Large cruise lines, many of which saw the first coronavirus outbreaks on their vessels, are unlikely to see a penny of the $ 2 trillion stimulus package passed by the Senate late Wednesday night.
The financial stimulus package includes $ 500 billion in loans and loan guarantees to industries affected by the pandemic, but in order to qualify for these loans, a company must be “created or organized in the United States or under the laws of the United States” and “have significant operations in and a majority. of its employees based in the United States. “
The same logic applies to private citizens, who must have a social security number and file US income taxes in order to be eligible for stimulus checks.
Unlike other hospitality industries, the most prominent cruise lines are from their headquarters and much of their workforce, which means that they do not pay US taxes or employ only Americans.
Carnival Corp., owner of the Princess cruise lines ̵
These tactics, according to a report by The Washington Post, are largely done to avoid paying US corporate taxes and following US labor laws.
“We don’t need any salvation when it comes to giving us money. Getting a loan guarantee would be helpful, ”Carnival CEO Arnold Donald recently told HBO.
When asked at a White House meeting on Thursday about a call from Sen. Josh HawleyJoshua (Josh) David Hawley7 Things to Know About the Coronavirus Stimulus Package Five Pieces for a T Coronavirus Agreement (R-Mo.) For cruise ships to be based in the United States, Trump said, “I like the concept.”
“Come back to America. And pay your taxes, ”Hawley tweeted Thursday afternoon. “How does that sound?”
Trump said that while it is “very difficult” to consider making them eligible for loans, he noted that they employ many people and promote economic activity.
“It is very difficult to lend to a company when they live in another country, but with that said, they have thousands and thousands of people working there,” he said. “Cruise ship operations are very important. … We will try to train something. “
The cruise industry trade group, Cruise Lines International Association (CLIA), provided a plan for decision makers, a meeting with Vice President Pence and a telephone call from Micky Arison, President of Carnival Corp. President TrumpDonald John Trump calls for North Korea to help, while denying all cases of coronavirus: report Iran’s official claims Tehran has “no knowledge” of US hostage whereabouts Unemployment demands increase to 3.2 million as coronavirus destroys economy MORE, according to the record.
“For the more than 421,000 people in the United States whose jobs are supported by the cruise industry, we will continue to work with decision makers to help our community recover from the effects of this pandemic,” CLIA spokeswoman Bari Golin-Blaugrund told the Post.