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IRISH BUILDING SUPPLIES company CRH is expected to save well over €100 million on the sale of some of its US operations because of Trump’s recent tax changes.
The building materials giant, which is Ireland’s largest indigenous firm, announced earlier this week that it is has completed the sale of its Americas distribution division.
At the time of the sale, CRH said that it was offloading the division because it didn’t offer “value adding acquisition opportunities” and it couldn’t see a way to become the market leader in the area.
The firm sold the subsidiary to Beacon Roofing Supply, a US company that sells roofing and building products in North America.
CRH said that the proceeds of the sale would be used to help fund some of its acquisitions in 2017.
The company has said it will spend €4.2 billion buying US cement maker Ash Grove Cement, Suwannee America Cement and German business Fels.
Savings
According to a note published this morning by Davy stockbrokers, the Americas distribution business had gross assets of €1.2 billion, while the proceeds from the sale were €2.2 billion.
“That €1 billion gain might have been taxed at 35% under the old tax regime,” the note said.
“At 21%, the tax bill would be €210 million rather than €350 million, indicating a possible saving of €140 miliion by completing the deal on 2 January 2018.”
When discussing the “old regime”, the note was referencing the sweeping tax changes recently introduced under the Trump administration in the US.
The new rules included dramatic tax cuts for corporations and temporary reductions for individuals, and represented the most sweeping rewrite of the US tax code in decades.
The bill received final approval from the Republican-controlled US House of Representatives at the end of December. Under the changes, corporate tax was cut from 35% to 21%.
CRH is the biggest company by turnover in Ireland, with revenues of €27 billion in 2016.
Written by Paul O’Donoghue and posted on Fora.ie
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And Trumps own companies are poised to save €1billion. #MAGA
@Jack O’Connell: you mean the taxes? You know, the bit that doesn’t go to the shareholders?
@Jack O’Connell: I can’t see how a raise in tax on alcohol benefits those who possess shares in alcohol companies, but maybe in your school of economics it does
@Jack O’Connell: Pascal and his shares portfolio makes me laugh. He’s no pro at stock investing, i’d say not even an expert on finance, but it’s like he has to have them simply because he’s minister for finance.
@Adrian: we all know that a bank account isn’t even required for that position, who the hell does he think he is?
With Trumps giving Disney massive cash bonus with his tax is he aware that the Mickey mouse key rings are made in China and sold as American keep sakes for who ever buys them
@James Mc Loughlin: Half the cheap stuff sold today is made in China so what’s your point? Have a look at Aliexpress.com , search for Irish and you will find everything from Irish hats, flutes, leprechaun hats, soccer jerseys and Irish flags. It’s basic business and economics to source the best product from the cheapest source.
@Brian Ward: usually with less emphasis on the best product bit
@Dave O Keeffe: where do you think your “best products” are made?
@Dave O Keeffe: Don’t mention that around iPhone users seeing as most of their phones are made in China by cheap labour and then sold at idiotic premiums to end users.
@GerryCummins: I’d imagine properly paid adults do a better job in all parts of the manufacturing process.
@Brian Ward: his point is that Trump promised to bring manufacturing back to the USA. remember?
@Brian Ward: they tend to be very touchy about their made to break phones
@Brian Ward: Well, it is a Chinese website.
Sweeping tax reform that would be permanent for individuals but the Dems wouldn’t give it the majority support required to make it permanent.
@Aindreas Macliam: that’s a lie. Tm it couldn’t be made permanent due to budget rules about the deficit.
@Dave O Keeffe: No comrade O Keeffe what you’re saying is a lie & leftist propaganda, the bill needed to pass 60 votes in the Senate, only 8 Dems needed to give their approval to make the cuts permanent, instead what did they do? They invoked “Reconciliation” which meant they could abstain but the bill could pass on a simple majority.,but measured would only be temporary.
The reality is, are these cuts good for big corporations? Absolutely.
Big/medium/small businesses? Absolutely.
But also 92% of the middle class will benefit by saving thousands every year.
