Corporations - 'Tax breaks' resulting in 'record profits'? Who is fooling who?

Question

I get really p*ssed off when corporations have 'huge tax breaks' and 'record profits'.
With 'record profits', do they need 'huge tax breaks'?
I think not. Who is fooling who?

Answer 1

It's the divide of the American classes, rich and poorer. Inflation with record profits really PO's me too. Gasoline in my State is now up too $3.30-3.60 a gallon as of tonight. This is a indication that the Republicans don't like other Americans.

Answer 2

Businesses don't like uncertainty and what is happening is our venerated and flawless politicians, who look out for our best interests, are thinking-- no, about to-- no, well they might-- I mean, it's a possibility of a firm maybe that there just might be, but maybe not, or could be, or we'll see, more regulations by Obama and his team of incompetents. But they don't know when they want to unleash these new regulations which businesses will have to struggle with on top of the ones that already waste time and money. That is why no one is hiring. Obamacare seeks to kill even more jobs, and every so often, climate change regulation where Obama wants us to pay for the weather, rears its head. Got a problem, pay more taxes. It doesn't work that way.

Answer 3

Does this sound familiar?
THE SIMPLIFIED EXPLANATION OF THE TAX STRUCTURE


Bar Stool Economics

Suppose that every day, ten men go out for a couple of beers and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes according to our current tax structure, it
would go something like this:

The first four men (the poorest) would pay nothing.
The fifth would pay $1.
The sixth would pay $3.
The seventh would pay $7.
The eighth would pay $12.
The ninth would pay $18.
The tenth man (the richest) would pay $59.

So, that's what they decided to do.

The ten men drank in the bar every day and seemed quite happy with the
arrangement, until on day, the owner threw them a curve. "Since you are
all such good customers," he said, "I'm going to reduce the cost of
your daily bar bill by $20."Drinks for the ten now cost just $80.

The group still wanted to pay their bill the way we pay our taxes so
the first four men were unaffected. They would still drink for free.
But what about the other six men - the paying customers? How could they
divide the $20 windfall so that everyone would get his 'fair share?'
They realized that $20 divided by six is $3.33. But if they subtracted
that from everybody's share, then the fifth man and the sixth man would
each end up being paid to drink his beer. So, the bar owner suggested
that it would be fair to reduce each man's bill by roughly the same
percentage of total of what he had been paying, and he proceeded to work out the amounts each should pay.

And so:

The fifth man, like the first four, now paid nothing (100% savings).
The sixth now paid $2 instead of $3 (33%savings).
The seventh now pay $5 instead of $7 (28%savings).
The eighth now paid $9 instead of $12 (25% savings).
The ninth now paid $14 instead of $18 (22% savings).
The tenth now paid $49 in stead of $59 (16% savings).

Each of the six was better off than before. And the first four
continued to drink for free. But once outside the restaurant, the men
began to compare their savings.

"I only got a dollar out of the $20,"declared the sixth man. He pointed
to the tenth man," but he got $10!"

"Yeah, that's right," exclaimed the fifth man. "I only saved a dollar,
too. It's unfair that he got ten times more than I!"

"That's true!!" shouted the seventh man. "Why should he get $10 back
when I got only two"

"The rich get all the breaks!"

"Wait a minute," yelled the first four men in unison. "We didn't get
anything at all. The system exploits the poor!"

The nine men surrounded the tenth and beat him up.

The next night the tenth man didn't show up for drinks, so the nine sat
down and had beers without him.

But when it came time to pay the bill, they discovered something
important. They didn't have enough money among them all for even
half of the bill!

And that, boys and girls, journalists and college professors, is how
our tax system works. The people who pay the highest taxes get the most
benefit from a tax reduction. Tax them too much, attack them for being
wealthy, and they just may not show up anymore. In fact, they might
start drinking overseas where the atmosphere is somewhat friendlier, or
not reinvest in the community.

David R. Kamerschen, Ph.D.
Professor of Economics
University of Georgia

For those who understand, no explanation is needed. For those who do
not understand, no explanation is possible.

Answer 4

Realize American corporation are taxed higher than they are in Europe. Record profits make penison funds, and local goverments happy, investors. Yes, there CEO cronyism at some companies, but the greed will bite them if the shareholder see low returns on the investment. Corporation were created to spread risk around for big investments, and think how go to America here it was not indivual ship got my bum there it was corporation set up by charter to spread the risk, but it also gives divdends in returns. Fair tax or flat tax like Estonia be nice then we can see rich or poor be cheating all those years. Not just lawyers, accounts, people with high iqs that can game the tax system. The working class chump will make tax claims for outragous things, and the IRS knows it costs too much to investigate so cheating not gonna be caught. Rich people use lawyers to to find loopholes or find canymen island or Isle of Jersey if British.

Answer 5

They are fooling you. Where is your tax break? Just because you know it is a ruse does not mean they can't get over on you...in fact I think it is actually worse that you know you are being screwed and havn't done anything about it....seems like it is time for you to start a business and get a tax break

Answer 6

Who deserves the bigger tax break man? The people who pay the taxes or the ones who don't? And just what the heck is wrong with profit? Isn't that where you get your paycheck, or don't you work?

Answer 7

And just exactly how many of there "Evil" corporation have shown record profits ABOVE the increase in the Cost of Living? Please show me how there is a trend so I can see the evil of my Capitalist ways...

Answer 8

Do you know who owns corporations? Citizens. You are making assumptions about a fictional entity. There is no such person as a corporation.

You are talking about people either saving for their retirement or living on their retirements.

Learn economics.

Answer 9

The rich get richer; the poor get poorer. No one is "fooling" me. (Look at the prices at the gas pumps....) Corporate welfare is a bigger scandal than any other kind of welfare!!!

Answer 10

Before you knock 'increased or record profits, " I suggest you fin out just what this means or where they went to.

Pick a co and read their 10k. You do know what a 10K is, don't you. Oh,you don't.?