Thirty-five minutes after reporting that "facing criticism over the amount of taxes it pays, General Electric announced it will repay its entire $3.2 billion tax refund to the US Treasury on April 18," The Associated Press just moved this "urgent kill" bulletin:
"The Associated Press has withdrawn its story about General Electric repaying its entire $3.2 billion tax refund to the US Treasury on April 18. The story was based on a press release that GE says was a hoax."
General Electric and its tax bill has been a topic of controversy since a March 25 story in The New York Times that said the company earned $14.2 billion last year, but paid no federal taxes and got a $3.2 billion "tax benefit."
Last week, The Washington Post and ProPublica debunked some of the Times' report. It found that GE will not be getting a refund on its 2010 taxes and likely will have a small tax "liability" for that year, once it's done doing its 2010 return.
No news organization, including NPR, is immune from such mistakes. As we reported in March 2010, "a bogus news release that claimed the American Israel Public Affairs Committee had called on Israel 'to immediately freeze new settlement projects' led to a incorrect report on NPR's newscast this morning."
In October 2009, Reuters was duped by a fake press release that claimed the U.S. Chamber of Commerce had dropped its opposition to climate change legislation.
Peter Rabbit (peterabbit) wrote:
Why would AP and Reuters be duped? Simply because it makes sense.
Why should 2/3 of USA corporations pay no taxes?
Why should the Chamber of Commerce be denying what science has proven as to the impact of human activities on the planet?
Simple: their greed commands them to seek profit even when undue.
Wed Apr 13 14:13:41 2011
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Hank Hunter (HUnter77449) wrote:
Why should GE pay taxes? Why should any of us pay taxes? Sending money to DC only encourages spending. Let's stop spending and borrowing, make this gov't fit into its smaller revenues.
Wed Apr 13 14:11:35 2011
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N Titled (leftabit) wrote:
I am so grateful for the Corporations contribution to my life and welfare. I am happy not to question their wisdom and power and I am grateful and willing to sacrifice more so that they can grow larger and more benevolent towards me and the other small unaspiring people. My Uniform and cubilcle are kept clean and in order and I await daily and with thankful appreciation the order of my life being dicated by their spokesman and the leaders of the one and only true faith the Big Brother Boehner and his captains and commanders who have shown me that a still tongue and quiet obedience makes for a perfect and harmonious life.
Wed Apr 13 14:04:06 2011
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kev R (huckfinn2) wrote:
Instead of trying to defund NPR and Planned Parenthood can be defund Corporate America?
Where is the public outrage? Then the Republicans plan is to reduce the Corporate tax rate because it is too high and it will spur job growth. These guys are paying anything so where are the jobs?
Where is the outrage from the Tea Baggers? Aren't they supposed to be about people paying their taxes? Goes to show that fiscal restraint is not what they are about.
Wed Apr 13 14:01:31 2011
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Phil Jones (zzzzzzzzzzzz) wrote:
Where do you think corporations get the money to pay taxes? Do you think that money just magically appears? They get that money from you.
Taxes are included in the price of everything you buy.
Wed Apr 13 13:31:34 2011
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ian dodds (yeathl) wrote:
opps some typing errors corrections: corporations, levied, income, illiterate. Apologies for the sloppy typing.
Wed Apr 13 13:20:16 2011
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Phil Jones (zzzzzzzzzzzz) wrote:
Anybody who knows anything about corporate finance knows that a corporation's cost of capital is an after-tax item. A corporation evaluates its capital spending projects based on an after-tax "hurdle rate." The higher the hurdle rate, the less is spent on investments. It's that simple.
Taxes are a cost of doing business. A corporation is merely a conduit for government tax collections.
Wed Apr 13 13:20:13 2011
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Bob Brister (SLCBob) wrote:
The Yes Men must be at work again.
Wed Apr 13 13:17:09 2011
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ian dodds (yeathl) wrote:
To Phil Jones:
Corporate Taxation is a matter of law... it's what I like to refer to as a "Fact." Read below some of the facts regarding corporate icome tax, as your assertions make my head spin with disbelief that anyone can so blithly believe that ALL coorporations simply "pass the buck" of taxation onto the consumer. No Phil I'm not "economic illerate," I simply have a far better understanding of what constitutes federal and state income taxes that corporations have lavied against them than you do. No one wins in a debate where someone [you] makes wildly blanket and inaccurate statements, and where another [myself] rests his argument on fact and matters of law... oh wait, no, actally I do win!
"Domestic corporations are taxed on their worldwide income at the Federal and state levels. Corporate income tax is based on net taxable income as defined under Federal or state law. Generally, taxable income for a corporation is gross income (business and possibly non-business receipts less cost of goods sold) less allowable tax deductions. Certain income, and some corporations, are subject to a tax exemption. Also, tax deductions for interest and certain other expenses paid torelated parties are subject to limitations.
Wed Apr 13 13:16:26 2011
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Thanh Lim (tlim) wrote:
Phil Jones: They act _only_ as tax collectors? Do companies not have profits? Do those profits get taxed? If so, how can you make an argument that they act as a tax collector in that scenario?
You could be a tax collector for SS, FICA, etc. But if your company made a profit, why is that in your mind just a pass through?
So basically profits do not truly exist, but is purely a mechanism for tax collection? That is a bold and yet inaccurate statement to say the least.
Wed Apr 13 13:11:15 2011
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