siddiqui]

It's quite likely that this merger has very little to do with tax inversion at all. It's just two huge companies joining up.

[The Mad Monk]

I'm not sure why you're comparing the aggregate tax rate for BK and TH. The real benefit to Burger King is not the marginally lower tax rate in Canada but the fact that as a Canadian company they would have to pay zero Corporate Income tax what they repatriated (which is necessary in order to return it to shareholders through buybacks or dividends) of their $230 million of foreign EBITDA whereas in the US they have to pay 35%. So the actual tax savings to shareholders would be more along the lines of $80.5 million per year.

In the comments, and something I was looking for while reading that article. I'm surprised somebody writing under the 538 moniker would miss that.

[The Mad Monk]

It's quite likely that this merger has very little to do with tax inversion at all. It's just two huge companies joining up.

Also, this. This means that Tim Hortons could start showing up wherever there's a Burger King. I can't wait.

[Sava]

If that's the case, I'm surprised too.

[Sava]

I liked this comment:

Don't you find it interesting that companies find it more attractive to move countries (sic) with socialised medicine, a better safety net, and more liberal policies.

[Dinner]

It's quite likely that this merger has very little to do with tax inversion at all. It's just two huge companies joining up.

I've heard some talking heads suggest it was a move designed to get Canadian regulators to be more likely to approve the merger.