While the rest of the economy suffered through the last two years, some of the largest companies in the world had record profits and paid little or no taxes. Some even got refunds.
Today, Citizens for Tax Justice (CTJ) released a new report chronicling the tax rates of some of the nation’s major corporations. CTJ looked at a sample of a dozen major corporations and analyzed both their profits and their effective federal corporate income tax rates between 2008 and 2010.
CTJ found that from 2008 to 2010, these major corporations earned $173 billion in profits put together. Yet these major corporations paid an average federal corporate income tax rate during this period of -1.5 percent, meaning they actually got money back from the Treasury in the form of tax benefits.
In the 1950s, corporate income taxes were 30% of federal revenue. They’re now 6%. That’s what all those campaign contributions buy you.