US effectively moving to a system where tax policy is set by the executive branch, fully adhoc, unpredictable, and bespoke per company, and based in large part on the presidents' personal relationships with the company's leadership
Nvidia and AMD to pay 15% of China chip sale revenues to US government on.ft.com/3JaXE0w
Chipmakers agree to unusual arrangement to secure export licences from Trump administration
This is a massive potential national security risk and absolutely not worth anything close to the pittance the U.S. government would receive…shockingly terrible risk/reward analysis
Everyone is trying to be the
en.m.wikipedia.org/wiki/Groom_o...
Next Democratic president ought to run on a MISIA platform—Make Illegal Shit Illegal Again.
Trump figuring out he can* do both import AND export taxes is gonna be great for American business.
*not legally, but...
Keep in mind that these large companies have armies of experts structuring offshore sales to prevent taxable income.
If this new approach works, then great. This criminal administration might have accidentally done something good.
Formula for failure
It's probably fine
Keep those gold bars coming.
Democracy with Russian characteristics.
To the US government or Trump? Someone better know where those monies go ie line item?
Like, uhm, a dictatorship?
Isn’t there something about fascism being the unholy marriage of business and government…?
Inverse tariffs. You get taxed on what you sell as well as what you buy.
This stuff, along with tariffs and tariffs exemptions, isn't just moving the power of the purse to the executive branch, it's completely alters what it means to be a successful large corp: one where relationships rather than neutral, if complex, rules decide whether you will remain competitive
You missed "unlawful."
And by "tax policy" you mean "extortion"
Lol I wonder if a Chinese company is going to try to sue here to have that de facto export tax annulled. Assuming that the chip makers are going to pass this cost on, I think they'd have standing lol
Here are the largest shareholders of Nvidia and AMD.
Awaiting shareholder lawsuits.
admiralmarkets.com/education/ar...
Got a Vanguard or Blackrock fund? Ask when they're filing.
Who are the top ten shareholders of Nvidia (NVDA)? Discover the largest institutional and individual shareholders of NVDA stock.
Is there a word for this? Asking for a friend.
protection racket was supposed to be a metaphor
So a command economy. Cool, cool - I thought there were red hat people who liked free markets? Maybe that's just in concept...
Putinesque Oligarchy
So, authoritarianism? If only someone had warned them.
Mafiastyle
Finally the mask is coming off. I applaud the United States in maturing into its truest self.
Why does it seem inevitable that a pile of that money will end up in Trump’s pocket? It’s called a shake down that’s why.
This is literally Pay to play and of course, those Chip companies are willing to do that. None of this makes any sense from a legal or financial standpoint.
In other words: a cluster fuck
That is the sort of thing that happens in a shithole country.
They're going to give him so many gold covered products.
Yes but at least it’s better than Communist China, where they don’t have free markets.
"Nice chips. It'd be a shame if something happened to them"
Mob administration.
Plus he's giving away a technological edge losing US billions.
it's a corruption and bad-governance cascade and the dems seem incapable of mustering much more than a blip of opposition
If any Democrat suggested this, it would be called socialism.
These will certainly be secure for the future…
It’s very funny sorry
Yeah, it's called an extortion racket.
Technically, it is all illegal.
At least the IRS is in good hands to keep this all straight... 🗑🔥
This just makes me want to hurl
NO!!!!!!
Protection racket
How in the world could you unwind all of this (if courts rule the tariffs are illegal/unconstitutional)?
It’s also really small potatoes for the government. No one is really benefiting except for Trump’s ego
A bit terrifying how much corporate America is indicating that they absolutely believe the new regime is permanent
That's not a tax system at all. That's a system of personal tribute and fealty oaths, with no wall between the monarch's personal bank account and that of the nation-state.
US industry needs to leave the US.
