My 2 Sense My 2 Sense

My 2 Sense

Burger King Swallows Tim Hortons


Burger King

Burger King needs a coffee break.....nah...tax break.

Sept 1, 2014

Okay, so let me get this straight U.S. owned Burger King is taking over Tim Horton’s and moving its head office to Canada, and this is a good thing for Canada because?

Reason Number 1 Given:
To expand Timmy’s in the U.S. and both brands worldwide creating lots of jobs. Okay, except that since the Canadian market is saturated with both Timmy’s and Burger Kings, and the expansion is elsewhere, there will be NO jobs created in Canada. In fact, they have announced that there will be a loss of jobs in Canada as the merger will need to get rid of redundant personnel and no doubt parachute in a bunch of Americans to head office.
Reason Number 2 Given: Because they will be paying taxes here and not in the U.S. as Canadian corporate taxes are less than the U.S. In fact a whole host of companies are moving their headquarters to our country for this very reason. And this IS very good for us, Not so good for America.

But, here’s the thing, the after tax profits will still be going back to the U.S. so no benefit there. And, as so many fine Canadian companies like TD Bank, are opening offices offshore to avoid Canadian taxes, it stands to reason that Burger Horton’s will do the same, minimizing the benefit to us.

NEWS FLASH:

The Canada Pension Plan Fund almost doubled its investment in Timmy’s stock. Good news for all us geezers. I’m no economist so I don’t know it this is a good thing or not. What I do believe is that even if it doesn’t benefit us, we will be told that it does.

Burger King

Well maybe there’s a benefit to our bureaucrats and politicians who will no doubt approve this deal and at the very least get free donuts and Whoppers for life. Too bad for Mike Duffy.

There was a time when there was a hue and cry from Canadians over foreign ownership of Canadian companies but not a peep on this one.

Just sayin'

Court Smith