Seriously man why don’t you just f*#k off to Venezuela or N Korea where your Utopia already exists
@Dave O Keeffe: your just annoyed because you know things like this prove people like you wrong…& You know it’s exactly things like this that are gonna get him re-elected, which means why should people listen to the likes of your analysis if you’ve been consistently wrong, then you’re irrelevant & people shouldn’t listen to you….ps your wrong because of your bias, can’t look at thing objectively.
@Aindreas Macliam: I’m not in the least bit annoyed. Amused more than anything at your blatant lying http://www.businessinsider.com/trump-gop-tax-plan-senate-bill-why-individual-tax-cuts-temporary-2017-11
“On December 19-20, 2017 the House and Senate passed a landmark tax reform bill, the Tax Cuts and Jobs Act of 2017, and President Trump signed it into law on December 22. Due to the Byrd rule the individual tax rate cuts and other reforms sunset in 2026. Corporate tax rate cuts and other reforms, such as switching the United States to the territorial system, were made permanent. This was the first reconciliation bill passed and signed by the President since the Affordable Care Act in 2010.” https://en.m.wikipedia.org/wiki/Reconciliation_(United_States_Congress)
@Dave O Keeffe: The Byrd Rule is a United States Senate rule that amends the Congressional Budget Act of 1974 to allow Senators during the Reconciliation Process to block legislation if it possibly would increase significantly the federal deficit beyond a ten-year term or is otherwise an “extraneous matter” as set forth in the Budget Act.[32] It is named after West Virginia Senator Robert Byrd.
@Aindreas Macliam: you know reconciliation isn’t invoked right? It’s a requirement that all budgets in the Senate must meet.
@Aindreas Macliam: can I just point out that you’ve already started with your insults when all I did was correct you in an error. Claiming my bias won’t allow me see it clearly? I haven’t even expressed an opinion on the matter. All I did was point out that your bias wasn’t letting you see the rules for what they are, rules.
@Dave O Keeffe: Haha Yeah Dave your really crushing me using Wikipedia & leftist publication, ha crushing me the way the Soviet Union did Poland! ( Business insider what’s wrong couldn’t find anything in wall street journal? Haha)
Comrade, I could post links, but then I know how much it bores people when you do it so I won’t. You’re a idealogue, no point, instead I’m going to let the rise of the right all over the western world do the talking for me. Your credibility is being eroded every day.
For anyone who stumble across this spat, know this, Dave is talking about the deficit (that’s America’s national debt) when Dave’s man Obama entered the oval office America’s national debt was 10 trillion, when Obama left office America’s national debt was 19trillion (also Obama ordered more bombs dropped than any other president since Vietnam) after his man doubles the debt, Dave wants to give out bout ordinary people getting some tax breaks & business as well (so as to increase employment) coz he worried bout the deficit.
For anyone interested, the right represents as limited government as possible, lowest taxes as possible, freedom of speech & border control/ immigration restrictions ie if there is a surplus of employment people can come in ( who we’ve deemed useful to our economic needs) if labour is in surplus then immigration is shut down.
Feel free to climb aboard people.
@Aindreas Macliam: Wasn’t there some pesky economic mess handed down to Obama ? Did you not know about that ?Wow!
@Brick Wall: I haven’t given out about anyone getting tax breaks. I corrected your mistake. If you don’t want to actually understand the rules then that’s fine. But the only place I saw anything close to your version of the story was Breitbart.
@Dave O Keeffe:the poor guy doesn’t understand the difference between the ‘debt’ and the ‘deficit’ ..the latter being something which Obama had actually reduced..oh well…
@”LoveBoth”Is A Lie: economic mess handed down to him, no MISMANAGED by him!
Trump had no problem undoing previous administration gaffes, you telling me Obama couldn’t?? Another reason why he was a woeful leader.
@Dave O Keeffe: He’s right on this. Byrd rule violations can still be part of a successful reconciliation bill if there is a senate 3/5ths supermajority (60/100). The Byrd rule violation has to be raised by a senator, it’s ruled on by the Presiding Officer, but the ruling can be overturned if the bill is supported by 60 senators.
