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US Competitiveness Chief Immelt's GE Tax Bill: $0
theodp writes "'He understands what it takes for America to compete in the global economy,' President Obama said of GE CEO Jeff Immelt, as he announced Immelt would chair the President's Council on Jobs and Competitiveness. On Friday, the NY Times reported that one trick Immelt employs to keep GE competitive is paying no American tax bill. In fact, GE claimed a 2010 tax benefit of $3.2B on worldwide profits of $14.2B, $5.1B of which came from US operations. According to the NYT, GE's extraordinary tax-avoidance 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. GE's giant tax department is led by a former Treasury official whose 975-member team includes former officials not just from the Treasury, but also from the IRS and virtually all the tax-writing committees in Congress. GE's return to rock-bottom tax rates marks a dramatic reversal from the mid-80's when President Reagan reacted to corporate accounting gamesmanship and supported a change that closed loopholes and required GE to pay a far higher effective rate, up to 32.5%. 'That GE can almost set its own tax rate shows how very much we need reform,' said Rep. Lloyd Doggett. 'Our tax system should encourage job creation and investment in America and end these tax incentives for exporting jobs and dodging responsibility for the cost of securing our country.'"
I'd like to point out that GE used to (and still does) fund MSNBC which continually loves to deride corporations and the so called "Fat Cats" on Wallstreet. Oh the irony... Apparently it's okay to not pay taxes as long as you're friends of the current Administration. May I also be the first to ask why is this story on Slashdot, and why is it a weeks late?
Didn't RTFA I take it? This isn't some "green subsidy" as you put it, this is the classic sleazy offshoring bullshit like the "double dutch" that lets so many fortune 500 companies enjoy our markets while not paying shit.
Frankly I say if you want to see the future of America, look at Egypt and the middle east right now. The top 1% will keep their "let them eat cake" attitude right up to the point when they get to re-enact the fall of Saigon thanks to the rioters in the streets. looking out my window all I see is abandoned stores and empty homes. Hell go to the business districts in any southern town, the places look like "Escape from New York" thanks to all the abandoned factories.
If it wasn't for accounting trickery by the fed the actual unemployment rate would be close to 30%, students are going straight from graduation to welfare or McJobs (what is it, Bachelors the new HS diploma?) while being crushed by debt they can't even get rid of with bankruptcy while being expected by these same pigs to compete with some guy brought off the boat from India that paid maybe 1/20th the amount for his education. Meanwhile every man, woman, and child owes something like $76k and climbing thanks in part to the USA playing the world's policeman and having to print money like it is going out of style simply to keep the poor from turning into a rioting mob.
But the presses can't run forever, sooner or later the world will stop accepting the funny paper and the bottom WILL fall out. Not in any way attempting to Godwin but I'd point out the crazy Austrian got elected by a landslide on a "bread and jobs" platform and frankly I know huge amounts of people that would happily elect our very own crazy Austrian if it meant a guaranteed good job and food on the table.
Shit is getting pretty bad for the working poor folks, and they outnumber the 1%ers by about a half a million to one and growing. What happens when uncle fed can't print them anymore checks? look to Egypt and see the future of America, and these greedy pigs will NEVER see it coming. Lenin had it right all those years ago when he said "a capitalist will gladly sell you the rope you hang him with" and by offshoring everything and handing the working poor and middle class the bill they are tying the noose as we speak. Don't think it can't happen here, because it can and it will. Just you watch.
ACs don't waste your time replying, your posts are never seen by me.