Obama’s favorite CEO gets GE out from paying any US taxes
What a coincidence! I’m sure that GE’s ability to generate $14.2 billion in profits, $5.1 billion in the US, and end up getting back $3.2 billion from taxpayers has nothing at all to do with its political connections and favorable tax breaks and loopholes it has pushed through Congress. Oh, wait:
A review of company filings and Congressional records shows that one of the most striking advantages of General Electric is its ability to lobby for, win and take advantage of tax breaks.
Over the last decade, G.E. has spent tens of millions of dollars to push for changes in tax law, from more generous depreciation schedules on jet engines to “green energy” credits for its wind turbines. But the most lucrative of these measures allows G.E. to operate a vast leasing and lending business abroad with profits that face little foreign taxes and no American taxes as long as the money remains overseas.
Company officials say that these measures are necessary for G.E. to compete against global rivals and that they are acting as responsible citizens. “G.E. is committed to acting with integrity in relation to our tax obligations,” said Anne Eisele, a spokeswoman. “We are committed to complying with tax rules and paying all legally obliged taxes. At the same time, we have a responsibility to our shareholders to legally minimize our costs.”
The assortment of tax breaks G.E. has won in Washington has provided a significant short-term gain for the company’s executives and shareholders. While the financial crisis led G.E. to post a loss in the United States in 2009, regulatory filings show that in the last five years, G.E. has accumulated $26 billion in American profits, and received a net tax benefit from the I.R.S. of $4.1 billion.
But critics say the use of so many shelters amounts to corporate welfare, allowing G.E. not just to avoid taxes on profitable overseas lending but also to amass tax credits and write-offs that can be used to reduce taxes on billions of dollars of profit from domestic manufacturing. They say that the assertive tax avoidance of multinationals like G.E. not only shortchanges the Treasury, but also harms the economy by discouraging investment and hiring in the United States.
Obama certainly knows how to find talent:
He has designated G.E.’s chief executive, Jeffrey R. Immelt, as his liaison to the business community and as the chairman of the President’s Council on Jobs and Competitiveness, and it is expected to discuss corporate taxes.
Folks, I know this is old news but please be patient with me...... I'm realy trying this new thing ... It's called 'Low information Outreach'. I'm trying to educate and inform one liberal at a time.
Not all of them are stupid.. they are just uninformed. They got caught up in the moment... they are weak and can easily be lured by a charismatic speaker who promises them everything but ends up keeping them in poverty. They actually believed that he would close Club Gitmo and lower the sea levels. See what I mean?
It's not totally their fault.... and I see this.... The liberal media only gives them information that makes Obama look good and the Republicans look bad. Basically, they are being duped and I'm attempting to open their eyes.