26 highly profitable corporations paid ZERO taxes last year, while taking in billions in profits

Think Progress reports that not only are corporate taxes at a 40 year low, despite what the GOP and Fox News want you to believe, but that 26 highly profitable corporations paid NOTHING in taxes last year. This is why we can’t have nice things.

Last year, Citizens for Tax Justice found that 30 major corporations had made billions of dollars in profits while paying no federal income tax between 2008 and 2010. Today, CTJ updated that report to reflect the 2011 tax bill of those 30 companies, and 26 of them have still managed to pay absolutely nothing over that four year period:

– 26 of the 30 companies continued to enjoy negative federal income tax rates. That means they still made more money after tax than before tax over the four years! …

– In total, 2008-11 federal income taxes for the 30 companies remained negative, despite $205 billion in pretax U.S. profits. Overall, they enjoyed an average effective federal income tax rate of –3.1 percent over the four years.

Amongst the 30 are corporate titans such as General Electric, Boeing, Verizon, and Mattel…. Continue reading

And here are a couple of facts from the CTJ report:

Had these 30 companies paid the full 35 percent corporate tax rate over the 2008-11 period, they would have paid $78.3 billion more in federal income taxes. Or put another way, over the four years, the 30 companies received more than $78 billion in total tax subsidies. Wells Fargo alone garnered $21.6 billion in tax subsidies over the four years, followed by General Electric ($10.6 billion), Verizon ($7.7 billion), and Boeing ($6.0 billion).

In 2011 alone, 24 of the 30 companies paid effective tax rates of less than 4 percent, including 15 that paid zero or less in federal income taxes in that year. For all 30 companies, the average 2011 effective federal income tax rate was a paltry 7.1% — only a fifth of the statutory 35 percent federal corporate tax rate.

Imagine the potential programs and services our country could have (health care for all, single payer), or the many programs and services that Paul Ryan and Mitt Romney might not even think about cutting, if corporations actually PAID a 35% corporate tax rate.

And with all this money they’re shoveling into their corporate bank accounts, from both profits and zero tax liability, where are the jobs? And why is the Republican Party trying to make the case that corporations need even more tax cuts and another tax loophole, like “repatriation holidays” for corporate stashes overseas?

A POLITICO review of annual reports and Securities and Exchange Commission filings shows that a dozen of the most vocal corporate critics of U.S. tax policy finished 2011 with more than $455 billion in cash, investments and other earnings held by foreign subsidiaries — up from $381 billion the year earlier.

The companies have avoided U.S. taxes on almost every penny of their international profits by keeping the money offshore. And nearly that entire haul has been designated by top executives of those firms as “permanently” or “indefinitely” reinvested abroad, partly because of the 35 percent U.S. tax rate companies must pay to bring home foreign money.

[...]U.S. multinationals have hired an army of lobbyists to sell the idea of a tax holiday to Congress, so they might repatriate a pot of overseas profits estimated at more than $1 trillion for as low as a 5.25 percent rate. The companies — along with the U.S. Chamber of Commerce — argue that repatriation would serve as an instant stimulus of sorts, allowing hundreds of billions of dollars to flow in to the economy.

Critics disagree. They say the proposal is bad tax policy.

As evidence, the critics point to a 2004-05 tax holiday that brought some $312 billion back into the U.S. Most of that was spent on dividends and stock repurchases — not building or hiring.  Continue reading…

These corporations and rich CEOs need to remember that the rest of us don’t mind their success, we mind that they’re robbing us and the country blind for their profits. Or as Elizabeth Warren said, “There is nobody in this country who got rich on his own. Nobody.” 

From CTJ — the companies who are shifting their tax burden onto the rest of us (some have done so for a decade or more):

Tuesday morning’s 9 kinda interesting things

1) Neck And Neck In Michigan – PPP’s final Michigan poll, which was released within the past hour, finds Santorum ahead: Much has been made of Democratic efforts to turn out the vote for Santorum and we see evidence that’s actually happening. Romney leads with actual Republican voters, 43-38. But Santorum’s up 47-10 with Democratic voters, and even though they’re only 8% of the likely electorate that’s enough to put him over the top. The big question now is whether those folks will actually bother to show up and vote tomorrow.

