The Company: Chevron Corp., the second-largest U.S. oil company. The Filing: FORM 10-Q filed with the SEC on November 6, 2008. The Finding: Chevron earned pre-tax profits of $35.7 billion and paid $16.6 billion in income taxes for the nine-months ended September 30 — an effective tax rate of 46.5 percent. Should it pay even more in taxes? The Upshot: For the comparative nine-month period of 2007, the effective tax rate was 41 percent. The company said the higher rate for the 2008 period was primarily associated with a greater proportion of income being earned in tax jurisdictions with higher income tax rates.
Windfall profit activists allege that oil companies can afford to pay more in taxes, arguing that energy firms waste monies on stock buybacks — dollars that ought be used on exploration activities and renewable energy alternatives. Albeit year-on-year net profits at Chevron are up 38 percent to $19 billion, capital spending did not keep pace — rising 20 percent to $13.6 billion. Stock buybacks in the comparative nine-month period climbed 25 percent to $5.5 billion.
I argue that oil companies are paying their fair share of taxes. Apple’s trailing twelve-month profit margin of 14.9% dwarfed that of Chevron’s by 610 basis points, yet no one is screaming that the IRS slap a special tax on iPhone or iPod profits.
During his campaign for the White House, President-elect Barack Obama voiced his support for a windfall profits tax on oil companies, with the objective to fund tax rebates of $500 for most individuals and $1,000 for married couples. The existing Obama-Biden Tax Plan, however, is noticeably absent on the foregoing specifics.
Listen dimwit; in your posting it is clear that the income tax was clearly not all Federal Income Tax. That was the point I was making. Evidently you don't have the ability to discern what is Federal, and what is State. You are talking about total income taxes. I hope that you get that now.
Corporations dont need to eat. " " " " buy shoes. " " " " pay rent. On and On!
FDR had something called The Office of Price Administration wherein he put a lid on the prices of thing, inclucing labor and commodities. It was fierce going for a while but it worked out better in the end for us all. We won WW 2 and saved freedom.
I hope that Mr. Obama stasrts to control the bigwiggs in the top positions and slaps a control on rheir exorbinate profits. Let's give the big wheels about $100,000.00 per year as wages and bonus until we all get a job at lower but steady pay!
A little bit of Something is worth more than a whole lot of Nothing! and that is what all of the $75.00 per hour auto workers are going to get = Nothing, when it all tips over!