Corporation That Paid Nothing In Taxes For Four Years Tells Congress It Pays Too Much In Taxes By Travis Waldron posted from ThinkProgress Economy on Jul 20, 2012 at 6:02 pm
Over a four years period from 2008 to 2011, Corning Inc. was one of 26 companies that managed to avoid paying any American income taxes, even though it earned nearly $3 billion during that time. In fact, according to Citizens For Tax Justice, the company received a $4 million refund from 2008 to 2010. That didn’t stop Susan Ford, a senior executive at the company, from telling the House Ways and Means Committee this week that America’s high corporate tax rate was putting her company at a disadvantage:
American manufacturers are at a distinct disadvantage to competitors headquartered in other countries. Specifically, foreign manufacturers uniformly face a lower corporate tax rate than U.S. manufacturers, and virtually all operate under territorial systems which encourage investment both abroad and at home.
Ford told the committee that Corning paid an effective tax rate of 36 percent in 2011, but as CTJ notes, she is counting taxes on profits earned overseas that haven’t yet been paid and won’t be unless the company decides to bring the money back to the United States. Corning’s actual tax rate in 2011, according to CTJ’s analysis, was actually negative 0.2 percent.
The territorial system Ford testified in favor of would actually encourage the offshoring of profits earned by American companies, thereby reducing the amount they pay in taxes even more. And rather than helping remove a disadvantage that prevents companies from creating jobs, an economic analysis of such a tax system found that it could actually cost the United States as many as 800,000 jobs.
The United States does, indeed, have one of the highest marginal corporate tax rates in the world. In reality, however, few corporations pay it, and the nation’s effective tax rate is far lower than the rate in other developed countries.
-------------------- Wise men learn more from fools than fools from the wise. Posts: 3827 | From: beautiful California | Registered: Sep 2008
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and some people wantto create a free pass to repatriate the money they earned overseas while not paying the taxes so that they can make even more moeny overseas tax free.
the ONLY solution to this is import taxes. tehre is NO OTHER, and until the American people demand serious import taxes? we will continue to have high unemployment.
i don't understand why people don't see this...
oh wait i do, cuz theres so many lies being passed around that nobody really knows waht is going (except for Romney supporters of course )
-------------------- Don't envy the happiness of those who live in a fool's paradise. Posts: 36378 | From: USA | Registered: Sep 2003
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posted
It is the duty of the American citizen to pay tax in order to perpetuate the American civilization. Anyone who doesn't is either poor of wallet or poor of patriotism.
-------------------- No longer eligible for government service due to lack of tax issues. Posts: 5178 | From: Up North | Registered: Dec 2005
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quote:Originally posted by glassman: this IS what has been going on.
and some people wantto create a free pass to repatriate the money they earned overseas while not paying the taxes so that they can make even more moeny overseas tax free.
the ONLY solution to this is import taxes. tehre is NO OTHER, and until the American people demand serious import taxes? we will continue to have high unemployment.
i don't understand why people don't see this...
oh wait i do, cuz theres so many lies being passed around that nobody really knows waht is going (except for Romney supporters of course )
So why hasnt Obama beefed up the Chinese import tax? We could be reaping in on that.
Posts: 6949 | Registered: Apr 2004
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posted
because Congress is in charge of taxing -- the president only signs the bills congress passes. cash, you are a Royalist aren't you? you really think we should have King not president.....
sheeesh.
-------------------- Don't envy the happiness of those who live in a fool's paradise. Posts: 36378 | From: USA | Registered: Sep 2003
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