Recent headlines have blared that 2/3rds of companies pay no corporate income tax. If you have read the initial news reports about the report authored by the GAO you realize that the headline was correct, but that almost nothing else could be drawn from the reports. Dreadful politicians of course roared that corportations need to pay their fair share, yada yada freaking yada. Well today the Wall Street Journal was nice enough to remind us that we have the 2nd highest corporate tax rates in the world. Their report also contained the text below, which I think deserves to be read with a British accent:
Well, the Tax Foundation looked at those [GAO] numbers and found that, among the large companies that paid no taxes, 85% of them also made no profits that year. American Airlines and General Motors escaped income tax for 2005 through the clever tax dodge of losing $862 million and $10.5 billion, respectively. How unpatriotic.
