How is it that some companies are so profitable, and yet pay no taxes? Mint takes a look at the question “How Are America’s Top Companies Taxed?” in their latest infographic. Click on the link below to see the full graphic.
Today, American households fork over anywhere from 10% to 35% of their annual income to Uncle Sam — not to mention the state and local governments’ cut on top. After all, nothing is certain, but death and taxes, right? Well, not quite, it turns out, if you’re a large corporation. Many of America’s 25 largest companies pay less – much less – in taxes than the average American. How so? Unlike most Americans, large companies can operate losing businesses in the U.S. – and profitable ones abroad, where tax rates are lower. That’s how a company like General Electric has managed to owe a negative $1.1 billion in income tax in 2009 ( that’s quite a refund), despite its $10.3 billion pretax income and $157 billion in sales. Some banks made out quite well last year, too: Bank of America did not pay a dime in taxes on its $4.4 billion income, thanks to a slew of deductions and provisions for credit losses; neither did Citigroup. Our latest infographic gives you a summary of the taxes paid by America’s top 25 companies, as reported by Forbes.
How Are America’s Top Companies Taxed? | MintLife Blog | Personal Finance News & Advice.
