Proportions

35% is extortionate for US companies. But The Economist, not widely known as liberal, doesn’t bat an eye at a top rate of 60% for personal income, only at where it starts. Discussion of British budget

joshuatopolsky:

“Its extraordinary success is based on an aggressive strategy that mixes fierce lobbying for tax breaks and innovative accounting that enables it to concentrate its profits offshore. G.E.’s giant tax department, led by a bow-tied former Treasury official named John Samuels, is often referred to as the world’s best tax law firm. Indeed, the company’s slogan “Imagination at Work” fits this department well. The team includes former officials not just from the Treasury, but also from the I.R.S. and virtually all the tax-writing committees in Congress. While General Electric is one of the most skilled at reducing its tax burden, many other companies have become better at this as well. Although the top corporate tax rate in the United States is 35 percent, one of the highest in the world, companies have been increasingly using a maze of shelters, tax credits and subsidies to pay far less.”

G.E.’s Strategies Let It Avoid Taxes Altogether

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cstrauber

Boston area academic librarian and instructional designer. News junkie. Fan of marine mammals, October.