Joined: Sep 2009
U.S. busineess Has High Tax Rates but Pays Less
U.S. Business Has High Tax Rates but Pays Less
By DAVID KOCIENIEWSKI
Published: May 2, 2011
The United States may soon wind up with a distinction that makes business leaders cringe — the highest corporate tax rate in the world.
Topping out at 35 percent, America’s official corporate income tax rate trails that of only Japan, at 39.5 percent, which has said it plans to lower its rate. It is nearly triple Ireland’s and 10 percentage points higher than in Denmark, Austria or China. To help companies here stay competitive, many executives say, Congress should lower it.
But by taking advantage of myriad breaks and loopholes that other countries generally do not offer, United States corporations pay only slightly more on average than their counterparts in other industrial countries. And some American corporations use aggressive strategies to pay less — often far less — than their competitors abroad and at home. A Government Accountability Office study released in 2008 found that 55 percent of United States companies paid no federal income taxes during at least one year in a seven-year period it studied.
Joined: Jul 2009
I understand the need to be competitive. For those companies that play by the rules, there should not be any unfair impediment to their progress.
BUT, it is a testament to the success of the marketing, fear, the propaganda contiunously trumpeted, that it is unfair to pay taxes.
That, of course, echoes through the entire country and involves taxes of any kind, of any size, paid by anybody.
Until, of course, people think about what would happen without them. We could not prosper in any way and the country would be a ruin in a short time.
But most never think that far ahead. It's too much fun to think you could actually not ever have to pay more than a few dollars and everything would be fine.
Joined: Jan 2009
Location: Ann Arbor, MI
It isn't unfair to pay taxes, it is unfair to pay TOO MUCH (like me, in my opinion). Corporate taxation needs serious reform, but it won't happen. Too many special interests. Just like GE.
Originally Posted by Atypical
Joined: Sep 2009
From 2008 study "55% of United States companies Paid NO federal taxes during at least one year in a seven year period."
Thats astonishing and disturbing.