Did you know that some people get money back in taxes that they never paid in? For example, if you owe $0 in taxes for the year because of applying credits, you can sometimes still get a refund?
The way it works is through %26quot;refundable%26quot; credits, the EIC and the Additional Child Tax Credit.
So there are a lot of poor people being subsidized by the government (and I%26#039;m one of them, actually, I start work in January).
Don%26#039;t tell the liberals, but Bush actually expanded this program!
Who invented the income tax welfare program? In 1962, Milton Friedman.
It%26#039;s a very liberal program and probably for a good cause. I wouldn%26#039;t say that program is big government overkill like free health care or free 401k matching, or free baby bonds.
Who invented the income tax welfare program? French fries.
Who invented the income tax welfare program? I have a cousin who has been on disability (because apparently laziness and a lack of desire to work is a %26quot;disability%26quot; in the state he lives in) who gets $3,500 back in taxes every year.
I think it%26#039;s disgusting. Thanks for telling me Bush is responsible for it. Now I have another reason to think he%26#039;s an incompetent fool.
(Like I needed one.)
Who invented the income tax welfare program? EIC was started by a coalition of Reagen and a Democratic Congress in the %26#039;80%26#039;s and has been highly successfuly in making work worthwhile for the working poor. yes, Bush expanded the ACTC-good for him.
I can%26#039;t imagine anyone seriously criticizing a programs that encourage people to work and which move them toward a %26quot;living%26quot; wage, which they are not receiving despite working full time.
Who invented the income tax welfare program? Bush is a liberal. Neo-cons are neither conservative or Republican.
Who invented the income tax welfare program? Bush expanded tax rebates and corporate welfare even more.
There are more corporations that are doing this than poor people. Corporations like Disney, GE, Verizon, McDonnel Douglas, and At%26amp;t pay virtually nothing in taxes, but they get millions of dollars back. They get alot more paid to them in taxes than anyone on these boards including you.
The following are excerpts from the two sources listed below:
Eighty-two of the 275 companies, almost a
third of the total, paid zero or less in federal
income taxes in at least one year from 2001 to
2003. In the years they paid no income tax,
these companies earned $102 billion in pretax
U.S. profits. But instead of paying $35.6 billion
in income taxes as the statutory 35 percent
corporate tax rate seems to require, these companies
generated so many excess tax breaks that they received outright tax rebate checks from
the U.S. Treasury, totaling $12.6 billion (see box). These companies閳?閳ユ笜egative tax rates閳?meant
that they made more after taxes than before taxes in those no-tax years.
Twenty-eight corporations enjoyed negative federal income tax rates over the entire 2001-03
period. These companies, whose pretax U.S. profits totaled $44.9 billion over the three years,
included, among others: Pepco Holdings (閳?9.6% tax rate), Prudential Financial (閳?6.2%), ITT
Industries (閳?2.3%), Boeing (閳?8.8%), Unisys (閳?6.0%), Fluor (閳?.2%) and CSX (閳?.5%), the
company previously headed by our current Secretary of the Treasury.
In 2003 alone, 46 companies paid zero or less in federal income taxes. These 46 companies,
one out of six of the companies in the study, told their shareholders they earned U.S. pretax
profits in 2003 of $42.6 billion, yet they received tax rebates totaling $5.4 billion. Almost as
many companies, 42, paid no tax in 2002, reporting $43.5 billion in pretax profits, yet
receiving $4.9 billion in tax rebates. From 2001 to 2003, the number of no-tax companies
jumped from 33 to 46, an increase of 40 percent.
Any individual who paid taxes provides more money to run the government than these untaxed firms, says Barry Piatt, spokesman for Sen. Byron Dorgan (D) of North Dakota, who, with Sen. Carl Levin (D) of Michigan requested the study months ago. Next time Congress considers taxation, Senator Dorgan will be hammering at the legal %26quot;massive tax avoidance%26quot; by companies, promises Mr. Piatt.
For years, companies and their representatives, such as the National Association of Manufacturers, have complained that businesses are overtaxed. The latest studies of corporate taxation suggest that, in general, this is not true. %26quot;The usual arguments may be baloney,%26quot; says Piatt.
The GAO study found that 71 percent of foreign-controlled corporations operating in the United States paid no taxes in those five years; nor did 61 percent of US-controlled companies.
