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Democrats seize on report of FedEx's $0 tax bill to slam Trump's tax plan

Democrats seize on report of FedEx's $0 tax bill to slam Trump's tax plan | TheHill

Democrats are seizing on a report published by The New York Times on Sunday that found FedEx didn’t owe anything in taxes in fiscal year 2018, a year after President Trump signed off on a $1.5 trillion tax cut that sharply reduced tax rates for corporations in the country.

According to The Times, the package signed by Trump in December 2017, which FedEx reportedly lobbied heavily for, spelled good news the following year for the shipping company, which would later see a 34-percent drop in its effective tax rate in fiscal year 2018. Its tax rate was reportedly brought to less than zero at the time.
===================================================
And the poor & middle-class picked up the tab, the ones who can least afford to subsidize big corporations & fat cat beneficiaries like the Waltons.
Nope..


A family of four with annual income of $73,000 is seeing a 60 percent reduction in federal taxes -- totaling to more than $2,058. According to the Heritage Foundation, the typical American family will be almost $45,000 better off over the next decade because of higher take-home pay and a stronger economy.

Tax reform doubled the child tax credit from $1,000 to $2,000, giving over 22 million American families important tax relief. The standard deduction was doubled from $6,000 to $12,000 ($12,000 to $24,000 for a family) giving tax relief for over 105 million taxpayers that took the deduction prior to tax reform and simplifying the code for tens of millions Americans that will not take the standard deduction instead of itemizing.
Trump tax cuts and the middle class: Here are the facts | Fox Business
 
Which means their quarterly payments were as much or more than what they owed at the end of the year.

Ie they still paid the tax.

It's funny to see all you Trumpers pushing your head in the sand. Paying a quarterly tax payment, is an example of paying taxes towards the 2018 fiscal tax year. If the article says they didn't pay any taxes in 2018, then it's clear. Fed Ex didn't pay any federal taxes in 2018.

In the 2017 fiscal year, FedEx owed more than $1.5 billion in taxes. The next year, it owed nothing. What changed was the Trump administration’s tax cut — for which the company had lobbied hard.

FedEx reaped big savings, bringing its effective tax rate from 34 percent in fiscal year 2017 to less than zero in fiscal year 2018, meaning that, overall, the government technically owed it money.

FedEx’s financial filings show that the law has so far saved it at least $1.6 billion. Its financial filings show it owed no taxes in the 2018 fiscal year overall.
How FedEx Cut Its Tax Bill to $0 - The New York Times
 
And yet corporate tax revenues were up 12% in FY 2108 over the previous year.
And its paid for with government debt.

If we're gonna use government debt to pump an already healthy economy, why don't we do it equally across all citizens, instead of primarily to the rich and corporations? Or put it in health care?
I got a huge tax cut, I didn't need it, it goes right back into stocks...which helps the economy and the nations citizens a lot less than if it was spread out among everyone..esp. people who need it.
Good lord.

Watch when a Democrat is in office, you guys will be crying about the debt again, suddenly. Such a phony party at this point, they stand for nothing.
 
In other news, Democrats are still too stupid to understand that corporate taxes are based on profits, not revenue.
 
Democrats seize on report of FedEx's $0 tax bill to slam Trump's tax plan | TheHill

Democrats are seizing on a report published by The New York Times on Sunday that found FedEx didn’t owe anything in taxes in fiscal year 2018, a year after President Trump signed off on a $1.5 trillion tax cut that sharply reduced tax rates for corporations in the country.

According to The Times, the package signed by Trump in December 2017, which FedEx reportedly lobbied heavily for, spelled good news the following year for the shipping company, which would later see a 34-percent drop in its effective tax rate in fiscal year 2018. Its tax rate was reportedly brought to less than zero at the time.
===================================================
And the poor & middle-class picked up the tab, the ones who can least afford to subsidize big corporations & fat cat beneficiaries like the Waltons.

Income Before Tax 1,627 2,740 4,579 4,353 655
Income TaxesValues displayed are in millions.
2015
05/31/15 2016
05/31/16 2017
05/31/17 2018
05/31/18 2019
05/31/19
Income Tax - Total 577 920 1,582 1,400 190
Income After Tax 1,050 1,820 2,997 2,953 465

display kinda sucks, but my broker shows their 5/31 2019 report as 655m before taxes, 190m paid in taxes, and 465m net after taxes

so not sure what you or the these people are talking about....
 
1.What is this "the tax bill didn't do this" crap? It slashed the corporate rate by a bunch, hence effective rates went even lower.



2.

