We need to stop bending over for the banksters...

Tax-dodging big banks and giant corporations are finally being held accountable…except for here in the United States.

Yesterday, U.K. Chancellor George Osborne announced a new crackdown in his country on big banks that get massive tax breaks, and on giant corporations that avoid paying their fair share in taxes. Under Osborne’s proposed plan, big banks will pay an extra 4 billion pounds (about $6.27billion), while giant corporations that avoid taxes by shifting their profits overseas will pay a 25% tax.

Speaking about the move, Osborne said that, “Under the rules we inherited banks can offset all their losses from the financial crisis against tax on profits for years to come. Some banks wouldn't be paying tax for 15 or 20 years. That's totally unacceptable. The banks got public support in the crisis and they should now support the public in the recovery.” He added that, “Some of the largest companies in the world, including those in the tech sector, use elaborate structures to avoid paying taxes. Today I am introducing a 25% tax on profits generated by multinationals from economic activity here in the UK which they then artificially shift out of the country.”

Giant corporations like Apple and Google have come under fire in both the U.K. and the U.S. recently for raking in massive profits, while shifting those profits overseas to avoid taxes.

A report by the U.K.’s Bureau of Investigative Journalism found that Apple, Microsoft, Google and Cisco Systems collectively earn interest while avoiding taxes on over $124 billion that’s held overseas. Clearly, the U.K. government has recognized that corporate tax avoidance by big banks and giant transnational corporations is a major problem, and it’s doing something about it.

So, why can’t lawmakers right here in the U.S. do the same thing?

According to Demos, over the last decade, corporate tax avoidance has cost the U.S. government over $3.09 trillion. That’s a staggering amount of money. So, who are some of the biggest corporate tax avoiders in America?

Well, first off there’s General Electric. In 2012 alone, General Electric kept $108 billion in offshore tax havens so it could avoid paying taxes on it. If it wasn’t allowed to do that, that giant corporation would have paid around $37.8 billion in taxes that would have gone toward restoring our nation's infrastructure.

Next, there’s Verizon. In 2012, Verizon hid $1.8 billion in offshore tax havens, and avoided paying around $630 million in taxes. That’s $630 million that could have gone right back into our economy.

Finally, there’s the big bank Citigroup. In 2012, Citigroup stashed a staggering $42.6 billion in offshore tax havens. If it hadn’t done that, and had paid taxes instead, there would have been an additional $11.5 billion put back into our economy.

The bottom-line here is that because the Supreme Court has legalized the purchase of lawmakers in Washington by corporate lobbyists and Wall Street hustlers, our economy is losing billions and billions of dollars each year to corporate tax avoidance.

Just think about all the things we could fund if we made corporations and big banks pay their fair share. For example, according to data from the Department of Education, total tuition costs at public colleges across America were $62.6 billion in 2012. If we stopped letting corporations dodge taxes, we could use that money to make public college tuition free in America.

For too long, we’ve let big banks and giant corporations skate on the backs of working-class Americans, and even rewarded them for it.

Americans - wake up! With the Republican takeover of Congress, we now really and truly have the best Congress money can buy. Go to movetoamend.org to do something about it.


DAnneMarc's picture
DAnneMarc 8 years 25 weeks ago

These hi tech giants really don't care the least bit about anyone other than themselves. Just look at what they did to one of the largest homeless encampments in the country that just happened to be in the heart of silicon valley.


Howard Laverne Stewart's picture
Howard Laverne ... 8 years 25 weeks ago

A lot of Banana Republics end up rioting in the streets and we're well on our way.

riverside's picture
riverside 8 years 25 weeks ago

When corporations take over a whole country, what other outcome do you expect besides total corruption, Thom?

2950-10K's picture
2950-10K 8 years 25 weeks ago

A government where representation goes only to the highest bidder puts the entire population at the mercy of the mental stability of that highest bidder. Let's face reality here, the Factionists are looking for unending wealth and power, and history has shown extreme concentration of wealth and power never ends well for the vast majority. In fact history shows violent upheavals are the norm for correction.

That said, the Factionists still have to invest huge sums of money on disinformation/lies for their Shills to be placed in office, which of course gets us back to the necessity of Move to Amend. Despite the money being spent, it still takes a slight majority of the few citizens who vote, combined with some voter suppression, and election fraud to place the Teapublican clowns in office. Roughly half of the only 30% of eligible voters who showed up to vote in the midterms, voted against the Factionists, meaning the expensive propaganda didn't work on them. So if we can't get money out of politics then we need to work on getting more heads out of asses. Considering the voter turnout we just had, it won't take many.

RFord's picture
RFord 8 years 25 weeks ago

Getting US corporations to pay their fair share of taxes is not going to be easy. Corperations that make huge profits in the USA should be saying "thank you" to the US government and the people of the USA for allowing and helping them to make those hugh profits by paying back a huge amount in taxes that will, in turn, help the people that helped them make those huge profits. "The government" is the people, all of the people, as is says in The Declaration of Independance, " government , OF THE PEOPLE, by the people, and for the people". Corporations are not people because corporations do not show sorrow, joy, pain, or gratitude, nor does a corporation laugh or cry. That's what people do. There is nothing that says we have a government "for the corperations". The idea that corperations are people and money is speech is absurd and as law it's dangerous and destructive. As law, it allows wealthy corperations and wealthy people to buy our government so that they can keep gaining great wealth at the exspense of everyone else. This activity can not endure for a very long time. Something has got to give. Either the people will get wise about what is going on and elect people that will change the laws or the economy will crash again but much, much worse than it did in 1929. The only thing that can prevent the crash is a well informed puplic that will elect the right people. I'm afraid that even if everyone in the country is given the truth about what's going on, more than half will not believe the truth and keep electing the same God loving, gun loving, corperation loving politicians. Then there will be a great crash and after the crash the people will wake up and say " what happened???".

mathboy's picture
mathboy 8 years 25 weeks ago

It's not exactly true that if you can talk you can breathe, as the New York police department is claiming.

I once had my chest crushed by a steel pipe frame. I couldn't breathe at all for about a minute afterward, but I was able to tell my friend that I couldn't breathe by use the air in my mouth to enunciate.

Aside from that, being able to talk doesn't mean that the person is getting enough air to survive. Talking requires letting air out. Pantaleo wasn't letting Garner get air back in.

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