  • Arizona Primary Fails to Inspire Republican Voters – Arizona caught the country’s attention by passing controversial immigration laws, but Republican voters don’t seem too concerned with the state’s presidential primary this week. Arizona Republicans go to the polls Tuesday in what could be one of the least-watched races of the GOP election cycle. “People started with the assumption that Arizona is safe for Romney because there are a lot of Mormons here,” said Merrill, whose recent polls showed Romney’s lead shrinking to just a few points.
  • Michigan primary could reset GOP presidential race – The magnitude of the Romney vote in Michigan will be closely parsed for clues about the strength of his appeal in an industrial state that Republicans would like to make a battleground in the fall. But conservative challenger Santorum, a long shot when the campaign began, is making a powerful bid to throw the 2012 race into chaos with upsets, particularly in Romney’s native state.
  • Democrats don’t want Democrats to vote Democratic in Michigan - In other words, Democrats who vote Republican tomorrow don’t just meddle with the GOP primary, but they also meddle with Republican electoral efforts into November, if not beyond. So if you’re a Democrat in Michigan squeamish about voting for Santorum, then vote for someone else! Either way, you’re making Michigan GOP’s job that much harder in the future.

2) Rep. Darrell Issa (R-CA) has conceded his all-male anti-contraception hearing was not ‘my greatest success – Eight days after getting roundly-chastised for holding an all-male anti-contraception, Rep. Darrell Issa (R-CA) admitted on Friday that the episode did not go as well as he expected. “I won’t call it my greatest success to get a point across on behalf of the American people,” said the six-term congressman.

3) Rush Limbaugh: America’s Least Favorite News Personality – A new Harris Poll out today finds that conservative shock jock Rush Limbaugh is America’s “least favorite” news personality, with 46 percent of respondents picking him for the dubious honor. Runners-up Bill O’Reilly and Nancy Grace come in a distant second and third, at 31 percent and 23 percent, respectively. But more interestingly, Limbaugh is universally disliked. He is the only person whom Democrats, Independents, and Republicans alike chose as among their top three their least favorite people.

4) Elderly Bachelor Tells Women How Jesus Will Allow Them To Get Pregnant - Dressed in flowing silken capes and a bejeweled silken hat, the childless old man described his religion’s required process for creating new human life forms: “The human and Christian dignity of procreation, in fact, doesn’t consist in a ‘product’, but in its link to the conjugal act, an expression of the love of the spouses of their union, not only biological but also spiritual,” the Daily Mail quoted Pope Benedict XVI as saying. Sperm or egg donation and methods such as IVF are banned for members of the Catholic church. The man, who spent his youth as an actual Nazi in the “Hitler Youth” army, is also stridently against the legal prosecution of his fellow Catholic priests who fuck little boys.

5) Rick Santorum will require we all live under Catholic sharia law one day - Rick Santorum is very confused. Santorum today: The former Pennsylvania senator told about 300 people in Lavonia: “I’m for separation of church and state. The state has no business telling the church what to do.” Santorum yesterday: I don’t believe in an America where the separation of church and state is absolute. The idea that the church can have no influence or no involvement in the operation of the state is absolutely antithetical to the objectives and vision of our country.

6) 2012 or Never – The Republican Party is in the grips of many fever dreams. But this is not one of them. To be sure, the apocalyptic ideological analysis—that “freedom” is incompatible with Clinton-era tax rates and Massachusetts-style health care—is pure crazy. But the panicked strategic analysis, and the sense of urgency it gives rise to, is actually quite sound. The modern GOP—the party of Nixon, Reagan, and both Bushes—is staring down its own demographic extinction. Right-wing warnings of impending tyranny express, in hyperbolic form, well-grounded dread: that conservative America will soon come to be dominated, in a semi-permanent fashion, by an ascendant Democratic coalition hostile to its outlook and interests. And this impending doom has colored the party’s frantic, fearful response to the Obama presidency. The GOP has reason to be scared. Obama’s election was the vindication of a prediction made several years before by journalist John Judis and political scientist Ruy Teixeira in their 2002 book, The Emerging Democratic Majority. Despite the fact that George W. Bush then occupied the White House, Judis and Teixeira argued that demographic and political trends were converging in such a way as to form a ­natural-majority coalition for Democrats.

