Thursday, August 16, 2012

Tax Refund Pays for CEO and Lobbying

In another case of corporate welfare we have the story of AT&T not only not owing any taxes but got a refund! On top of subsidies from USF, ATT got a $420M refund.


"The company used new “accelerated depreciation” rules corporate America lobbied hard for over the past five years. While AT&T was slapping usage caps and overlimit fees on its customers ostensibly to help pay for network upgrades, AT&T wrote off the value of those upgrades on its federal taxes, winning turbo-charged tax deductions for every new cell tower, 4G upgrade, and just about everything else AT&T used to enhance its network."

CEO Randall Stephenson was paid $18.7 million and thanks to the Bush era tax cuts, saved $1,137,456 in taxes.

Lobbyist efforts pay off. AT&T spent $20M lobbying in 2011. They got all of it back plus the CEO's salary, paid for by taxpayers.

,P>Moral: get a really good tax attorney so that you can depreciate all of your upgrades!

No comments: