Continue reading Companies Offering Free Food and Drinks on Tax Day

Companies Offering Free Food and Drinks on Tax Day originally appeared on BloggingStocks on Thu, 15 Apr 2010 12:00:00 EST. Please see our terms for use of feeds.

If you're worried about the value of your home, 2010 could bring a little bit of good news. The National Association of Realtors reported Friday that home prices could edge 4% higher next year. In 2009, home prices declined by 13%. The association's chief economist, Lawrence Yun, says, "Going into 2010, I anticipate that prices will also begin stabilizing or begin to modestly improve." He continues, "I don't think the fear factor will be at play in 2010."

First-time buyers taking advantage of a range of incentives -- including an $8,000 tax credit -- accounted for 47% of transactions this year, up from 41% in 2008. With the credit extended to April 30, 2010, there's hope that first-timers will continue to breathe some life into the real estate market. According to Yun, approximately 2 million people gobbled up the tax advantage.

Continue reading Home values could creep up next year

Home values could creep up next year originally appeared on BloggingStocks on Sat, 14 Nov 2009 17:30:00 EST. Please see our terms for use of feeds.

Brutal economic conditions unsurprisingly hit global accounting giant Deloitte Touche Tohmatsu this year.

The firm reports that revenue for fiscal 2009 (which ended May 31) fell 4.9% from the year before, settling at $26.1 billion. A decline in deal flow and the economic downturn around the world are cited as the primary reasons for the performance. Only the consulting business posted a gain. At the same time, Deloitte's workforce grew globally by 40,000 to 169,000, but the net increase masks a turbulent year for the employees.

Continue reading Deloitte revenue down, employees up ... mystery behind the numbers

Deloitte revenue down, employees up ... mystery behind the numbers originally appeared on BloggingStocks on Mon, 26 Oct 2009 14:40:00 EST. Please see our terms for use of feeds.

Besides raising money, what would be the justification behind such a governmental strategy? Well, excess sugar consumption can be dangerous. It can lead to all kinds of complications. You know the drill: obesity, diabetes, etc. When health issues like those rise, the cost of health care increases as well.

Continue reading Please don't tax Coke!

Please don't tax Coke! originally appeared on BloggingStocks on Thu, 10 Sep 2009 14:40:00 EST. Please see our terms for use of feeds.

Three quarters of the fiscal year is comfortably behind us, and the U.S. budget deficit has already passed the $1 trillion mark. In June alone, the federal government spent faster than it earned to the tune of $94.3 billion. The result is below the median predicted by 30 estimates according to a Bloomberg News survey of economists -- projections ranged from $70 billion to $109.3 billion for the month. This is the first time we've had a June deficit since 1991.

In June 2008, the deficit for the month was a much more modest (but still sizeable) $33.5 billion. But last month spending spiked 37% to $309.7 billion, while revenue plunged 17% to $215.4 billion.

So how does the rest of the year look? Pretty grim.

Continue reading U.S. budget passes $1 trillion with one more quarter to go

U.S. budget passes $1 trillion with one more quarter to go originally appeared on BloggingStocks on Tue, 14 Jul 2009 08:00:00 EST. Please see our terms for use of feeds.

The Wall Street Journal

Continue reading General Motors looks to avoid taxes

General Motors looks to avoid taxes originally appeared on BloggingStocks on Mon, 02 Feb 2009 09:50:00 EST. Please see our terms for use of feeds.

For a bullish hedged play on this stock, I would consider an October bull-put credit spread below the $170 range. A bull-put credit spread is an options position that combines the purchase and sale of put options to hedge risk in case the stock doesn't do what you think but still leverage nice returns. For this particular trade, we will make a 7.5% return in just three weeks as long as FSLR is above $170 at October expiration. First Solar would have to fall by more than 24% before we would start to lose money. Learn more about this type of trade here.

Continue reading First Solar (FSLR) soars on U.S. tax bill implications

First Solar (FSLR) soars on U.S. tax bill implications originally appeared on BloggingStocks on Wed, 24 Sep 2008 13:35:00 EST. Please see our terms for use of feeds.

In a tough economy, the income tax burden on individuals becomes more of a weight. Add the payments to higher gas prices, mortgages that are being reset at lofty levels and rising food costs and the results can be awful.