7) Not Good Enough, Politifact – PolitiFact has revised its piece from Feb. 14, which found U.S. Sen. Marco Rubio’s contention that “the majority of Americans are conservatives” to be “Mostly True.” It’s now “Half True.” NO! It’s not even “half true.” It’s false by every measure. Not even a plurality of Americans are “conservative” according to Gallup. From Politifac’s write-up: For 2011, Gallup found that the largest group of Americans identify as conservative, at 40 percent. Another 35 percent identify as moderate, while 21 percent identify as liberal. [...] See that? 56 percent of Americans aren’t conservative. Not a majority or a plurality. So to suggest that a “majority of Americans are conservative” is FALSE. UNTRUE. Period.

8) Over Last 10 Years, General Electric’s Effective Tax Rate Was 2.3 Percent – General Electric, one of the nation’s largest corporations, found itself at the center of the corporate tax debate last year when the New York Times discovered that it paid nothing in taxes, despite billions of dollars in profits. GE responded to the outcry by promising that its 2011 rate was “slated to return to more normal levels” because of the recovery of GE Capital, its financial arm. But according to an analysis from Citizens for Tax Justice, the company’s 2011 effective tax rate was just 11.3 percent. Even worse, over a 10-year period from 2002-2011, the company paid $1.9 billion in taxes on $81.2 billion in profits, giving it an effective tax rate of just 2.3 percent for the decade. [...] In 2009, in fact, only Iceland had a lower effective rate, and only two countries collected less in revenue as a percent of GDP.

9) “…The corporate taxes as a percentage of GDP were 1.2 percent, $180 billion. That’s just about the lowest we’ve seen. So our corporate tax rate last year, effectively, in terms of taxes paid for the United States, was around 12 percent, which is well below those existing in most of the industrialized countries around the world. So it is a myth that American corporations are paying 35 percent or anything like it. Incidentally, 1.2 percent of GDP or 12 or so percent of corporate profits actually paid, that is a rate far, far, far below what we’ve seen in the United States. … Corporate taxes are not strangling American competitiveness.” — Warren Buffett, responding to Rick Santorum’s op-ed in the WSJ, calling for the corporate tax rate to be halved from 35 percent to 17.5 percent to “[r]estore America’s competitiveness.”

Monday morning’s 9 interesting things

1) The fight begins: Obama’s budget going to Congress – WASHINGTON (AP) – The new budget that President Barack Obama is sending to Congress aims to achieve $4 trillion in deficit reduction over the next decade by restraining government spending and raising taxes on the wealthy. To help a weak economy, Obama’s proposal Monday requests increases in transportation, education and other areas. While administration officials on Sunday defended the plan as a balanced approach, Republicans belittled the effort as a repeat of failed policies that did too little to attack soaring costs in such programs as Medicare and threatened growth by raising taxes. The debate is almost certain to go all the way to Election Day in November with gridlock keeping Congress from resolving many pressing issues on expiring tax cuts and across-the-board spending cuts until a lame-duck session at year’s end.

Obama’s election-year budget to target rich – (Reuters) – President Barack Obama will propose an election-year budget on Monday that raises taxes on millionaires and seeks billions of dollars for job-creating infrastructure projects, drawing a populist battle line with his Republican opponents. Obama’s fiscal 2013 budget proposal to Congress will defer significant cuts in the deficit until the economy is securely back on track, a priority as he seeks re-election in November, while outlining measures to shrink that funding gap over time.

2) Long Time Coming: Obama’s Approval Rating Goes Positive – It was a long road back, but President Obama is now back in positive territory in our TPM Poll Average. The shift comes on the heels of a completed Iraq withdrawal, a legislative win on the payroll tax cut before Christmas, and perhaps most importantly, good economic numbers in January and early February. The President’s numbers have jumped in the last few days in both Gallup and Rasmussen tracking polls as well as individual national polls.

3) GE to hire 5,000 U.S. veterans, investing in plants - WASHINGTON (Reuters) – General Electric Co plans to hire 5,000 U.S. military veterans over the next five years and to invest $580 million to expand its aviation footprint in the United States this year. The largest U.S. conglomerate unveiled the moves ahead of a four-day meeting it is convening in Washington starting on Monday to focus on boosting the U.S. economy, which has been slow to recover from a brutal 2007-2009 recession.

