Wyden Releases New Data Showing Rock-Bottom Tax Rates Paid By Companies Subject To Minimum Tax
Washington, D.C.—Senate Finance Committee Chair Ron Wyden, D-Ore., today released new data provided by the Joint Committee on Taxation (JCT) showing the rock-bottom effective tax rates paid by hugely profitable companies that would potentially be subject to the minimum corporate tax, based on recent financial statement income and effective tax rate requirements.
In 2019, between 100 to 125 corporations had financial statement income of greater than $1 billion and an effective tax rate of less than 5 percent. These companies had an average financial statement income of $8.9 billion and paid an average effective tax rate of 1.1 percent.
“While we know that billion-dollar companies are avoiding paying their fair share, these tax rates are lower than we could have imagined. Companies are paying rock-bottom rates while reporting record profits to their shareholders,” said Wyden. “Up to 125 billion-dollar companies are paying an average 1.1 percent effective tax rates, while nurses and firefighters are paying far higher rates. That’s not right, and the American people are with us here. When you talk to working Americans, nothing makes their blood boil like the most profitable mega-corporations paying little to no taxes. We’re going to put a stop to it with our 15 percent minimum tax.”
The JCT analysis is available here.
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