Hysterical Raisins: Coca Cola CEO whines about taxes

The CEO of Coca-Cola talked about the horrid corporate US tax structure.

Muhtar Kent says [at the Clinton Global Initiative] that his company finds it easier to do business with China and Brazil than the United States because of our antiquated and unfair tax code [...]

In the $100,000 and $250,000 gross receipts, C-corporations constitute 13 per cent of this group. The vast majority of Fortune 500 corporations are C-corporations. Most small busineses are S -corporations who pass their tax burden on to owners and share holders as ordinary income.

The US corporate tax rate is not the highest of the industrialized nations, Japan has the highest rate.

Because there are so many income tax exemptions for C-corporations, the corporate tax rate is largely irrelevant. Many of the largest C-corporations in the US such as GE pay no corporate taxes at all.

There has been a massive shift of the federal tax burden away from corporations and onto individuals

Some of the numbers just reflect the shift from C corporations to S corporations under the IRS tax rules where corporate income is no longer taxable to the corporation but is rather passed through to individuals who must then pay individual income taxes on them. 

The move from corporate to individual taxes in the data is a real shifting the burden of federal taxation in the US. Corporations carry far less of the federal tax load than they have ever have.

source: http://archive.sba.gov/advo/research/rs343.pdf

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