GM Pays Zero Corporate Tax; UAW Gets Bonuses
General Motors reported year end earnings figures today. The company made about $9 billion dollars in 2011. How much of its "fair share" is GM paying in taxes? Zero. In fact, from GM's financial report, they actually received a "benefit" of $110 million for the year. The UAW benefited as well, as they are set to receive $7,000 per worker in profit sharing bonuses.
The sweet tax deal GM receives was set up by the Obama Administration as the company was granted a multi-billion dollar tax credit for loss carry-overs when they exited their bankruptcy proceeding. Normally, the company would not have received the tax credit but the bankruptcy process was anything but normal. Creditors were put in the back of the line to protect UAW interests and tax code was changed so that GM could profit for years without paying its fair share in taxes. President Obama now campaigns on the perceived success at GM and any help he can give to the company will result in additional votes come November. As taxpayers lose out, GM profits and shares the wealth with the politically favored UAW.
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Also, I have profit sharing at my work, I don't belong to a union. What's your beef with profit sharing? Why shouldn't I share in the success of my office?
As for profit sharing it is wonderful as long as all individuals share in it and it is fair. GM paid no taxes on their profits yet each UAW (who gained control of GM in the bailout) hourly worker is going to receive $7000.00 in profit sharing. Where is the outcry from the liberal/progressives about this? Seems they are ignoring these facts because it showcases how corrupt Obama and the unions are as well as their own hypocrisy. Furthermore the $7000.00 payment is even more unacceptable based on the fact that the day before it was announced GM announced they were suspending participation in salaried workers current retirement and putting them into 401K plans. So the salaried pesonnel are getting the short end of the stick while the UAW hourly employees make out like bandits. So the beef in all reality is corruption by the UAW and the liberal/progressive left and Obama's ignoring of and condoning the matter.
What percentage of the American workforce belongs to the UAW? or any union for that matter? There's a lot of talk about how corrupt unions are; but I've never even met a union worker in my entire 44 years.
I gather you are a salaried employee without overtime or profit sharing - if so, perhaps you should look for a different job.
I'm more worried about my tax dollars supporting useless wars.