Associated Press: Even with Pretax Profits, Many Big Companies Pay Zero US Tax

Just as President Joe Biden is pushing to raise taxes on companies to help pay for his infrastructure plan, a report from a Washington policy group is highlighting how many firms pay zero despite making big pretax profits.

More than 50 of the largest U.S. companies paid nothing in federal income taxes last year, with many getting rebates, even though they reported almost $40.5 billion in pretax profits as a group, according to the Institute on Taxation and Economic Policy. The group believes the tax system needs to raise more tax revenue.

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“Most CEOs of large, publicly trade corporations are not going to risk prison to get out of paying taxes when Congress provides them with so many legal ways to do so,” said Steve Wamhoff, director of federal tax policy at the Institute on Taxation and Economic Policy.

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