4) Volcker to Push Back on Banks’ Trading – The former Federal Reserve chairman is expected to file a comment letter on the Volcker rule before a Monday deadline, contending that the U.S. financial system will be safer and healthier with a ban on proprietary trading by banks, according to people familiar with the situation. [...] The former Fed chairman also plans to push back on critics who claim proprietary trading didn’t play a role in the financial crisis, people familiar with his thinking said. Betting with a firm’s own money can cause employees to be more focused on individual profit than the well-being of clients, Mr. Volcker believes.

5) Grassley Asks Holder to Probe Enforcement of Exec Pay in Bankruptcies – Sen. Charles Grassley, the Iowa Republican who introduced broad bankruptcy legislation that became law in 2005, expressed concern that companies might be skirting the law when issuing bonuses and other compensation to executives during Chapter 11 bankruptcy proceedings. “Corporate directors, executives and managers who were at the helm of a company as it spiraled into bankruptcy should not receive bonuses of any kind, let alone excessive bonuses, during a reorganization or liquidation,” Mr. Grassley wrote in a Feb. 7 letter.

6) CPAC settles for Mitt Romney’s ‘severe conservative’ routine – Romney squeaked through CPAC better than expected. He won the straw poll, and his speech on Friday was not greeted with ice-cold hostility. He avoided any spectacularly embarrassing interactions with the ultra-conservative crowd, which could have swung the race from Rick Santorum’s temporary domination – he’s leading the latest national poll by 15 percentage points over Romney, capitalizing on the momentum from his three state wins last Tuesday night – to his permanent command. Was the crowd taking pity on him? Even this black-hearted reporter felt a twinge of agony for Romney as he delivered a speech of forced proto-emotion featuring 24 mentions or variations on the word “conservative”, as though he was dutifully checking off boxes on a presidential nominee’s permit application that no one had asked him to fill out.

7) Rick Santorum’s Anti-Abortion Politics Would Have Killed His Own Wife – Karen Santorum’s difficult pregnancy and resultant life-saving, induced early delivery is no secret; in a 2004 interview with NPR’s Terry Gross, her husband characterized the 1996 procedure as a harrowing but necessary. Karen, in her 19th week of pregnancy, received a risky surgery to save a pregnancy that doctors thought had little chance of survival. After the surgery, she came down with an infection, and doctors told Rick that unless the source of the infection — the fetus — was removed, his wife would die and his already-born children would be motherless. The doctor also told Santorum that his wife’s fetus would not survive outside of the womb. According to Santorum, Karen went into labor as a result of the antibiotics, and then doctors gave her a drug that further induced labor. She delivered, and unfortunately the doctors were right.

8) Fox’s Liz Trotta On Sexual Assault In Military: “What Did They Expect? These People Are In Close Contact” – During a segment about new rules regarding women in the military, Fox News contributor Liz Trotta attacked the Department of Defense for increasing spending on support programs for victims of sexual assault. Trotta also reacted to a Pentagon report showing a 64% increase in violent sexual assaults since 2006 by stating: “Well, what did they expect? These people are in close contact.” Trotta began by claiming “we have women once more, the feminist, going, wanting to be warriors and victims at the same time” and later added that feminists “have also directed them, really, to spend a lot of money. They have sexual counselors all over the place, victims’ advocates, sexual response coordinators. … you have this whole bureaucracy upon bureaucracy being built up with all kinds of levels of people to support women in the military who are now being raped too much.”

9) Republicans undiscover fire - The truth is that the Republicans have nothing to offer. Not even anything that looks like a governing philosophy. Conservatism has moved out of the ranks of political theories and simply become a cult; one that requires that certain phrases be mouthed, that certain hatreds be nourished, and that purity be maintained regardless of cost. That schism with reality is increasingly large and increasingly obvious. They try to paper over that gap by dismissing little things like science, reason, history. Real science fails to support their contentions, so they have to write it off. Reason doesn’t work for them, so any question must be met with red-faced indignity — every question a gotcha question. Real history is full of warts, quirks, and unfortunate truths that don’t fit their ritualized beliefs. So they have to try to rewrite history, giving us rewrite Reagan who never raised a tax or increased a debt, rewrite FDR who created the issues he actually solved, rewrite Lincoln who championed the Confederate cause, rewrite founding fathers who never owned slaves, never supported government regulation of the economy, never wavered in their ardent love for a form of religiosity that didn’t yet exist. Tricorner hats are the new tinfoil.

