BiggnightsExxon Mobil Does It Again - Take Note
January 30th 2009 19:40
The media reports are loaded with headlines screaming about Exxon Mobil's $45.2 BILLION in profits for calendar 2008. But, as reported here before, that is not the entire story.
In calendar 2008, Exxon Mobil paid a total of $116.3 BILLION in taxes. In other words, for every dollar in profits they paid almost three dollars in tax. That's roughly a 70% tax rate. But the politicians will yell about "obscene" profits and call for a windfall profits tax.
Look at it this way: Exxon Mobil collected $477.4 BILLION in revenue, so their profit was 9.4% for the year. Companies like Microsoft and Google earn more than double that. Why isn't there a call for "windfall profits taxes" on those companies?
This is all political posturing. We should understand that company profits are paid to shareholders - the pension funds and retirement accounts of all Americans. It's more important that political resources be put into national security and not into talking about what companies should or shouldn't be earning.
In calendar 2008, Exxon Mobil paid a total of $116.3 BILLION in taxes. In other words, for every dollar in profits they paid almost three dollars in tax. That's roughly a 70% tax rate. But the politicians will yell about "obscene" profits and call for a windfall profits tax.
Look at it this way: Exxon Mobil collected $477.4 BILLION in revenue, so their profit was 9.4% for the year. Companies like Microsoft and Google earn more than double that. Why isn't there a call for "windfall profits taxes" on those companies?
This is all political posturing. We should understand that company profits are paid to shareholders - the pension funds and retirement accounts of all Americans. It's more important that political resources be put into national security and not into talking about what companies should or shouldn't be earning.
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