"F. George McDuffee" wrote in message
...
On Sun, 27 Jan 2008 19:35:13 -0500, "Tom Gardner"
wrote:

The other consideration is that US corporate taxes are
35%!!!
===================
The statutory tax rate means nothing if no one pays it.

There are now so many deductions, exceptions, exemptions, etc.
that on the average, a US corporation pays income and total taxes
at a *LOWER* rate than a single working mother, and this is only
on their known/reported income.

Where a corporation such as Ford, General Motors, or Chrysler
reports a continuing operating loss they pay *NO* income taxes
because they had no income, although they are generally
consuming enormous amounts of tax payer funds. These losses will
be subsidized by the tax payers for many years *IF* the
corporations return to profitability, through the magic of
"carry-forward" tax losses. Corporations operating under Chapter
11 (reorganization) are similarly favored.

Lets get rid of these "tin cup" corporations.

I suggest that "tax loss hobby operation" type regulations be
applied to all corporations. For example, automatic chapter 11
reorganization if a corporation fails to pay federal and state
income taxes in at least 7 years of a rolling 10 year period for
which the national unemployment rate is below 6.5%, and automatic
chapter 7 liquidation for second bankruptcy in a 3 year period,
or for chapter 11 operation for more than 2 years.



How about no tax, no bail-out?