Watch: The Truth About GOP Hero Ayn Rand

U.S. corporate income tax too high? Not quite. Are corporations job creators or extortionists?

“Once upon a time, the corporate income tax generated a significant share of tax revenues; now, it’s bumping along in the 2%-of-GDP range. Yes, the marginal rate of corporate income tax is high, at 35%. But U.S. companies are extremely good at not paying that.”Felix Salmon

Update: Kevin Drum creates the chart I should have led with: corporate taxes as a percentage of pretax profit.

And while you’re at it… this chart, too, showing corporate income tax as a percentage of GDP.

Feds send checks to millionaires for not working

A leading Senate conservative is taking aim at tax breaks that he says amount to welfare for millionaires, a line of critique that usually comes from liberal Democrats. Sen. Tom Coburn (R-Okla.) released a report detailing special tax breaks for wealthy income earners that could give members of the supercommittee common ground for raising tax revenues.

GE Filed 57,000-Page Tax Return, Paid No Taxes on $14 Billion in Profits

General Electric, one of the largest corporations in America, filed a whopping 57,000-page federal tax return earlier this year but didn’t pay taxes on $14 billion in profits. The return, which was filed electronically, would have been 19 feet high if printed out and stacked.

The fact that GE paid no taxes in 2010 was widely reported earlier this year, but the size of its tax return first came to light when House budget committee chairman Paul Ryan (R, Wisc.) made the case for corporate tax reform at a recent townhall meeting. “GE was able to utilize all of these various loopholes, all of these various deductions—it’s legal,” Ryan said. Nine billion dollars of GE’s profits came overseas, outside the jurisdiction of U.S. tax law. GE wasn’t taxed on $5 billion in U.S. profits because it utilized numerous deductions and tax credits, including tax breaks for investments in low-income housing, green energy, research and development, as well as depreciation of property.

“I asked the GE tax officer, ‘How long was your tax form?’” Ryan said. “He said, ‘Well, we file electronically, we don’t measure in pages.’” Ryan asked for an estimate, which came back at a stunning 57,000 pages. When Ryan relayed the story at the townhall meeting in Janesville, there were audible gasps from the crowd.

With all of this profit and constantly decreasing tax obligation for U.S. corporations and the rich, where are the jobs, Republican Teaparty?  Are we looking at job creators or simple political extortionists?

Labor Day weekend: some corporations pay their CEOs more than they pay in taxes

“These individual CEOs are being rewarded for presiding over companies that dodge taxes.” — Chuck Collins, study co-author and a senior scholar at the Institute of Policy Studies.

The Washington Post examines the laughable, Republican argument that taxes must be lowered on U.S. corporations:

Of last year’s 100 highest-paid corporate executives in the United States, 25 earned more in pay than their company recorded as a tax expense in 2010.

Those 25 firms reported average global profits of $1.9 billion. Among the 25 were Verizon, Bank of New York Mellon, General Electric, Boeing and eBay.

[...] Eighteen of the 25 firms last year operated subsidiaries in countries that the U.S. Government Accountability Office and other groups have identified as tax havens, one of the report’s authors said.

For example, Bank of New York Mellon paid its chief executive Robert Kelly $19.4 million last year, while the company got $670 million in what amounted to a tax refund, according to the report. The company has 10 subsidiaries in foreign countries, the report said.

[...] Verizon, for instance, saw the equivalent of a $705 million refund in 2010 because it deferred paying taxes on the bulk of its income to future years. The company’s total tax bill from 2010 was about $2.5 billion. The delay in tax payments allowed the firm to make investments in the nation’s technology infrastructure, a company official said.

[...] Among its other findings, the institute found that the gap between chief executive compensation and average U.S. worker pay rose from a ratio of 263-to-1 in 2009 to 325-to-1 last year.

Read that last sentence again. Does anyone really believe that CEOs worked an average of 325 times harder than the rank-and-file employees of ANY company?

