May 14, 2012
According to the Detroit News (May 4, 2012), GM has avoided paying U.S. federal income taxes since exiting bankruptcy and will likely pay no income taxes for many years to come.
That was one benefit of the way the government wrote the bankruptcy deal. It let GM dump what it owed – but use those past debts to reduce its future tax bill.
When companies, from GM to GE, don’t pay taxes, we end up paying the bigger share.
When the government gives tax breaks to the wealthy and to big corporations, it cuts services. Roads don’t get repaired. Schools and parks and libraries are closed. Tuition for college skyrockets.
The tax break given to GM is just one more “concession” imposed on working people.