Freedom checks are a business that would seem federal, but they are not. These are cash payments which are usually made to the shareholders of companies that are publicly traded. The main reason why these freedom checks (Matt Badiali’s Freedom Checks) are confused for a federal scheme is the fact that they are only made possible by the federal law, known as Statute 26-F. it usually ensures that payments to these shareholders are made either quarterly or monthly.
The companies that usually make these payments are known as master limited partnerships. The greatest reason why most of these companies would agree to make such payments to their shareholders is so that they could be exempted from tax payments. More specifically, for every dollar that they make (earnings), they are expected to put away 90 cents for their shareholders as freedom checks. Watch this video at Youtube.
This initiative, however, is mainly being applied in The SA and mostly in the companies which are within the energy sector. This incentive has been of aid in helping the country to grow its energy sector, especially the oil and petroleum industry. Being exempted from the tax systems ensures that there is ease of entry for new companies in this industry. In the long run, this would be expected to increase the levels of competition and to promote general growth of the industry.
The whole initiative of the checks came mainly from the initiative introduced by President Nixon.
He made an argument that the company relying so much on other countries for their energy products was greatly reducing their independence. To promote their economic independence, therefore, it would be advisable for the company to have initiatives that were promoting the growth of the energy sector, particularly by having local investors in that field.
Freedom checks are being of great aid, not only to the companies that are benefiting by being exempted from the tax payable. Citizens of the USA are being able to make money just by making investments in their local companies. The payments from these checks go as high as the rates of profitability for the respective companies. The earnings are being able to solely sustain some investors. Initially, the publicity of these checks made them look as if they were more of a scam than a reality. However, they are real. They have been of aid to very many investors and companies in the USA, t an extent of spreading to other industries, such as the real estate industry in the country. Read more at Agora News about Freedom Checks.