This year, Verizon wanted to cut healthcare benefits and freeze pensions for its employees — causing the union workers to strike — even with tax refunds and deferments and, undoubtedly, huge executive bonuses to Verizon’s CEOs. Essentially the workers will be funding CEO bonuses with cuts to their own benefits. And ultimately, non-wealthy American taxpayers also contribute to these huge bonuses handed out to CEOs, because the corporations they work for are getting such huge and varied tax breaks while we plod along, paying our federal income tax, year after year.

When are corporations going to invest in the nation’s employment and middle-class? Or in the nation’s treasury? It’s not like they haven’t benefited greatly from the U.S. tax structure via loopholes, deregulation and subsidies over the past 30 years. And it’s not like these companies haven’t benefited from the hard work of U.S. labor.

IN FACT, a 2011 report by the Economic Policy Institute reveals that benefits and wages haven’t kept up with the increasing productivity of American workers, both in private and public sectors. (see article or see PDF report)

Thanks to the right-wing ideology of the GOP-Teaparty, here’s where we’re headed: “Fascism should more properly be called corporatism because it is the merger of state and corporate power.” — unknown

Happy Labor Day weekend!


Jon Stewart on the news that GE had $14.2 BILLION in profits for 2010 and yet paid ZERO taxes

Jon Stewart on the news that GE had $14.2 BILLION in profits for 2010 and yet paid ZERO taxes. See more here…


Of course for teabaggers, the knee-jerk response that their Koch-Brothers-funded organization has taught them to say is “BUT… JOBS!” Doesn’t matter if there aren’t any jobs, or that GE and other such corporations haven’t created any jobs. Their point is that these corporations could create jobs when they stop hoarding their profits — and giving them even more tax breaks means they could really, really create jobs. Plus, the alternative is Marxism! somehow.

GE’s greed knows no bounds

After Paying Zero Income Taxes, GE Plans To Ask Its Union Workers To Make Wage And Benefits Concessions

Greedy fucks. Not only did they pay zero taxes, they squirreled away the profits they made

Corporate profits steadily increased last year as companies continued holding onto record amounts of cash and other liquid assets while cutting costs, laying off workers and wringing more productivity — defined as the amount of output that comes from an hour of work — from remaining staff, even as the recession eased… it’s important to note that companies were able to bring production back up to pre-recession levels without hiring any more workers.

Don’t forget it’s the Republican-Teaparty who support these corporations and their enormous tax breaks, and who fought to continue Bush’s tax cuts for the wealthy CEOs who would never think of denying themselves their multi-million dollar bonuses.

Why can’t American corporations be more like Japanese corporations?

Isn’t this amazing?

Can you imagine an American corporation doing anything “for the good of the country” that might involve a slight reduction or freeze to the annual stockholders’ profits or the enormous bonuses raked in by the CEOs?  Not in America, Patriots!

That would be like asking G.E. to pay some taxes… an idea the Republican – Teaparty tells us is ridiculous and unpatriotic.

G.E. is trying its very best to suck America dry

Case study on why our treasury no longer has any treasure:

Wonkette: “[T]he New York Times showed an incredibly rare bit of spine today by publishing a dull numbers story that is possibly the most enraging thing you’ll ever read:

The company reported worldwide profits of $14.2 billion, and said $5.1 billion of the total came from its operations in the United States.

Its American tax bill? None. In fact, G.E. claimed a tax benefit of $3.2 billion.

That may be hard to fathom for the millions of American business owners and households now preparing their own returns, but low taxes are nothing new for G.E.

Listen, if you’re a teabagger who’s  worried about G.E.’s tax situation (Couldn’t that $3.2 billion tax benefit have been even larger?) — don’t despair! The Republicans are right behind you:

Think Progress: However, Sen. Ron Johnson (R-WI), when asked about GE’s zero percent tax rate today on CNBC, replied that the real problem is the U.S. corporate tax rate is too high:

We have to be concerned about what the business environment is in the U.S. here. We can’t afford to have the highest tax rate in the world…Those are individual companies. I think overall, we really can’t be looking at a corporate tax rate much higher than 25 percent because that’s the world average. So we’re sitting up there at 35 percent, that’s just the wrong signal.

HuffPo: Despite high unemployment and a largely languishing real estate market, U.S. businesses are more profitable than ever, according to federal figures released on Friday.

