Thursday, October 21, 2010

Just plain tired of listening to Republicans like Richard Burr whine about the Corporate Income Tax Rate

Corporations in our country are subject to a 35% tax rate? That's what the tax code says. But that's not the case. Although, Republicans like Richard Burr are constantly bitching about the need to cut the corporate income tax rate. If you buy the need to cut corporate taxes, then you're allowing Richard Burr to pull the wool over your eyes.

Read this article that just came out today. Google makes Billions in annual profits. But through schemes allowed by our Congress, Google transfers a large slice of those profits into foreign tax shelters, where they get taxed at only 2%. The overall effective income tax rate paid by Google last year? 22%.

There are other interesting observations from this article:
  • A study done at UNC and the U. of Michigan shows that the median tax rate paid by US corporations after all their deductions and such is really around 28% - the same incremental rate paid by middle class families in our country.
  • That 28% rate in the US is lower than most other industrial countries: The combined national-local statutory rate is 34.4 percent in France, 30.2 percent in Germany and 39.5 percent in Japan.
  • Most big, international tech companies are paying effective rates that range from 5 to 26%.
  • President Obama has tried to put a stop to all the tax games these big companies play, but his bill sits in the US Senate, where's its being blocked by Republicans.
And yes, Google is the same filthy rich company that the State of North Carolina handed tens of millions in income tax cuts too in order to entice them to hire a very small handful of our state's citizens. What a giant waste of our money.

Aren't you just plain tired of being lied too? Corporations don't pay 35% income tax. They get breaks and tax cuts, and are allowed to play games just not available to the rest of us. Yet, Republicans want to cut their taxes even more. Republicans like Richard Burr are all about protecting the wealthy at the expense of the middle class.

North Carolina deserves better than Republican Senator Richard Burr.

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