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Tax season is upon us. But, at a time when most households are paying taxes, the General Accounting Office (GAO) just reported that most corporations do not and that 95 percent of corporations pay less than 5 percent of their income in taxes. In response, the Chamber of Commerce called these figures misleading since supposedly many corporations did not earn any income. The GAO's report indicates that it ain't so. The corporations that did not pay taxes between 1996 and 2000 appeared increasingly profitable. Further, since 2000, corporate taxes dropped sharply, while profits rose decisively. And rising profits came out of workers' hide since overall wage growth lagged.
For the complete report, download: The Corporate Tax Void: Record High Profits and Record Low Taxes.