Since there are only 51/52 Republicans (depending on John McCain’s attendance) in the Senate they needed some Democrats to support the original form of the bill, as a simple majority wouldn’t be enough to keep the individual tax cuts permanent (Byrd rule). Since no Dems supported the bill, it got nowhere near 60 and the individual tax cuts had to be sunsetted once they were outside the budget window of 10 years in order to wriggle out of Byrd rule objections.
@Aindreas Macliam: How did the bank bailout workout in the U.S. ?
And,isn’t it true that the Republican party hold the power in all of the houses and that makes it much easier for Trump to get things done (lol) ? You must try harder..
@Aindreas Macliam: the economy has been slowing down quarter on quarter since Q2 last year. Hopefully the new tax plan will change that.
@Malachi: except it wasn’t voted on in advance of changing it to avoid the Byrd Rule.
@Malachi: Minor correction, there were 52 Republican senators but Doug Jones assumed office 3 days ago making the total 51 vs. 47
The point is the same, the Republicans needed more than a simple majority to prevent sunsetting of individual tax cuts which the Dems didn’t provide.
@Malachi: but the Byrd Rule wasn’t invoked for those tax measures. It was for The Cruz amendment, university endowment taxes and the title of the bill itself.
Ha! The majority of the Republican Party didn’t have much say into the writing of that tax plan,nevermind the Democratic Party getting any say..
@Dave O Keeffe: See all your cronies have arrived Dave, # They hunt in packs
#Censorship
#Submit complaints in packs
I’ll leave y’all to it,
Viva patriotism!
Viva nationalism!
Viva Sovereignty!
@Aindreas Macliam: do I need to explain to you how patriotism and nationalism aren’t easy allies again?
@Aindreas Macliam: i’ve never once made a complaint about a user on here..you’re getting a wee bit paranoid there,lad…
@Aindreas Macliam: one of yours? Alleged White Supremacist Is Charged With Terrorism After Stopping Amtrak Train http://n.pr/2EZY3NT
@Dave O Keeffe: “except it wasn’t voted on in advance of changing it to avoid the Byrd Rule.”
The House passed their pre-conference version of the bill on Nov 16th that didn’t sunset the individual tax cuts, this violates the Byrd rule and wouldn’t gel with what the senate would pass two weeks later (2nd Dec – Senate passes the bill with expiry date on individual cuts).
When it went to the Conference committee to resolve the difference between the House & Senate, the sunsetting was agreed on. So, the problem was that the GOP couldn’t propose a bill to the Senate that implemented permanent individual cuts because there would immediately be objections – they ended up objecting on other, more minor grounds anyway (you mentioned them).
The point is that your original comment implied there was no way of making the individual cuts permanent because the Byrd rule is final – there was. If the GOP had support from a few Dems on the issue it could’ve bypassed any Byrd rule objections (which Sanders & Wyden were determined to make anyway) and the post-conference bill could’ve had permanent individual cuts.
@Aindreas Macliam: WHAT DRUG ARE YOU ON,,,, OLD TRUMP DOES NOT WANT FREEDOM OF SPEECH..
@Malachi: my point was that it was the way it is before Democrats had a say and in fact the sunsetting was an effort to appease deficit hawks on the Republican side as much as anything else.
@Dave O Keeffe: I
@Dave O Keeffe:
It might be technically true that they didn’t officially shut down the permanent tax cuts but the bill was the way it was in the first place (in the Senate) because of the stance of the Dems so they essentially did stop it – not that that’s a bad thing.
Bipartisan agreement didn’t happen even on the minor things in the bill so it sure as anything wouldn’t have happened on the major stuff.
Democrats voted against the permanent tax cuts version in the house anyway (unanimously), so their stance is clear – Dems wouldn’t have voted for the bill in the senate even with sunsetting. That’s why they had to be presented with a suitable bill in the Senate to get around the Byrd rule.
@Malachi: with the permanent cuts in the Senate it wouldn’t even have passed a simple majority.
Endearing
@Liam: Hi twin
@Liam: Trump did an amazing wide reaching questions and answers that included North Korea, Drug problem in Mexico, World Economic development but al the Irish fool media can talk about is promoting a tabloid style book.
@Tom Molloy: going to be a long 7 years ha
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