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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Mike M2 who wrote (84038)	10/9/2000 1:27:00 PM
From: Knighty Tin	Respond to of 132070

Mike, Why should Cisco help pay to run the country that allowed them to get rich? <g>

To: Mike M2 who wrote (84038)	10/9/2000 1:49:19 PM
From: Don Lloyd	Respond to of 132070

Mike - "To all, sfgate.com. CSCO's esop tax benefits allow Cisco to pay no income taxes. ho ho ho Mike " No corporation ever really pays taxes. Only people can pay taxes. Shareholders, employees and customers end up effectively paying the taxes, and the overall economy suffers as a result. Regards, Don

To: Mike M2 who wrote (84038)	10/9/2000 6:30:22 PM
From: robnhood	Respond to of 132070

Particularly interesting because the US is constantly badgering other countries by accusing them of subsidising industries.. Ho ho ho....

To: Mike M2 who wrote (84038)	10/9/2000 6:49:28 PM
From: Logain Ablar	Read Replies (1) \| Respond to of 132070

Bill: If you consider that the employees pay income taxes on these earnings why should CSCO or MSFT pay. This is good tax planning (actually not even planning just following the code) and great accounting (not even creative accounting, its in the footnotes for those astute enough to read them). I think so anyway. If the opportunity is there the company would be crazy not to take advantage of it. Its not even a loophole or a gray area. Its all spelled out in black and white in the IRC and GAAP (actually I think its an APB, Accounting Pronouncement Bulletin) So far investors don't seem to mind with the stock dilution. I know the arguement on if/when (it has) the market turns but you cross that bridge when it happens. Tim

To: Mike M2 who wrote (84038)	10/9/2000 7:30:52 PM
From: Skeeter Bug	Respond to of 132070

>>Cisco is entitled to a deduction for stock option income because ``in reality, that's compensation,'' and tax law has always treated employee compensation as a deductible expense, said Dennis Powell, Cisco's corporate controller.<< my favorite part. i thought compensation ran down the income statement? well, it isn't that kind of compensation, right? noncompensation (for income tax purposes) compensation (for deduction purposes). noncompensation compensation - only in the new economy! ;-) >>``Shareholders have decided they want to share some money with employees to provide an incentive'' to increase earnings, said Powell.<< do shareholders vote on stock option plans? seems to me management has made that decision.