John Hinderaker of Power Line writes what I wish I wrote about the inconsistency between the left’s objection to corporation’s being treated as people and their repeated accusation that corporations experience the human emotion of greed: Lately, we have heard a lot from the Wall Street occupiers as well as more mainstream Democrats about “greedy corporations.” But wait! This is sheer anthropomorphism: if [...]
Tags: C Corporations · Corporate Tax · Politics of Taxes
Jack Townsend has an excellent post today (all of his posts are excellent) about C corporation constructive dividends. In United States v. Ellefsen, ___ F.3d ___, 2011 U.S. App. LEXIS 18684 (8th Cir. 2011), the appeals court addressed the issue of whether the IRS properly reclassified payments made by a C corporation to a trust, [...]
Tags: C Corporations · Corporate Tax · Deductible Expenses · IRS Audits
Peter Whoriskey of the Washington Post apparently thinks he’s stumbled onto something important in Some Companies Pay Their CEOs More than Uncle Sam: It has become a bipartisan article of faith in some quarters that the income tax on U.S. corporations must be lowered. But for many large U.S. companies, the burden of U.S. taxation [...]
Tags: C Corporations · Corporate Tax · Deductible Expenses · Politics of Taxes · Tax Policy
You may have heard about the following exchange Mitt Romney had with an audience member at a political rally in Iowa last week. The man had asked the Republican front-runner how he would reduce the deficit: “One is we could raise taxes on people: That’s not the way . . .” Romney said. “Corporations!” shouted [...]
Tags: C Corporations · News · Opinion
Paul Caron reports that Bradley T. Borden (Brooklyn) has posted a defense of pass-through entities in Three Cheers for Passthrough Taxation, 131 Tax Notes 1353 (June 27, 2011), on SSRN. Here’s the abstract: This report addresses recent suggestions by the Obama administration, lawmakers, and others that some passthrough entities should be taxed as corporations. It argues [...]
Tags: C Corporations · S Corporations · Tax Policy
WebCPA reports that 12 U.S. Corporations paid less than zero in federal taxes for the tax years 2008, 2009 and 2010: A dozen multinational corporations paid an effective tax rate of negative 1.5 percent on billions of dollars in profits while reaping billions in taxpayer subsidies. A new study by the advocacy group Citizens for [...]
Tags: C Corporations · Tax Policy
My favorite economist (what, you don’t have one?) Greg Mankiw posted this interesting fact a few weeks ago: The U.S. effective corporate tax rate on new investment was 34.6 percent in 2010, which was the highest rate in the OECD and the fifth-highest rate among 83 countries. The average OECD rate was 18.6 percent, and [...]
Tags: C Corporations · Corporate Tax · The Economy
