Screwed by corporate America — RT

Screwed by corporate America — RT

General Electric is one of America’s oldest corporations. It fuels the economy with innovation, with jobs and even with wind. But it turns out, not with taxes. A New York Times investigation found that in 2010 GE reported worldwide profits of $14.2 billion, $5.1 billion of which came from its operations in the United States. But GE claimed a tax benefit of $3.2 billion dollars. According to GE’s website, the company pays what it owes under the law… and GE is right.

Thanks to heavy lobbying, legislation passed allowing companies to keep much of their profits overseas, where tax rates are lower. And it’s not alone. Google also benefits from laws passed in Washington in which it keeps its money here in Ireland, near its Dublin Corporate office. While the corporate tax rate in the U.S. is 35 percent, it’s just 12.5 percent in Ireland. From there, Google sends profits to its Bermuda subsidiary – a mailing address- where the tax rate is 0 percent. It’s a practice Bloomberg news reporter Jesse Drucker said is common.