Monday, May 7, 2012

Legal loophole allows GM to avoid paying federal taxes... still

Legal loophole allows GM to avoid paying federal taxes... still

The United States tax code will never be accused of being simple or easy to comprehend. With a tangle of exceptions and loopholes, individuals and corporations can work their way around paying their full income tax rate with ease. According to The Detroit News, General Motors continues to avoid paying its federal income taxes since the company exited bankruptcy. In 2008, the Treasury Department ruled that the automaker could use $18 billion in losses from "old" GM to offset any profits. That means from a tax perspective, GM still hasn't earned enough money to overcome its losses.

Autoblog, Legal loophole allows GM to avoid paying federal taxes... still

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