The following information should not be a surprise to anyone: A recent AARP article titled “What an Outrage” tells it like it is. They report that at least 3,700 businesses that received government contracts or grants under the American Recovery and Reinvestment Act of 2009 are delinquent on a whopping $750 million plus in unpaid corporate income taxes, unemployment, payroll and excise taxes according to the Government Accountability Office. And that’s probably a low-ball number as it doesn’t take into account those businesses that did not even submit a tax return.
These same companies/corporations received a whopping $24 billion for a wide variety of projects from construction to security services.
Even more disturbing is this: Federal law does not require corporations or businesses to be current on their taxes to do business with our federal government. How ridiculous is that?
As Sen. Carl Levin, D-Michigan points out, “Tax deadbeats should not be getting taxpayer dollars, and they shouldn’t be allowed to compete against honest businesses that meet their tax obligations!”
In the 1950s, 28 percent of federal revenues came from corporate taxes and it was 21 percent in the 1960s. Today that figure is under 10 percent.
And another shocker, despite the deceptive advertising by conservatives who continually tell us we need to lower taxes for businesses: Corporate income tax revenues are already nearly 25 percent lower in the U.S. than in most European countries!
Anyone else willing to insist the Republicans start telling Americans the truth about how much unnecessary tax breaks and tax credits are adding to our defict?