Effective corporate tax rates are way too low / by kevin murray

It is a basic truism, that just about nobody likes to pay taxes, be they corporate or individual, but governments are instituted upon the consent of the people for the benefit of those people, of which, it is the appropriate duty of those people and those corporations as authorized by the people to pay taxes.  Of course, it is one thing, to pay taxes, reluctantly or not, and it is an entirely different thing, when it comes to tax fairness, of which, clearly the tax system in America, seems deliberately set up in a manner in which some are able to circumvent their appropriate tax payments, by questionable legislation, legal maneuvers, and deals that those that have money or connections with are able to exclusively avail themselves of.

 

A case in point, is as reported by americanfortaxfairness.org, the "Corporate share of federal tax revenue has dropped by two-thirds in 60 years — from 32% in 1952 to 10% in 2013," which is an truly astonishing fact, and clearly reflective that corporations are able to successfully work the angles to avert the paying of their fair share of taxes at an extremely skilled level.  What is so disappointing to the general public is that taxes that are not being fairly paid by corporations are thereupon placed upon the citizens of the United States, who are typically already overburdened with paying their share of those taxes, to begin with. 

 

Additionally, successful corporations, of which America has the worldwide lion's share of the biggest and the most profitable, are the very vehicles that have an abundance of monies that could readily lend them to doing their fair share, but many of these corporations prefer instead, to pay as little as they can "legally" pay.  Further to the point, the unfairness of corporations continues in respect to the fact that human beings not only have a finite life, but typically have a finite amount of life that is spent gainfully employed, and ultimately when human beings die, their estate is subject to taxes, if large enough.  Whereas, corporations are artificial constructs authorized by the government, of which, some of these corporations have been in existence for over 125 years and that have not yet faced, and apparently will never face some sort of estate tax upon their company, for they are for all practical purposes, perpetual.

 

Also, though there are individuals that are multi-billionaires, in point of fact, the worth of corporations as defined by their market capitalization, absolutely dwarfs all those individual multi-billionaires; for corporations are behemoths, that are not only seemingly endless in their duration, but also gargantuan in their size, of which they can exceed even one trillion dollars in market capitalization, that thereupon allows them to use their capital assets as well as their implied threats of employment opportunities or continuance of, as an absolute cudgel against outmanned and outmaneuvered, or possibly compromised government officials that get in their way.

 

The bottom line is that those with the deepest pockets and those with the most money as well as the most influence are in fact, corporations that have seen their fair share of the federal tax revenue plummet over the last sixty years, thereby leaving the American public to handle not only their own share, but the corporate share as well.  Not too surprisingly, during this period of time, the disparity of income and assets between those that are the richest of the rich, including corporations, as compared to those of the middle class, has grown further apart at unhealthy levels, signifying that there are two ways to grow one's assets, one is by making more money and the other is by paying less in taxes.