But at least corporations are paying income taxes to carry part of the burden of running the federal government, right? Too bad that it turns out that this assumption is wrong. As The New York Times writes, "Two out of every three United States corporations paid no federal income taxes from 1998 through 2005, according to a report released Tuesday by the Government Accountability Office, the investigative arm of Congress"

How sweet a deal is that?

Part of the trick is that many companies move money to countries outside the U.S. where the tax burden is lower.

In a period where the federal deficit is at nose bleed levels and individual tax payers are being crushed, Congress will probably be upset enough to pass bills to correct the inequity.

How the companies got away with it for so long is a question that is pretty disturbing.

Douglas A. McIntyre is an editor at 247wallst.com.

Companies that don't pay taxes - and it's most of them originally appeared on BloggingStocks on Wed, 13 Aug 2008 12:40:00 EST. Please see our terms for use of feeds.

Continue reading When running for President, Obama's gotta give to receive vs. Hillary

When running for President, Obama's gotta give to receive vs. Hillary originally appeared on BloggingStocks on Tue, 25 Mar 2008 17:09:00 EST. Please see our terms for use of feeds.

Continue reading The snowball rolls from New Jersey to California

The snowball rolls from New Jersey to California originally appeared on BloggingStocks on Thu, 28 Feb 2008 16:50:00 EST. Please see our terms for use of feeds.

Wal-Mart to dispute $33.5 million tax bill in North Carolina originally appeared on BloggingStocks on Mon, 07 Jan 2008 14:51:00 EST. Please see our terms for use of feeds.

$110 million looking for its rightful owners -- could you be one? originally appeared on BloggingStocks on Tue, 27 Nov 2007 20:50:00 EST. Please see our terms for use of feeds.

eBay gets bound up in Pennsylvania originally appeared on BloggingStocks on Tue, 27 Nov 2007 18:43:00 EST. Please see our terms for use of feeds.

Charitable giving: The other good investment originally appeared on BloggingStocks on Mon, 26 Nov 2007 18:45:00 EST. Please see our terms for use of feeds.

Cisco Systems (NASDAQ: CSCO), the powerhouse maker of computer-networking equipment, fired an executive charged by Brazilian federal authorities in a tax-evasion probe at the company.

Last month, Cisco said Brazilian authorities raided its offices in Sao Paulo and Rio de Janeiro and seized documents and detained employees. From the sound of what was going on, it seems like there was a complicated fraud scheme being perp'd out of Brazil that benefited Cisco, its Brazilian unit, and a vendor in the country.

How big is this issue? Hard to tell at this point. What we do know is what the Brazilian authorities are alleging. Authorities there claim that the U.S. company evaded 1.5 billion reais ($832 million) in taxes.

The tax hit is relatively small compared to Cisco's $170 billion market cap. The company has a strong balance sheet and this shouldn't be particularly serious, even if the firm had to pay the entire alleged amount. Meanwhile, Brazil has tripled its police staff in a major crackdown against white-collar crime.

What remains to be seen is how big a deal this is for Cisco's entire Brazilian operation, and whether this affects sales and growth going forward. I'm interested to see how well the company communicated their exposure to investors.

Zack Miller is the Managing Editor of IsraelNewsletter.com and a former equity analyst for a leading multinational hedge fund. Author's fund doesn't hold a position in CSCO.

Throwing the book at Cisco (CSCO) in Brazil originally appeared on BloggingStocks on Sun, 25 Nov 2007 13:10:00 EST. Please see our terms for use of feeds.

A group of minority and business leaders including former basketball star Earvin "Magic" Johnson plans to form a group called the Access to Capital Coalition to fight against efforts in Congress to end the tax advantages enjoyed by the hedge fund and private equity industry, according to the Wall Street Journal (subscription required).

"Members of the new coalition argue that increasing the taxes on carried interest, also known as the carry, would reduce the incentives for private-equity funds to invest and would make it harder to recruit top talent, particularly for small and midsize funds," the paper said. "Many of the new coalition's members run smaller funds that focus on investing in low- and moderate-income areas."

The U.S. Chamber of Commerce released a study today detailing the damage that these proposals could cause the economy, according to Reuters.

So, making hedge fund and private equity billionaires pay their fair share of taxes would somehow hurt poor people. I don't believe it and I doubt this coalition will do much to sway members of Congress. This issue isn't about taxation, it's about fairness.

Instead of paying the ordinary tax rates of 35 percent, these private equity and hedge fund managers pay the 15-percent capital gains rate on their carried interest. It's tough for most Americans to understand why one group of very rich people pays much lower taxes than another group of rich people. There is no political upside for any member of Congress to stick up for the industry, particularly as the presidential contest kicks into high gear.

