I will have to credit Senator Bernie Sanders for pulling the names and numbers together for me, so that writing about corporate freeloaders is so easy. The next few paragraphs will not only amaze and confuse you, but it will make you angry as well. While our Republican colleagues continue their “drumbeat repetition” of not taxing the “job creators”, you will find that the very last thing that happens to the “job creators” is taxes!
The number one freeloader in our corporate list is Exxon Mobile.Exxon has announced its third quarter earnings and its fourth quarter dividends on its shares and the numbers don’t lie. In the most recent quarter (3 months) of 2011, earnings are up 41% from this time in 2010. In the last nine months alone there has been an increase of 49%. Translated into dollars, it means that between this time in 2010 and now, Exxon has earned nearly 10.3 billion (yes, billion) dollars. This wasn’t especially difficult. In 2009 Exxon earned 19 billion dollars, but according to their FEC filing, they received a $156 million dollar rebate from the IRS, and didn’t pay any income taxes at all.
Our second corporation that has seen an increase in profits and decrease in taxes would be Bank of America. Bank of America was rescued by the American Taxpayer in 2008 due to the financial collapse of Wall Street. While totals vary, the best estimate is that BofA received $1 Trillion dollars in rescue. Yet, in 2010 it made $4.4 Billiondollars in profit, and received a 1.9 Billion dollar tax refund from the IRS.
Number three on the list is GE, which has been covered in my blog before. Here is the link to the archived posting.http://freshthoughtz.com/2011/07/28/tax-holiday/
Number four on the list is Chevron. Chevron is part of that group of companies that have those really great commercials on the television about “Human Energy” and “Respecting The Environment”. I am sure you have seen a couple of them. Chevron’s 2009 profits came to a total of $10 billion dollars, and it’s IRS refund was $19 million dollars.
Finally, number five on the list is Boeing. The Boeing Corporation makes jets for both commercial airlines and our defense department. They are considered a very important part of our Defense Department. It comes as some surprise, then, that the same year (2009) they received a $30 billion dollar contract from the Defense Department for 179 airborne tankers, they also received $124 million dollar rebate from the IRS.
There are more freeloaders on this list. These are simply the top five. Starting in 2012, the profit reports will be filed again, taxes will be filed again, and these corporations will get away with not paying their fair share again. While claiming that they are the “job creators”, they are not contributing to the economy or welfare of the country that gives them the opportunity to generate so much profit. Our tax code needs to be reformed so that the “giants of industry” do not continue to free-load while the rest of us pay our dues.
Tom Paxton had a song called “I’m Changing My Name To Chrysler” that addressed this issue quite well. The refrain goes:
I’m changing my name to Chrysler, I am going down to Washington D.C., I will tell some power broker what they did for Iacocca will be certainly acceptable to me. I am changing my name to Chrysler, and as I stand in that great receiving line, as they hand a hundred grand out, I will stand there with my hand out, yes, sir, I’ll get mine!
( A reader has kindly shared that he has updated the song to refer to Fannie Mae).
- Exxon Mobil profit soars 41% (money.cnn.com)
- ExxonMobil: High Earnings, Low Taxes, No Ethics (corporategreedchronicles.com)
- Bernie Sanders Guide To Corporate Freeloaders