Corporate profits steadily increased last year as companies continued holding onto record amounts of cash and other liquid assets while cutting costs, laying off workers and wringing more productivity — defined as the amount of output that comes from an hour of work — from remaining staff, even as the recession eased… it’s important to note that companies were able to bring production back up to pre-recession levels without hiring any more workers.

Obviously, it’s impossible for these huge corporations to do business in America with the crushing burden of paying no taxes, amassing record profits and not spending a dime on things like JOBS. They’ll spend money on Republican-Teaparty politicians and campaigns, probably. But not jobs.

Oh and in case you were wondering: YES, General Electric has profited greatly from the wars in Afghanistan and Iraq.

Still, it’s the union members and the poor- and working-class and especially the DemocRATS who are the problem, right?  Just keep worrying about nonsense, Teabaggers! You’re doing such great things for our country.


Related: 19 Facts About The Deindustrialization Of America

Some of America’s richest corporations pay NO TAXES — while Main Street Americans shoulder the full burden

If this is the “freedom” that teabaggers say they’re fighting for, I don’t think they know what the word means.

A Think Progress report:

…Indeed, as politicians are asking ordinary Americans to sacrifice their education, their health, their labor rights, and their wellbeing to tackle budget deficits, some of the world’s richest multinational corporations are getting away with shirking their responsibility and paying nothing. ThinkProgress has assembled a short but far from comprehensive list of these tax dodgers — corporations which have rigged the tax system to their advantage so they can reap huge profits and avoid paying taxes:

- BANK OF AMERICA: In 2009, Bank of America didn’t pay a single penny in federal income taxes, exploiting the tax code so as to avoid paying its fair share. “Oh, yeah, this happens all the time,” said Robert Willens, a tax accounting expert interviewed by McClatchy. “If you go out and try to make money and you don’t do it, why should the government pay you for your losses?” asked Bob McIntyre of Citizens for Tax Justice. The same year, the mega-bank’s top executives received pay “ranging from $6 million to nearly $30 million.”

- BOEING: Despite receiving billions of dollars from the federal government every single year in taxpayer subsidies from the U.S. government, Boeing didn’t “pay a dime of U.S. federal corporate income taxes” between 2008 and 2010.

- CITIGROUP: Citigroup’s deferred income taxes for the third quarter of 2010 amounted to a grand total of $0.00. At the same time, Citigroup has continued to pay its staff lavishly. “John Havens, the head of Citigroup’s investment bank, is expected to be the bank’s highest paid executive for the second year in a row, with a compensation package worth $9.5 million.”

- EXXON-MOBIL: The oil giant uses offshore subsidiaries in the Caribbean to avoid paying taxes in the United States. Although Exxon-Mobil paid $15 billion in taxes in 2009, not a penny of those taxes went to the American Treasury. This was the same year that the company overtook Wal-Mart in the Fortune 500. Meanwhile the total compensation of Exxon-Mobil’s CEO the same year was over $29,000,000.

- GENERAL ELECTRIC: In 2009, General Electric — the world’s largest corporation — filed more than 7,000 tax returns and still paid nothing to U.S. government. They managed to do this by a tax code that essentially subsidizes companies for losing profits and allows them to set up tax havens overseas. That same year GE CEO Jeffery Immelt — who recently scored a spot on a White House economic advisory board — “earned total compensation of $9.89 million.” In 2002, Immelt displayed his lack of economic patriotism, saying, “When I am talking to GE managers, I talk China, China, China, China, China….I am a nut on China. Outsourcing from China is going to grow to 5 billion.”

- WELLS FARGO: Despite being the fourth largest bank in the country, Wells Fargo was able to escape paying federal taxes by writing all of its losses off after its acquisition of Wachovia. Yet in 2009 the chief executive of Wells Fargo also saw his compensation “more than double” as he earned “a salary of $5.6 million paid in cash and stock and stock awards of more than $13 million.”

In the coming months, politicians across the country are going to tell Americans that the only way to stave off huge deficit and balance the budgets is by gutting programs for the poor, eviscerating support for the middle class, eliminating labor rights, and decimating the government’s ability to serve the public interest. This is a lie. The United States is the richest country in the history of the world, and income inequality is higher now than it has been at any time since the 1920′s, with the top “top 1 percentile of households [taking] home 23.5 percent of income in 2007.”