Corporate CEO Pay Outstrips Federal Taxes for Some Major Companies
With the tax season in full swing, a new report is shedding light on the stark contrast between corporate executive compensation and their companies’ federal tax contributions. The report titled “More for Them, Less for Us: Corporations That Pay Their Executives More Than Uncle Sam” was released on Mar 28, 2024, just as Americans are busy preparing their tax returns.
The study, conducted by the Institute for Policy Studies (IPS) and Americans for Tax Fairness, took a close look at the fiscal practices of 35 companies over a five-year span from 2018 to 2022. It found that these corporations paid their top executives more than what they owed in federal taxes. This phenomenon is largely attributed to the significant reductions in corporate tax rates ushered in by the 2017 American Tax Cuts and Jobs Act, which was passed under Republican leadership.
Sarah Anderson, the global economy director at IPS and co-author of the report, shared insights with YES! Senior Editor Sonali Kolhatkar on the program YES! Presents: Rising Up With Sonali. The discussion revolved around potential solutions to address what many see as inequities in corporate tax rates.
Kolhatkar, who joined YES! in the summer of 2021, brings a wealth of experience to the conversation. Her career spans across broadcast and print journalism, earning her multiple accolades. As an award-winning multimedia journalist, she hosts and creates the nationally syndicated television and radio program YES! Presents: Rising Up with Sonali, which is broadcast on Free Speech TV and numerous independent and community radio stations. Additionally, she serves as Senior Correspondent for the Independent Media Institute’s Economy for All project and is a prolific author with several books to her name.
The findings of the report have sparked discussions on corporate responsibility and tax fairness, topics that are particularly pertinent as taxpayers fulfill their own obligations to Uncle Sam. The report’s revelations underscore the ongoing debate about the balance between rewarding top executives and contributing a fair share to public coffers.
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