GE: $14.5 Billion in Profits, $0 In Taxes! ~ J O S H U A P U N D I T

Friday, March 25, 2011

It pays to be well connected with the Ruling party in DC-land, doesn't it Mr. Immelt?

B.Poster said...: As a Certified Public Accountant, my goals are two fold for my clients as it pertains to federal income tax. 1.)Keep them out of trouble with the IRS. 2.)Legally minimize their tax liability. I'm sure the goals of the GE tax department are simillar to mine. Given the fact that a company the size of GE will be audited by the IRS every year, goal number 2 has special urgency.

There are any number of ways that something like this can be accomplished. Examples of how this could be accomplished are to lengtthy to post here and would require a strong knowledge of the US tax law. If I and a team of like minded people could focus on this problem and strictly this problem for a full year, I think the same thing could be accomplished. Other large corporations are likely able to accomplish similar results to what GE has here.

Why is GE being singled out by the NY Times? Perhaps they are not as welll connected as you seem to think. This may be the openning salvo of a war against GE by the US government, the NY Times, or both. While unlikely, perhaps it is even the opening salvo of a war by the NY Times against the Obama Administation and if GE is alliedd with them it could be a target in the war. If I were Mr. Immelt or other top GE executives, I would be VERY concerned by this situation.; 7:18 PM

Friday, March 25, 2011