How many jobs did those corporations create? Corporations try and pay the fewest amount of taxes possible, because they distribute income to shareholders, officers, directors, and employees at year end to lower the amount they owe. The people receiving those distributions pay taxes on those distributions, so citing the liberal “fair share”/corporations paying “zero” in taxes talking point is grossly misleading.
It also doesn’t account for the approximately half of U.S. employees who don’t pay any federal income tax.
And “effective tax rates” are another misleading liberal talking point, often used by Soros. People who become wealthy often ultimately earn much of their income through investments, which are taxed at a lower rate than payroll income. So yes their “effective” tax rates will be lower. But they are still paying the overwhelming majority of taxes in this country.
Still, none of that makes your opposition to slashing the corporate tax rate any more reasonable. It’s not.
If I read what you wrote correctly, corporations should be taxed at a lower rate because they distribute their earnings to (among other people), their employees, half of whom do not pay any federal income tax. Makes perfect sense. So, if half the employees pay no income tax and corporations are taxed at a lower rate and sometimes pay no federal corporate tax, who is paying federal income tax? Are not the half not paying income tax those who earn the least and are thus in the lowest tax bracket? (see below)
A few points worth noting:
• Like you said, more than half of American households paid no federal income tax last year due to Covid-relief funds, tax credits and stimulus. Usually, it is somewhere around 42% of households. However, not all households have earned income.
• And then there is this. Since most workers pay payroll taxes, the share of Americans who pay neither payroll nor federal income taxes was only 19% in 2021, slightly higher than the 17% rate before the crisis.
• At least 55 of the largest corporations in America paid no federal corporate income taxes in their most recent fiscal year despite enjoying substantial pretax profits in the United States. This continues a decades-long trend of corporate tax avoidance by the biggest U.S. corporations, and it appears to be the product of long-standing tax breaks preserved or expanded by the 2017 Tax Cuts and Jobs Act (TCJA) as well as the CARES Act tax breaks enacted in the spring of 2020.
Tax brackets for income earned in 2023
37% for incomes over $578,125 ($693,750 for married couples filing jointly)
35% for incomes over $231,250 ($462,500 for married couples filing jointly)
32% for incomes over $182,100 ($364,200 for married couples filing jointly)
24% for incomes over $95,375 ($190,750 for married couples filing jointly)
22% for incomes over $44,725 ($89,450 for married couples filing jointly)
12% for incomes over $11,000 ($22,000 for married couples filing jointly)
10% for incomes of $11,000 or less ($22,000 for married couples filing jointly)