Taxpayers shouldn’t have to subsidize corporate tax dodgers or bloated CEO salaries.
A recent Government Accountability Office study found that
two-thirds of U.S. corporations paid no federal income taxes between
1998 and 2005. These same companies reported trillions of dollars in
earnings.
What’s the hustle? A U.S. corporation pretends to make all of its
profits at a subsidiary based in a place like the Grand Cayman Islands
that has no corporate income tax. Meanwhile, the U.S. branch of the
company reports only losses. No U.S. profits, no taxes.