G.E.’s Strategies Let It Avoid Taxes Altogether
25th March 2011
The company reported worldwide profits of $14.2 billion, and said $5.1 billion of the total came from its operations in the United States.
Its American tax bill? None. In fact, G.E. claimed a tax benefit of $3.2 billion.
‘Loopholes! Get your hot fresh loopholes, right here!’
Its extraordinary success is based on an aggressive strategy that mixes fierce lobbying for tax breaks and innovative accounting that enables it to concentrate its profits offshore. G.E.’s giant tax department, led by a bow-tied former Treasury official named John Samuels, is often referred to as the world’s best tax law firm. Indeed, the company’s slogan “Imagination at Work” fits this department well. The team includes former officials not just from the Treasury, but also from the I.R.S. and virtually all the tax-writing committees in Congress.
‘We’re the Crust. We dodge taxes so you don’t have to.’
March 25th, 2011 at 11:01
Yeah, but they build really great nuclear reactors.