March 20, 2014

Politico: Study Finds Nearly 100 Companies Don’t Pay State Income Taxes

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(Original Post)

Some of the country’s most famous Fortune 500 companies are using tax code giveaways and breaks to avoid paying state income taxes, a new study by Citizens for Tax Justice and the Institute for Taxation and Economic Policy, two left-of-center advocacy groups, found.
The study examined 269 Fortune 500 companies that posted profits between 2008 and 2012 and found that 90 of the companies paid no state income tax at least once during that five-year period. About 38 companies paid no tax in two years and 10 of the corporations, including Boeing, Merck, Rockwell Automation, never paid state income tax during the period studied.
“Corporations continually lobby states for tax breaks and other giveaways under the false premise that they need tax breaks to create jobs or remain economically competitive,” said Matt Gardner, the executive director of the Institute for Taxation and Economic Policy. “But in reality, many corporations already pay little or nothing in state income taxes, and there is very little evidence that tax breaks and incentives create economic growth.”

Some of the country’s most famous Fortune 500 companies are using tax code giveaways and breaks to avoid paying state income taxes, a new study by Citizens for Tax Justice and the Institute on Taxation and Economic Policy, two left-of-center advocacy groups, found.

The study examined 269 Fortune 500 companies that posted profits between 2008 and 2012 and found that 90 of the companies paid no state income tax at least once during that five-year period. About 38 companies paid no tax in two years and 10 of the corporations, including Boeing, Merck, Rockwell Automation, never paid state income tax during the period studied.

“Corporations continually lobby states for tax breaks and other giveaways under the false premise that they need tax breaks to create jobs or remain economically competitive,” said Matt Gardner, the executive director of the Institute for Taxation and Economic Policy. “But in reality, many corporations already pay little or nothing in state income taxes, and there is very little evidence that tax breaks and incentives create economic growth.”


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