Tuesday, April 26, 2011

Why corporations should pay taxes

"General Electric, the Nation's biggest corporation, had a very good year in 2010.  The company reported worldwide profits of $14.2 billion, and said $5.1 billion of the total came from its operations in the United States. Its American tax bill? None. In fact, G.E. claimed a tax benefit of $3.2 billion."

"So what? Why should corporations pay taxes in the first place?

"Why shoudn't they?"

"They're not people."

"They are according to the US Supreme Court. That's why they can contribute lots of money to politicians they like."

"If corporations have to pay taxes, they'll just pass the cost on to consumers."

"Maybe, maybe not. It depends on their competition. In any case, corporations pay taxes on their profits. They can afford to do that. In addition, corporations must be regulated or, as we know too well, they'd screw over everybody. Who's going to regulate corporations? Government, that's who. It costs money to regulate. Corporations should pay their fair share. And it ain't zero."

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