America’s largest corporations DID NOT pay taxes last year, and 26 have not paid anything in the past three years

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At least 55 of the largest companies in the US DID NOT pay federal taxes last year and many, including Nike and FedEx, evaded US tax liability for three years despite making billions

  • A new report from the Institute on Taxation and Economic Policy found that 55 large U.S. companies did not pay federal income tax last year
  • Several have used a combination of Trump’s tax break, lowering the corporate tax rate from 35% to 21%, as well as legal deductions and exemptions
  • The report found that 26 of these companies have paid nothing in the past three years, despite an income and income of $ 77 billion
  • FedEx made $ 6.8 billion in tax cuts from Trump in three years, but escaped loopholes and ended up with a tax rate of -12.8%
  • Nike made $ 4.1 billion in 2018, 2019 and 2020, but had an effective tax rate of -18.0%

Some of America’s largest corporations did not pay federal taxes last year, despite making billions in revenue.

In 2017, then-President Donald Trump signed a new law that lowered the corporate tax rate from 35 percent to 21 percent.

But some companies have been able to pay $ 0 due to legal deductions and exemptions, despite enjoying billions in revenues.

A total of 55 companies were named in the report, conducted by the Institute on Taxation and Economic Policy (ITEP) which represents industries such as telecommunications, utilities and computers.

A further analysis found that 26 of those companies, including FedEx and Nike, have not paid federal income tax for at least three years because of Trump’s tax cuts.

It’s because President Joe Biden is currently proposing to raise the corporate tax rate to 28 percent.

A new report from the Institute on Taxation and Economic Policy found that 55 large U.S. companies did not pay federal income tax last year and 26 companies avoided tax for three years

A new report from the Institute on Taxation and Economic Policy found that 55 large U.S. companies did not pay federal income tax last year and 26 companies avoided tax for three years

Corporations are not required to publish their tax returns, but must disclose the pre-tax income, federal and state tax on that income, and any major factors affecting tax expenditures.

ITEP used this data from The Securities and Exchange Commission to reveal how the companies used tax breaks to bring their tax costs to zero.

In the report, ITEP revealed that for three years – 2018, 2019 and 2020 – the 26 companies had a federal corporate tax that was zero or negative.

This is despite the fact that all businesses were profitable and collectively earned $ 77 billion in pre-tax revenue and about $ 4.6 billion in tax cuts.

The biggest offender in the three-year period is Duke Energy, an electricity holding company headquartered in Charlotte, North Carolina.

Several have used a combination of Trump's tax break, lowering the corporate tax rate from 35% to 21%, as well as legal deductions and exemptions to cut their taxes to $ 0

Several have used a combination of Trump's tax break, lowering the corporate tax rate from 35% to 21%, as well as legal deductions and exemptions to cut their taxes to $ 0

Several have used a combination of Trump’s tax break, lowering the corporate tax rate from 35% to 21%, as well as legal deductions and exemptions to cut their taxes to $ 0

According to the report, Duke has not paid federal income tax for the past three years, despite an income of $ 7.9 billion, with an effective tax rate of -15.5 percent.

FedEx made $ 6.8 billion in tax cuts from Trump in three years, but escaped loopholes and ended up with a tax rate of -12.8 percent.

Another company that escaped taxes in 2018, 2019 and 2020 is Nike, which made $ 4.1 billion but had an effective tax rate of -18 percent.

In a statement to The New York TimesCatherine Butler, a Duke Energy spokeswoman, said the company is “fully compliant with federal and state tax laws as part of our efforts to make investments that will benefit our customers and communities.”

She claims Duke used a bonus write-off – a tax break that allows a company to deduct a large percentage of the price of assets like machines – that only delayed payments.

FedEx made $ 6.8 billion in tax cuts from Trump in three years, but escaped loopholes and ended up with a tax rate of -12.8%

FedEx made $ 6.8 billion in tax cuts from Trump in three years, but escaped loopholes and ended up with a tax rate of -12.8%

FedEx made $ 6.8 billion in tax cuts from Trump in three years, but escaped loopholes and ended up with a tax rate of -12.8%

Nike made $ 4.1 billion in 2018, 2019 and 2020, but had an effective tax rate of -18.0%

Nike made $ 4.1 billion in 2018, 2019 and 2020, but had an effective tax rate of -18.0%

Nike made $ 4.1 billion in 2018, 2019 and 2020, but had an effective tax rate of -18.0%

The Times reports that according to a late 2020 filing, Duke has a federal tax balance of $ 9 billion to be paid in the future.

Experts say this report merely indicates that current US tax laws allow for different tax avoidance strategies.

“The fact that many companies don’t pay taxes says there are many amenities and preferences,” Alan Viard, a resident of the American Enterprise Institute, told The Times.

It doesn’t tell you whether they are good or bad or indifferent. It is at most a starting point, certainly not an end point. ‘

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