By. Xiao Ming Bao
Washington – At least 25 of the 100 largest companies in the United States prefer to pay the CEO (Chief Executive Officer) is higher than paying taxes. This is the latest facts reported by the Institute For Policy Studies, Wednesday, August 31, 2011 last.
Washington-based institute is a community of scholars who work with the general social movement to promote democracy. Also challenges the company and military strength.
Some large companies are called, among other Paper Co., Prudential Financial Inc., General Electric Co., Verizon Communications Inc., Bank of New York Mellon Corp.,Boeing Co., Marsh & McLennan Cos., Stanley Black & Decker Inc., ChesapeakeEnergy Corp., and eBay Inc.
The report also stated, “Companies do not avoid taxes. The people who run companies that have done it. And these people – CEO of American – luxurious reap rewards for tax avoidance of their company.”
This study comes after a dispute that occurred many months between President Barack Obama and Republicans. Obama called for raising taxes on the wealthy and close the gap to overcome the huge state debt.
While Republicans argue that their acts would weaken economic growth has been slow to stifle job creation.
The study also found that 20 companies spent more on lobbying than taxes. A total of 18 companies of which also gives the government more to political campaigns.
Based on these reports, CEOs of 25 companies paid an average of U.S. $ 16.7 million, plus other compensation in 2010. Even the 22 CEOs of whom received a salary increase for the year.
Meanwhile, most of the companies they run, collecting an average tax refund of U.S. $ 304 million.
Though these companies reported an average profit of the global U.S. $ 1.9 billion. A total of 18 companies which are located in offshore tax havens.
One example is Boeing who pay U.S. federal income tax of U.S. $ 130 million a year ago. At the same time, CEO Jim McNerney paid U.S. $ 130.8 million.
Boeing argued that the tax actually paid is much higher than that reported these institutions. According to Boeing spokesman Charles Bickers, federal taxes and state taxes paid abroad reached U.S. $ 360 million. Mostly for federal taxes.
He then said that in 2010, Boeing’s tax bill reduced by payments to pensioners and state tax incentives for hiring employees. Meanwhile, there is a credit of U.S. $ 371 million federal tax to be paid after the audit is completed. “Boeing comply with tax rules,” Bickers said. “We earn our income and pay taxes here in the United States.”
A spokesman for eBay said the study was highly inaccurate. “EBay to pay U.S. $ 646 million in taxes in 2010 globally, the majority in the United States,” said Alina Piacentino in her e-mails.
“IPS has misrepresented our financial statements and does not attempt to verify the facts with us prior to publication of inaccurate information,” says Alina.
Verizon Communications, through a spokesman, Roberto Varretoni, also denied the findings and said that CEO pay linked to stock performance in the future. Roberto saidVerizon’s tax benefits should be viewed with billions of dollars in deferred tax to be paidfrom time to time. “The fact is Verizon is fully complying with all tax laws and pay taxes with the fair,” said Varretoni.
In fact, companies often pay taxes in different amounts from those stated in the financial statements. Realization of the tax payment itself does not have to be reported. BrocRomanek, editor CompensationStandards.com–a website that gives advice tocorporate boards – warned that the tax data in the report may not be accurate for that reason.
But he added, “It is clear that the practice of excessive payments that are still happening.”