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« Whats the point?  
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insomniac84

join:2002-01-03
Schererville, IN

reply to TKJunkMail
Re: Good going

But all the original tax is still being charged to the new owner and sprint will have to pay some tax. This equals more taxes overall. And the new company is going to have to collect this money, plus an additional 50% for profit. Sprint has to be going under.


TKJunkMail
Enjoy the sun
Premium
join:2002-03-03
Avalon, NJ
·Sprint Mobile Broa..
·Comcast

reply to amigo_boy
said by amigo_boy See Profile :

said by TKJunkMail See Profile :

State & local taxes can be eliminated and federal taxes can be reduced as leases are operational expenses that reduce taxable income.
Doesn't the new owner of the towers have the same tax consequences that the towers previously caused for Sprint? Won't they just pass that along to Sprint?

Mark
That would all be taken in to account with the terms of the lease. Obviously the tower company would want all their costs( + a profit) covered in the lease. So the localities aren't losing anything, but Sprint gets advantages by having the costs covered "above the line" in the lease.
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amigo_boy

join:2005-07-22
Tempe, AZ
·Cox HSI
·magicjack.com

reply to TKJunkMail
said by TKJunkMail See Profile :

State & local taxes can be eliminated and federal taxes can be reduced as leases are operational expenses that reduce taxable income.
Doesn't the new owner of the towers have the same tax consequences that the towers previously caused for Sprint? Won't they just pass that along to Sprint?

Mark


jjeffeorynotanon

@tds.net

reply to TKJunkMail
said by TKJunkMail See Profile :

said by BPLSUCKS See Profile :

Exec 1:"Don't worry we will lease them back and end up paying more in the long run than if we kept them ourselves!"
There are tax advantages leasing versus owning. State & local taxes can be eliminated and federal taxes can be reduced as leases are operational expenses that reduce taxable income.
Exactly! One thing we both agree upon.


TKJunkMail
Enjoy the sun
Premium
join:2002-03-03
Avalon, NJ
·Sprint Mobile Broa..
·Comcast

reply to BPLSUCKS
said by BPLSUCKS See Profile :

Exec 1:"Don't worry we will lease them back and end up paying more in the long run than if we kept them ourselves!"
There are tax advantages leasing versus owning. State & local taxes can be eliminated and federal taxes can be reduced as leases are operational expenses that reduce taxable income.
--
My BLOG .. .. Internet News .. .. My Web Page
Ask yourself one question: 'Do I feel lucky?' Well, do ya punk?
Forums » Sprint Sells Towers To Pay Down Debtservice »
« Whats the point?  


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