DUmmies DUmbfounded that states have tax deals with some corps

[BannedFromDU]

naaman fletcher (4,765 posts)

Taxed by the boss. (Un freaking believable)
http://blogs.reuters.com/david-cay-johnston/2012/04/12/taxed-by-the-boss/

Across the United States more than 2,700 companies are collecting state income taxes from hundreds of thousands of workers – and are keeping the money with the states’ approval, says an eye-opening report published on Thursday.

The report from Good Jobs First, a nonprofit taxpayer watchdog organization funded by Ford, Surdna and other major foundations, identifies 16 states that let companies divert some or all of the state income taxes deducted from workers’ paychecks. None of the states requires notifying the workers, whose withholdings are treated as taxes they paid.

General Electric, Goldman Sachs, Procter & Gamble, Chrysler, Ford, General Motors and AMC Theatres enjoy deals to keep state taxes deducted from their workers’ paychecks, the report shows. Foreign companies also enjoy such arrangements, including Electrolux, Nissan, Toyota and a host of Canadian, Japanese and European banks, Good Jobs First says.

Why do state governments do this? Public records show that large companies often pay little or no state income tax in states where they have large operations, as this column has documented. Some companies get discounts on property, sales and other taxes. So how to provide even more subsidies without writing a check? Simple. Let corporations keep the state income taxes deducted from their workers’ paychecks for up to 25 years.

Come to me, you lovely DU circle-jerk of misplaced indignation

So, some corps can just keep the money they'd have sent in state tax revenue? Only on DU could that possibly be an unmitigated outrage:

Odin2005
7. It's official, we are as corrupt as any 3rd World country.

Um, no, this is not even news, DUmbass.

joshcryer
9. Holy ****ing shit. That is ****ing madness.

How dare the state cut a deal that doesn't involve you!

pscot
15. What the ****!


The voters and being fleeced and the workers are being fleeced twice.

Can someone please explain the outrage to me? Do DUmmies sleep better at night when their government has money in the bank?

[Zeus]

Some folks just can't seem to grasp that, as an example, 20% of something is always greater than 100% of nothing.

[BannedFromDU]

Some folks just can't seem to grasp that, as an example, 20% of something is always greater than 100% of nothing.

Catholics have holy water - DUmmies have tax revenues. Each has sacred meaning to each.

[GOBUCKS]

joshcryer
9. Holy ****ing shit. That is ****ing madness.

It's crazy. That money could pay for a lot of food stamps.

[Zeus]

Catholics have holy water - DUmmies have tax revenues. Each has sacred meaning to each.

The Town I live in back in the early nineties turned down an offer from Mclaine distributors, at the time a major distributor for Walmart in about a 7 state area. They asked for a 5 yr graduated tax abatement. The city leaders in their infinite wisdom turned them down saying the city couldn't afford it. Mclaines went 35 miles down the road and got the deal they wanted. 2 yrs later they were 5 or 6 yrs ahead of their business plan generating about a billion a yr in taxable revenue.

Ten yrs later Walmart approached the City about building a Super Walmart in town, Walmart got basically the same Tax abatement's Mclaines had asked for.

[obumazombie]

The Town I live in back in the early nineties turned down an offer from Mclaine distributors, at the time a major distributor for Walmart in about a 7 state area. They asked for a 5 yr graduated tax abatement. The city leaders in their infinite wisdom turned them down saying the city couldn't afford it. Mclaines went 35 miles down the road and got the deal they wanted. 2 yrs later they were 5 or 6 yrs ahead of their business plan generating about a billion a yr in taxable revenue.

Ten yrs later Walmart approached the City about building a Super Walmart in town, Walmart got basically the same Tax abatement's Mclaines had asked for.

Libs never learn from their mistakes, and never freely agree to lower taxes. Now if you say over that period of time the makeup of the board changed to a conservative lean, I could be inclined to see how that initial mistake was rectified.

[Zeus]

Libs never learn from their mistakes, and never freely agree to lower taxes. Now if you say over that period of time the makeup of the board changed to a conservative lean, I could be inclined to see how that initial mistake was rectified.

The makeup definitively changed then changed again. Recently a recall election removed the Mayor and four board members. This city does rectify it's mistakes. 

[Karin]

They're shocked?  They're so stupid.  This has been going on since forever.  It's the only thing, really, that a politican can do to "create" jobs, as promised in his campaign.  He's got to make it quite attractive for a business to set up shop in his district.  There are no magic jobs wands.  

[DumbAss Tanker]

Idiots.  They're tax incentive packages to get the business, the State gets its benefit from the commerce and jobs created by having an employer rooted there.  Shortcutting to the corp keeping the withholding is really nothing more than an accounting efficiency to avoid five or six transaction costs before the money ends up right back where it started.

[obumazombie]

They're shocked?  They're so stupid.  This has been going on since forever.  It's the only thing, really, that a politican can do to "create" jobs, as promised in his campaign.  He's got to make it quite attractive for a business to set up shop in his district.  There are no magic jobs wands.  

Not even for the Magic Negro ? (sad face).

[wasp69]

naaman fletcher (4,765 posts)

General Electric, Goldman Sachs, Procter & Gamble, Chrysler, Ford, General Motors and AMC Theatres enjoy deals to keep state taxes deducted from their workers’ paychecks

Aren't the majority of these named companies big time donors to barry big ears?   

[AllosaursRus]

Aren't the majority of these named companies big time donors to barry big ears?   

I don't believe Ford is. As I recall, they basically told him to pound sand when he tried to force them into a union takeover. They are the only American car manufacturer that has basically fixed their own problems, and made a profit without O'Bummer's help! Bet that pisses him off!

[hillneck]

For a group of people that profess themselves as being almighty smarter than everyone else.  You would think that one among them would understand basic business models and economics and explain it to the rest of the idiots. 

[obumazombie]

For a group of people that profess themselves as being almighty smarter than everyone else.  You would think that one among them would understand basic business models and economics and explain it to the rest of the idiots. 

Good business isn't always compatible with consolidating power.

[hillneck]

Good business isn't always compatible with consolidating power.

Yeah, sometimes I forget there isn't a sane thought among them.

[AllosaursRus]

Yeah, sometimes I forget there isn't a sane thought among them.

Welcome to the party "Neck"!