corporate welfare

Why do YOU pay more taxes than G.E.?

GEDo you pay taxes? Guess who doesn't. America's largest corporation: General Electric.

G.E. did not pay any taxes on their $14 billion in profits last year and instead got a $3 billion tax refund.1 But it doesn't end at G.E....

Senator Bernie Sanders of Vermont put out a Top 10 list of corporations with high profits and no taxes in recent years including Exxon-Mobil, Chevron, Bank of America, Goldman Sachs, Boeing and Carnival Cruise Lines. Over the last two years, Wells Fargo earned $37 billion in profits but got a $4 billion tax refund.2 And Hewlett-Packard reported over $9 billion in profits last year, but paid the same amount in taxes as someone earning just $30,000 a year.3

Tell members of Congress: Before gutting the budget of necessary programs that help middle-class and poor Americans, make sure corporations are paying their fair share!

This is not about business incentives, which are fine and can be valuable in helping to kick start the economy. This is about a system gone completely off the rails in which corporations are getting an unnecessary free ride at the expense of everyone else.

Congress is on the verge of shutting down over Republicans' demands for deep, draconian cuts to everything from public broadcasting and reproductive health to college loans and programs that feed poor children. So why aren't increases in revenue, beginning with basic Tax Fairness for corporations, on the table too? Conservatives seem hell-bent on slashing funding for every program under the sun that helps ordinary Americans, including Social Security and Medicaid, just so they can protect corporations' free ride.

The New York Times reported that corporate taxes made up 30 percent of all federal revenue in the mid-1950s, but as of 2009 were only 6.6 percent of total revenues. It's not hard to see that closing loopholes and ending billions of dollars of giveaways in corporate welfare could solve most if not all of our budget problems. Don't let this Tea Party Congress pay for corporate welfare on the backs of poor and middle-class families. Demand Tax Fairness Now!

Call on Congress to collect corporations' fair share in taxes before forcing through cuts that will harm millions of Americans.


We need to change the conversation and now is the time. While Republicans, the media and too many conservative Democrats continue to play to the false narrative that deep cuts are necessary, including cuts to essential retirement and health care programs, everyone is ignoring the real elephant in the room: that profit-swollen corporations are shorting America and its taxpayers billions of dollars every year. Congress can show they are really serious about budgets and deficits by making corporations pay their fair share, and making it the top priority over cuts.

After taking action, please help spread the word.

Thank you for all that you do to defend the American Way.

1. http://www.nytimes.com/2011/03/25/business/economy/25tax.html
2. http://wallstcheatsheet.com/breaking-news/economy/the-top-7-corporate-ta...
3. http://www.makewallstreetpay.org/bigbankdrain/big-bank-tax-drain.pdf
 

 


 

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PFAW

Wisconsin's Governor Wants Working Families to Pay for His Corporate Handouts

According to the spin in the right-wing media, Wisconsin’s Republican Governor Scott Walker is standing up to public workers by pushing for hefty cuts to their compensation and stripping their collective bargaining rights. While this story fits nicely into the Right’s long war on organized labor, it is far removed from reality.

The state’s projected $137 million budget deficit was not a result of payments to public employees, but rather caused by Walker’s $140 million corporate welfare scheme.

The Madison based-newspaper The Cap Times reveals that the nonpartisan Legislative Fiscal Bureau “determined that the state will end the year with a balance of $121.4 million.” Rather than face fiscal catastrophe, Wisconsin was on the path to a balanced budget and even a surplus. But then “Walker and his allies pushed through $140 million in new spending for special-interest groups in January,” creating the fiscal “crisis.”

According to the group One Wisconsin Now, Walker’s budget schemes included:

• $25 million for an economic development fund for job creation that still has $73 million due to a lack of job creation. Walker is creating a $25 million hole which will not create or retain jobs.

• $48 million for private health savings accounts, which primarily benefit the wealthy. A study from the federal Governmental Accountability Office showed the average adjusted gross income of HSA participants was $139,000 and nearly half of HSA participants reported withdrawing nothing from their HSA, evidence that it is serving as a tax shelter for wealthy participants.

• $67 million for a tax shift plan, so ill-conceived that at best the benefit provided to ‘job creators’ would be less than a dollar a day per new job, and may be as little as 30 cents a day.”

In fact, Wisconsin public employees in the state are not “overpaid” as many Republicans claim. A study by the Economic Policy Institute found that “employees of both state and local governments in Wisconsin earn less than comparable private sector employees.”

The budget deficit is of Walker’s own making, and now he wants working families to pay for it.

PFAW