There seems to be broad bipartisan support in Congress to close this loophole. It's not a question of if the industry pays higher taxes but when and how much.

Private equity plays race, fear cards in tax fight originally appeared on BloggingStocks on Wed, 05 Sep 2007 10:14:00 EST. Please see our terms for use of feeds.

UST (NYSE: UST) volatility Flat; UST down 6%; Altria Group (NYSE: MO) testing Marlboro Moist Smokeless tobacco. UST, a leading producer and marketer of moist smokeless tobacco products (Skoal, Copenhagen), is recently down $3.06 to $48.91. MO announced the introduction of Marlboro Moist Smokeless tobacco into test market. MO had been frequently mentioned as possibly interested in UST. UST has a market cap of $7.7 billion with quarterly March 2007 total revenue of $447 million. UST September option implied volatility of 26 is near its 26-week average of 23 according to Track Data, suggesting non-directional price risk.

Forest Labs (NYSE: FRX) volatility Elevated on patent challenge Appeal. FRX, a U.S. based pharmaceutical company, is recently down .48 to $37.74. FRX's Lexapro, an antidepressant accounting for 66% of FRX total revenue, is facing a patent challenge appeal.Buckingham Research says "LXP patent challenge appeal which we would expect to be resolved from an appellate decision over the next few months (we expect FRX to prevail in this case)." FRX call option volume of 9,195 contracts compares to put volume of 4,571 contracts. FRX September option implied volatility of 70 is above its 26-week average of 33 according to Track Data, suggesting larger price risks.

Daily options Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

Option update: UST has competition from Altria (MO) originally appeared on BloggingStocks on Tue, 21 Aug 2007 16:55:00 EST. Please see our terms for use of feeds.

Taxes on e-mail may not be a hoax, this time originally appeared on BloggingStocks on Mon, 28 May 2007 16:55:00 EST. Please see our terms for use of feeds.

Some BloggingStocks readers have been kind enough to comment on my blog post regarding the tax protest undertaken by Mr. and Mrs. Brown of New Hampshire. It seems to me that in light of the many ways in which our government has mishandled issues with its citizen over the last several decades, the issue of taxation should be taking more of a front seat. Not a one of us enjoys paying taxes, but most all of us agree that they are a necessary evil. Many of us see serious inequities and abuses in the system. I'll clarify some of my positions on the subject and I'll certainly provide some fuel for debate.

I don't disagree that the Browns have a right to protest their taxes in their own way, but what they are doing is, in my opinion, selfish, short sighted, ill-thought-out, and probably illegal. They are acting like the little child who hurls insults at the boogie man from under the covers. They buttress their actions by claiming that the system is so completely broken that any attempt to work with it is useless. Therein lies my reason for suggesting they should go elsewhere. There are a hundred ways that the Browns could stage an open, effective, and legal protest. They, however, have chosen to hide themselves in protest. In my opinion, they are shameful, loud-mouthed cowards.

Does our government overtax us? You damn bet they do. When hard-working citizens reach a certain income level, their governmental tax load is between 30% and 40% of their income. It approaches 50% if you add in all the permits, licenses, user fees, and a host of other city, county, and state hidden payouts. To me this is completely unacceptable. I've been saying for quite some time that, if you consider that our incomes start with a finite 100% and the governments keep taking one additional percent after another, how long will it be before we no longer have the funds to effectively operate as a public? Even more upsetting to me than the amounts of the funds taken is the fact that we have little to no say in how that money is spent. Taxation without (effective) representation? It wouldn't be too hard to argue that such is the case.

Continue reading Continuing the tax protest dialogue

Continuing the tax protest dialogue originally appeared on BloggingStocks on Sun, 29 Apr 2007 10:40:00 EST. Please see our terms for use of feeds.

I can understand that the good Governor wants to plump the state coffers. We all know that's what Governors do. However, this attempted move by Blagojevich smacks of kicking a man when he's down. I guess that's par for the course in Illinois government. I'll file this story with my other "Gary's Governmental Economic Theory" pieces. That file is called: Governments don't run economies, they strangle them. ...and so it goes.

Source:Illinois Association of REALTORS

Illinois Realtors square off against their Governor originally appeared on BloggingStocks on Thu, 26 Apr 2007 15:15:00 EST. Please see our terms for use of feeds.