General Electric has confirmed that it paid zero dollars in taxes on its $14 billion in 2010 profits. They did, however, file a 57,000 page tax return full of green credits, research credits, breaks, massive depreciation and low income housing credits. GE reps noted that they don't measure tax returns in size of pages, since they file electronically. Good thing too. Had the return been printed out on paper and stacked, it would be 19 feet high! That wouldn't be very good for the environment. The majority of GE's profits come from overseas' endeavors.
This is ridiculous, don't you agree? It comes as no surprise that GE's CEO, Jeffery Immelt, is a huge Obama supporter and contributor. Will IRS Chief Timothy GEithner, Obama's bulldog, issue an audit to GE? My guess is no.
I sat through an audit yesterday while my client was asked by an auditor what he uses the internet for, his cell phone number (to verify the cell as a business expense, of course) and wanted to conduct the audit on my client's kitchen table. We denied all these requests of course. But, the point is: the IRS and the tax code are becoming a charicature of corporate favoritism and good ol' boy politics.