December 30, 2013 |
As 2013 comes to a close, so will dozens of tax breaks that save companies billions of dollars in tax liability. Congress has allowed 55 tax breaks to expire but will likely restore many of them, retroactively, in the coming months, the Associated Press reported. In years past, the breaks have expired only to be restored in the months to come. “It's a totally ridiculous way to run our tax system,” Rachelle Bernstein, vice president of the National Retail Federation, told the AP. “It's impossible to plan when every year this happens, but yet business has gotten used to that.” PHOTOS: Most affordable zip codes for home buyers Some of the tax breaks are big, including billions in credits for research and development, generous exemptions for banks that operate overseas and several that allow businesses to write off capital investments faster.
July 3, 2013 |
The May jobs report shows that the American economy added 175,000 positions. Positive employment growth is welcome news, of course. But May's gains weren't big enough to make a dent in the national joblessness rate, which actually ticked up to 7.6%. Meanwhile, revenue at most U.S. companies continues to grow as firms expand operations and accumulate capital. Yet this progress hasn't precipitated a proportional expansion in hiring. This lag has long been a source of frustration on Capitol Hill.
May 31, 2013
Re "Apple's tax tricks give occasion for lousy reform ideas," Column, May 19 Michael Hiltzik concludes his column by urging that the corporate income tax not be abolished because "what they don't pay, you will. " This ignores the reality that we already do pay the tax. As with the non-corporate entities he cites, corporations serve as tax collectors, passing on the tax liability to consumers (in the form of higher prices), employees (through lower wages) and shareholders (through smaller dividends)
May 28, 2013 |
Apple Inc.'s success at avoiding billions of dollars in U.S. taxes through some (apparently) legal maneuvers has tax pundits pointing their guns at the corporate tax system. The case has revived numerous hoary cures for the supposed evil of corporate taxes. The cures include abolishing the corporate tax altogether, turning it into a pure "territorial" system that taxes multinational firms only in proportion to the income generated within the United States, declaring a tax "holiday" allowing businesses to repatriate cash parked overseas (where it is taxed at vanishingly small rates, like Apple's)
May 23, 2013 |
LONDON - European leaders fired a warning shot in the battle against multinational companies that exploit loopholes or set up complicated schemes to minimize their tax bills, calling for collective action to thwart such practices. Britain, France and Germany are pushing for the European Union's 27 member nations to share financial intelligence and cooperate on other steps to crack down on corporate tax avoidance, which has emerged as a hot-button political issue on both sides of the Atlantic.
May 22, 2013 |
LONDON -- European leaders gathered in Brussels on Wednesday to discuss how to clamp down on multinational companies that exploit loopholes or set up complex accounting schemes to lower their tax bills. Taking on an issue that has also become prominent in the United States, countries such as Britain, France and Germany are pushing for the European Union's 27 member states to share financial information and take other collective action to curb corporate tax avoidance. In recent months, Google, Amazon and Starbucks, among other companies, have been the targets of criticism in Europe for allegedly trying to pay as little tax as possible.