30 Corporations paid less than nothing in federal income taxes in 2008 - 2010

This disgusting example of successful tax dodging is only one section of the recently released report Corporate Taxpayers & Corporate Tax Dodgers 2008-10 (it's a PDF) written by Robert S. McIntyre Citizens for Tax Justice, Matthew Gardner Institute on Taxation and Economic Policy, Rebecca J. Wilkins Citizens for Tax Justice, Richard Phillips Institute on Taxation and Economic Policy November 2011.

The companies listed below got tax REBATES (checks from the U.S. Treasury) totaling $21.8 billion. Even though they earned $156 billion in pretax U.S. profits.

I've got some digging to do now... seems like several of these are related to U.S. Taxpayers Paid $1 Trillion for Weapons over Last 10 Years or What We Bought: Defense Procurement from FY01 to FY10 (another PDF). Actually, looking at it further almost the whole list is energy and defense related.

Page 4:

Thirty corporations paid less than nothing in aggregate federal income taxes over the entire 2008-10 period. These companies, whose pretax U.S. profits totaled $160 billion over the three years, included:

The first number is their profit (in millions) from 2008 – 2010. The second is their tax REBATE (in MILLIONS). The third is their effective tax rate.

Pepco Holdings $ 882 $ –508 –57.6%
General Electric 10,460 –4,737 –45.3%
Paccar 365 –112 –30.5%
PG&E Corp. 4,855 –1,027 –21.2%
Computer Sciences 1,666 –305 –18.3%
NiSource 1,385 –227 –16.4%
CenterPoint Energy 1,931 –284 –14.7%
Tenet Healthcare 415 –48 –11.6%
Atmos Energy 897 –104 –11.6%
Integrys Energy Group 818 –92 –11.3%
American Electric Power 5,899 –545 –9.2%
Con-way 286 –26 –9.1%
Ryder System 627 –46 –7.3%
Baxter International 926 –66 –7.1%
Wisconsin Energy 1,725 –85 –4.9%
Duke Energy 5,475 –216 –3.9%
DuPont 2,124 –72 –3.4%
Consolidated Edison 4,263 –127 –3.0%
Verizon Communications 32,518 –951 –2.9%
Interpublic Group 571 –15 –2.6%
CMS Energy 1,292 –29 –2.2%
NextEra Energy 6,403 –139 –2.2%
Navistar International 896 –18 –2.0%
Boeing 9,735 –178 –1.8%
Wells Fargo 49,370 –681 –1.4%
El Paso 4,105 –41 –1.0%
Mattel 1,020 –9 –0.9%
Honeywell International 4,903 –34 –0.7%
DTE Energy 2,551 –17 –0.7%
Corning 1,977 –4 –0.2%

In the years they paid no income tax, these companies earned $156 billion in pretax U.S. profits. But instead of paying $55 billion in income taxes as the 35 percent corporate tax rate seems to require, these companies generated so many excess tax breaks that they reported negative taxes (often receiving outright tax rebate checks from the U.S.Treasury), totaling $21.8 billion. These companies’ “negative tax rates” mean that they made more after taxes than before taxes in those no-tax years.2

S&F.

Please explain to me why the Democrats are coming after my measly tax dollars when there are billions to get from these companies.

Granted neither Dems or Repubs are going after the companies, but at least the Repubs are not trying to raise my personal income taxes.

Originally posted by jjkenobi
S&F.

Please explain to me why the Democrats are coming after my measly tax dollars when there are billions to get from these companies.

Granted neither Dems or Repubs are going after the companies, but at least the Repubs are not trying to raise my personal income taxes.

You must not know the right people, dear. You've really gotta get out more...

Seriously. It's hard to write that check every year when you know things like this, isn't it.

I do not really know how simple it would be but could we not show our dissatisfaction at these corporations by simply boycotting them? Like literally millions of people switching to companies that actually do pay taxes? If these companies suddenly start losing billions and billions through loss of business they will surely see the light?

Originally posted by Flavian
I do not really know how simple it would be but could we not show our dissatisfaction at these corporations by simply boycotting them? Like literally millions of people switching to companies that actually do pay taxes? If these companies suddenly start losing billions and billions through loss of business they will surely see the light?

The problem with that is then congress, both d and r, will just vote them even more tax breaks to make up for the losses. They own it all now. They have won. Unless we take a page out of the Greek "Book of what to do when you are displeased with government" that is.

reply to post by Iamonlyhuman


That's because corporations own Washington and are above the law.

Second line..............read my location.

reply to post by the owlbear

I do not really know how simple it would be but could we not show our dissatisfaction at these corporations by simply boycotting them?

There is such a monopoly now that that is probably next to impossible.

BTW: I buy much of my stuff from small personal businesses.

That said......................it may be time for another revolution.

Yes that sounds radical but when our forefather's first suggested the first revolution, that sounded radical too.

