They have been trying to get rid of KBR for two or three years because it is an under-performing dog in business terms. They figured out a few years ago that oil was going to be even more profitable in the 21st century than it was in the 20th, and they decided to put all their eggs in that basket. That means dumping KBR and moving their corporate headquarters to Dubai. But before we go bashing Halliburton for the move, keep in mind that the government of Dubai has spent billions of dollars creating exactly the kind of place to attract global companies like Halliburton. I would not be at all surprised to see more companies- and not just American ones- move to Dubai.
As for where they pay taxes (or should pay them, anyway), that is such a hugely complicated issue for these global companies. They have armies of lawyers and accountants running the numbers, it's amazing. Their goal, like that of any for-profit business, is to make as much money as possible and pay as little of it in taxes as possible. Moving their corporate headquarters to Dubai probably helps some. You'll be able to see their US returns from last year and their returns from the first year in Dubai and tell the difference, that's for sure. As for legal action, I wonder whether the government of Dubai would refuse an extradition request. Somehow I doubt it.... On 3/13/07, William wrote: > > > How many employees do you think they have in Iraq? I wonder how many > > they will have based out of Dubai working in Iraq and elsewhere in the > > Middle East. Would it possibly be enough to change their tax status. > > That's something else that was mentioned yesterday, KBR the division > of Halliburton that is handling the gov. contracts is supposed to be > spun off as its own comapny next month. > > > Toyota is a Japanese company. However, they have 8 or so manufacturing > > plants in the USA. How does that work out for taxes? > > I am not a tax attorney but I would think that there's a certain > amount of taxes that would have to be paid on both ends. Property tax > comes to mind mostly, but other than that i don't know. > > > Do they have to > > pay US taxes on their production here, how does that affect their tax > > liability in Japan? If Haliburton starts running its contracts through > > their office in Dubai rather than here in the US will they be able to > > avert paying some of their taxes in the USA? > > Probably a little bit, but if they are still a US corporation, then > they still pay taxes in the US, or should > > > Are they safer from US prosecutors if someone was to find a reason to > > attempt legal action against them? > > Going forward, I would imagine so... > -- --------------- Robert Munn www.funkymojo.com ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Create Web Applications With ColdFusion MX7 & Flex 2. Build powerful, scalable RIAs. Free Trial http://www.adobe.com/products/coldfusion/flex2/?sdid=RVJS Archive: http://www.houseoffusion.com/groups/CF-Community/message.cfm/messageid:230106 Subscription: http://www.houseoffusion.com/groups/CF-Community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/cf_lists/unsubscribe.cfm?user=11502.10531.5
