From 2008 to 2013, while GE made over $33.9 billion in United States profits, it received a total tax refund of more than $2.9 billion from the Internal Revenue Service.
G.E.’s effective U.S. corporate income tax rate over this six year period was -9 percent.
In 2012, GE stashed $108 billion in offshore tax havens to avoid paying income taxes. If this practice were outlawed, GE would have paid $37.8 billion in federal income taxes that year.
During the financial crisis, the Federal Reserve provided GE with $16 billion in financial assistance, at a time when its CEO Jeffrey Immelt was a director of the New York Federal Reserve.
Mr. Immelt has a retirement account at General Electric worth an estimated $59 million and made $19 million in total compensation last year.
He is a member of the Business Roundtable, a group that wants to raise the eligibility age for Medicare and Social Security to 70, cut Social Security and veterans’ benefits, increase taxes on working families, and cut corporate taxes even further.
GE is also a leader in outsourcing decent paying jobs to China, Mexico and other low-wage countries.
On December 6, 2002, Jeffrey Immelt said at an investors’ meeting, “When I am talking to GE managers, I talk China, China, China, China, China. You need to be there. You need to change the way people talk about it and how they get there. I am a nut on China. Outsourcing from China is going to grow to $5 billion. We are building a tech center in China. Every discussion today has to center on China. The cost basis is extremely attractive. You can take an 18 cubic foot refrigerator, make it in China, land it in the United States, and land it for less than we can make an 18 cubic foot refrigerator today, ourselves.”
Does this support their arguments that the corporate tax rate is too high?
Does this support their arguments that corporations need tax breaks?
Does this support their arguments that they are job creators?
No. But what this does support is that they are a prime example of corporate tax evasion and a leader in outsourcing American jobs overseas.
Yet the Republicans will continue to support corporate-welfare over the welfare of the American citizen, including our military veterans.
It’s plain to see that it’s “all about the money.”