Forum Post: Big corps that dont pay fair share
Posted 12 years ago on Nov. 3, 2011, 5:54 p.m. EST by Disgruntled1
(107)
from Kula, HI
This content is user submitted and not an official statement
Interesting read, especially the part where they actually got paid billions, yes billions in tax rebate checks. Still think our politicians give a crap about the average person or family? This should solidify the movement to field candidates in all open races in the coming elections, start replacing these "good old boys" who have been spending our money like its water. Here is another good article if you still have doubts
http://www.msnbc.msn.com/id/45135375/ns/politics/t/federal-hiring-proves-be-recession-proof/
For all the rocket scientists around here that don't know anything about business. The tax breaks, and refunds particularly of past years taxes are only achievable by reinvesting money back into the economy for jobs or equipment. That money is being spent for many companies. Why does it need to be taxed and re-spent by the government?
Oh, do tell, to me it smells like a scam, oh and by the way, i actually run my own business and am in a few little organizations like chamber of commerce, couple trade organizations etc, best not to lable unless you know the facts
I wasn't insulting you. I talked to you yesterday i know you are a solid person. I meant all the inexperienced marxists around here.
Ah, thank you, sorry
I happen to be a recipient of tax refunds for my business from as far back as 5 years ago. This was a provision of the tax cuts, passed by Bush and continued by Obama. The only way the income would qualify to trigger the refund,(a general loss does not do that, only particularly spending like equipment facilities or jobs created), would be to be one of the special provisions. FOr example if i spent $1 million in equipment and i only made $200k profit, i could write off $500k right off the bat, and take a $300k loss. I would get a refund of taxes based off the $300k. I wouldn't get $300k back but a percentage of the taxes paid in prior years, on $300k, So maybe $80-100k worth. So $1million gets you $80k back depending on tax bracket . These deductions can be accumulated as losses for years. But you had to spend the capital in order to do it, and the tax refund is much less than the overall expenditure. It was the reason why tax collections soared after the tax cuts were originally passed, because so many companies spent money, and have continued to do so. I am afraid that if the tax cuts are stopped, then investment will slow down, and we will have a further decline. That position is justified by Obama continuing to extend those cuts and deductions for the last 3 years. Hope that cleared it up for you.
To some degree, but the arena you are playing in and say a global giant like GE is wayyy different, even if you do have gross volume of 20-40 million a year you and i are still small peanuts and likely need to be able to reducr the burden, wjen your talking billions in the negative tax category where the rebate, not refund but rebates are in the billions, something isnt quite right, especially when these behemoths generated huge profits, im not saying take their money, but come on, how is this justified?
Economies of scale. If you are a business owner you understand. I run about $10-12 mil a year revenue. I think total investment in equipment upgrades and plant improvements, along with the purchase of a busines was about $12 mil over 4 years. It was enough to get back our taxes paid for at least 3 years. But we needed the money to have as operating capital, when the banks cut off our credit line, when they got in trouble with the Feds. GE builds a new plant it might cost them $4-5 billion just in one location. I am not a proponent of corporate tax in anyway, because profits that aren't redistributed are paid out to shareholders who pay tax on the personal level. To me corporate tax is double taxation. Now as far as foreign profits, i am of the mind to levy a big tax against them, unless they re-patriot the money as dividends or direct investment.
[Removed]