Desperate times call for desperate measures.

And folks, it's not a recession............it's a permanent depression.

Our congress and senate have healthcare and retirement packages most of us can only dream of.........who works for who?

Who footed the bill for AIG and Fannie Mae and the rest of the big boys?

Keep keyboarding..................words are cheap.

It is sadly time for action.

reply to post by ofhumandescent


I have been reading more lovely and heart warming stories in the media today about how the USA is (again) 2 weeks away from breakdown again over the debt ceiling. Austerity measures anyone?

I am always telling people that corporations are getting away with little to no taxes, and nobody ever believes me. Turns out I was wrong; it's not that they are paying NO taxes, it's that they are getting tax REFUNDS. What the heck??? Anyway, I downloaded that PDF and gave the OP a star because now when somebody tells me I'm wrong about corporations getting off the hook on taxes I can throw this at them!

Why we can't just all pay a flat tax and be done with it, I have no idea. No loopholes, no dodging, no tax consultants, (maybe that's why?) none of that. Just pay the flat rate and apply that to EVERYONE, and not just the working class.

I'm not really sure who these rich people think they are, pulling this kind of stuff. There's a local issue here right now, where the richest man in the city wants to build a new arena for our hockey team, which he owns. The only catch; he wants the city to pay for most of the arena, and he wants to own it and collect all the revenue. Council passed it something like 11-2 last week, so now the taxpayer is subsidizing his arena. It's just how the rich roll; it's how they got rich in the first place, the 1% bleeding the 99%.

I do agree that these corporations should also pay the same rate as other corporations. The unfairness of our current tax code is why I was attracted to the Tax Day Tea Party rallies in my hometown.

I am a huge supporter of the FairTax. I genuinely believe that it is the best hope for America to get back on the right foot.

What is the FairTax plan?
The FairTax plan is a comprehensive proposal that replaces all federal income and payroll based taxes with an integrated approach including a progressive national retail sales tax, a prebate to ensure no American pays federal taxes on spending up to the poverty level, dollar-for-dollar federal revenue neutrality, and, through companion legislation, the repeal of the 16th Amendment.

The FairTax Act (HR 25, S 13) is nonpartisan legislation. It abolishes all federal personal and corporate income taxes, gift, estate, capital gains, alternative minimum, Social Security, Medicare, and self-employment taxes and replaces them with one simple, visible, federal retail sales tax administered primarily by existing state sales tax authorities.

The FairTax taxes us only on what we choose to spend on new goods or services, not on what we earn. The FairTax is a fair, efficient, transparent, and intelligent solution to the frustration and inequity of our current tax system.

The FairTax:

Enables workers to keep their entire paychecks
Enables retirees to keep their entire pensions
Refunds in advance the tax on purchases of basic necessities
Allows American products to compete fairly
Brings transparency and accountability to tax policy
Ensures Social Security and Medicare funding
Closes all loopholes and brings fairness to taxation
Abolishes the IRS

I encourage everyone to check it out. www.fairtax.org

Originally posted by GeorgiaGirl
I do agree that these corporations should also pay the same rate as other corporations. The unfairness of our current tax code is why I was attracted to the Tax Day Tea Party rallies in my hometown.

I am a huge supporter of the FairTax. I genuinely believe that it is the best hope for America to get back on the right foot.

What is the FairTax plan?
The FairTax plan is a comprehensive proposal that replaces all federal income and payroll based taxes with an integrated approach including a progressive national retail sales tax, a prebate to ensure no American pays federal taxes on spending up to the poverty level, dollar-for-dollar federal revenue neutrality, and, through companion legislation, the repeal of the 16th Amendment.

The FairTax Act (HR 25, S 13) is nonpartisan legislation. It abolishes all federal personal and corporate income taxes, gift, estate, capital gains, alternative minimum, Social Security, Medicare, and self-employment taxes and replaces them with one simple, visible, federal retail sales tax administered primarily by existing state sales tax authorities.

The FairTax taxes us only on what we choose to spend on new goods or services, not on what we earn. The FairTax is a fair, efficient, transparent, and intelligent solution to the frustration and inequity of our current tax system.

The FairTax:

Enables workers to keep their entire paychecks
Enables retirees to keep their entire pensions
Refunds in advance the tax on purchases of basic necessities
Allows American products to compete fairly
Brings transparency and accountability to tax policy
Ensures Social Security and Medicare funding
Closes all loopholes and brings fairness to taxation
Abolishes the IRS

I encourage everyone to check it out. www.fairtax.org

With all the bumper stickers and hoopla, it will never happen. With all the threads made the last few days claiming the top 30 corporations were PAID to do business, yet created no jobs...yeah, they aren't going to go for it. Cuts into the profit margins.
As it was told to me at a young age, you can # in one hand and wish in the other.
Right now, both hands are full of #. And corporations are reaping windfall profits.