How Much Do Public Companies Pay In Income Taxes?
In computing its reported earnings under Generally Accepted Accounting Principles BH provided for a deduction from reported earning (pretax $34.9 billion) of $10.5 billion in income taxes – 30%. This is explained in some detail in Note 15 (Income Taxes), where you will find that the largest element in the difference in the provision from the hypothetical 35% is the special treatment of dividends received by corporations.
In Note 13 (Supplemental cash flow information) you will find that the amount actually paid for income taxes was $4.5 billion- 12.9%. The relationship between the provision and the amount paid is similar in the previous two years.
The Tax Deduction That Donald Trump Loves And Warren Buffett Probably Likes
The loophole Hillary Clinton is referring to came out of the Supreme Court Gitlitz decision. I’m skeptical that Trump took advantage of Gitlitz. The loophole would have benefited Mike Pence, whose “at-risk” carryover from the cigarettes and gasoline went up in smoke. Pence also voted for the act that closed the loophole, probably costing himself around $100,000. whether he knew it or not
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Over and over again courts have said that there is nothing sinister in so arranging one’s affairs as to keep taxes as low as possible. Everybody does so, rich or poor; and all do right, for nobody owes any public duty to pay more than the law demands: taxes are enforced exactions, not voluntary contributions. To demand more in the name of morals is mere cant.