Okay, this shocks me AND makes me furious. Apparently it's as easy as signing a document to become a "non-profit" organization, which then exempts an
organization from paying any taxes, even though they have apparently NO LIMITS on profits, or what they do with them.
Here's the opening paragraph:
Since 1862, an obscure company called American Bureau of Shipping has been approving oceangoing vessels as seaworthy. The Houston-based firm
reported $3.17 billion in revenue and just less than $600 million in profits from ship inspections from 2004 to 2010 and paid no U.S. income taxes on
"Who?" one might ask.
But the list gets a lot less "Who?ish" as you read through it. But let's see "how?" the ABS is important:
ABS shows how an organization that isn’t a charity, a school, a religious institution, a hospital or any other kind of body that commonly has
nonprofit status can earn millions of dollars and legally avoid paying U.S. taxes.
Now, we all know churches, social welfare agencies, and soup kitchens, and schools, for example are tax-exempt.
But get a load of this:
Some of the "non-profits" that might shock you:
The National Football League
The National Hockey League
The U.S. Polo Association (which modeled its line of fashion after the Ralph Lauren polo line of high-end clothing)
At a time when the U.S. is struggling with a gaping budget deficit, nonprofit companies such as ABS and the Polo Association operate large-scale,
profit-making commercial enterprises tax-free.
“This showcases a massive problem of tax-exempt companies that walk, talk and quack like tax-paying businesses but benefit from very favorable
treatment under the tax code,” says Dean Zerbe, a lawyer who was senior counsel and tax counsel for the Senate Finance Committee until 2010.
“Taxpayers are subsidizing them. It’s wild.”
Anyone can start a nonprofit. It’s as simple as incorporating in any state and correctly filling out an IRS application. Once that’s done, a
company is tax-exempt.
GOT THAT?? Taxpayers are subsidizing them --- DID YOU KNOW? I didn't know. And I'm as ticked off now with those firms as I am with banks and
off-shore business owners. This is sickening. It expands the breadth of how we are so bamboozled and kept so close to barely scraping by. And
SOMEBODY out there knows it's happening.
There are 1.63 million tax-exempt organizations in the U.S., according to the Urban Institute. Nonprofit charities reported revenue of $1.51
trillion in 2010 from donations, government grants and contracts. Zerbe says that the U.S. Treasury could collect tens of billions of dollars annually
in taxes from nonprofits that make money essentially as for-profit companies.
This had BETTER show up on Capitol Hill during this asinine "fiscal cliff" debacle, or....or.......
Hell, I don't know. It'll just be more of the very creative accounting and cheating that's gone on since this country became affluent. Sickening.
ABS answers that question every year with the following phrase: “To promote the security of life & property on the seas.”
ABS’s headquarters occupies an entire eight-story office building on the north side of Houston. Its reception area displays scale models of a
schooner, an oil tanker and an offshore oil-drilling ship.
The nonprofit company has earned hundreds of millions of dollars in profits in the past decade; lavished its executives with multimillion-dollar pay
packages and perks; and purchased an offshore hedge fund, its IRS filings show.
I read the other day that the US is wanting "off-shore" havens to report accounts held by Americans, I hope they follow through with this. IF WE ARE
HEADED for the NWO and global economy, there should be NO HAVENS where the wealthy can "hide" their hoards.
I had my own personal taste of non-profits after grad school, when I was hired on. I won't go into much detail here, but suffice to say the non-profit
I worked for decided it was okay to siphon some of the money received for SPECIFIC programs off to pay for things like utilities, and to subsidize
other programs that had their own grants.
Was anything done about it? I don't know. But if that piddly little non-profit got away with it, just imagine how many of these 1.63 MILLION
"non-profits" are getting away with it, too, and imagine HOW NERVOUS they ought to be about being curtailed --- just as much as the ultra wealthy
for-profit corporate CEOs and outsourcers.
It needs to STOP. Gha!!
What do you guys think?
(I did a search for the article, and saw nothing. I'm going to post now, but If someone while I was composing this beat me to it, thanks for pointing
edit on 14-11-2012 by wildtimes because: (no reason given)