And in other news, "Conservative" scolds left-lean posters for objecting to tax bill that bumped us from 500ish billion/year to 1 trillion+/year deficits to provide further tax cut that utterly failed to stimulate the economy and instead lead to stuff like stock buybacks with a few piddling dollars in one-time bonuses as bandaid because duh, companies meet demand and will not hire new workers to build more widgets they know they cannot sell because DUH. Seriously man? You should agree the tax cut sucked. Even if you think spending is the big problem you know damn well neither Dems nor Reps are going to move the needle there, thus, the concern for deficits should control.

Reagan, Bush, Trump. Same ****. At least Cheney (was it Cheney? Oy, my memory) was honest about right-wing tax policy when he said "deficits don't matter." Not that that stopped AOC from getting attacked for expressing a similar sentiment for different reasons.

The Tea Party protesters were never about fiscal responsibility. They were about a black president. This era has proved that perfectly.
 
And its paid for with government debt.

If we're gonna use government debt to pump an already healthy economy, why don't we do it equally across all citizens, instead of primarily to the rich and corporations? Or put it in health care?
I got a huge tax cut, I didn't need it, it goes right back into stocks...which helps the economy and the nations citizens a lot less than if it was spread out among everyone..esp. people who need it.
Good lord.

Watch when a Democrat is in office, you guys will be crying about the debt again, suddenly. Such a phony party at this point, they stand for nothing.
We've been crying about it all along. And no, government debt is not paying for those tax cuts; tax revenues are increasing - 4% overall last year. Spending is STILL the problem; THAT increased 8% last year.
 
Many of the largest corporations are not paying taxes, including Amazon



How Amazon avoids paying taxes - Business Insider

So much for Trump's populism.

The huge deficit this is creating is going to threaten SSN and Medicare. It amazes me that so many Americans don't even thing how this can impact them personally.

The 8% increase in spending is causing the huge deficit. That’s what happens when there’s no budget to hold Congress accountable.
 
This is great news! I don't want more money going to the federal government. The more money that stays in the private sector, the better. Let's have more tax cuts, and cut government spending/waste. Like the money wasted on impeachment hearings. FedEx is owned by the shareholders, they already pay income taxes.
 
Accelerated depreciation may or may not be a good thing. It will take another 3 years at least before we can really gauge whether that has been a plus or a minus.
 
Fedex reported $1.13 billion in net profit for '18.

FedEx - FedEx Corp. Reports Fourth Quarter and Full-Year Earnings

Anyone that believes they paid $0 in Federal income taxes is ****ing stupid.

So...your argument against the following claim:

1. Despite massive profits, Fedex paid little or no federal income tax for 2018

Is that because Fedex made massive profits, no one should believe they paid little or no federal income tax?

Once again, you just cannot make this sh*t up! Talk about begging the question...
 
It's funny to see all you Trumpers pushing your head in the sand. Paying a quarterly tax payment, is an example of paying taxes towards the 2018 fiscal tax year. If the article says they didn't pay any taxes in 2018, then it's clear. Fed Ex didn't pay any federal taxes in 2018.

This is where i start questioning peoples career qualifications? why? because of the dishonesty that they use in their arguments.

quarterly tax payments are similar to payroll taxes taken out of my check.

as a corporation i must pay quarterly taxes. these are estimates based on possible end of year tax liability.
Those taxes get paid go toward any tax liability at the end of the year. similar to payroll taxes if i pay as much or more than what i owe
then i get a tax return or i pay 0 in taxes.

They still had to pay the quarterly taxes it is just at the end of the year they didn't owe any more money because they had paid it already.
So they did pay taxes it is simply they paid enough in quarterly taxes to not have a tax bill at the end of the year given the new tax rates.

so stop being dishonest.
 
Democrats seize on report of FedEx's $0 tax bill to slam Trump's tax plan | TheHill

Democrats are seizing on a report published by The New York Times on Sunday that found FedEx didn’t owe anything in taxes in fiscal year 2018, a year after President Trump signed off on a $1.5 trillion tax cut that sharply reduced tax rates for corporations in the country.

According to The Times, the package signed by Trump in December 2017, which FedEx reportedly lobbied heavily for, spelled good news the following year for the shipping company, which would later see a 34-percent drop in its effective tax rate in fiscal year 2018. Its tax rate was reportedly brought to less than zero at the time.
===================================================
And the poor & middle-class picked up the tab, the ones who can least afford to subsidize big corporations & fat cat beneficiaries like the Waltons.

It’s interesting that the Hill wants its readers to focus on the comments of Democratic candidates, rather than the facts of the article itself.
 
The 2017 tax cut was a boon to corporations and the wealthy, while nothing promised in the bill came true, namely increased business investment, higher wages and more hiring. Raises and bonuses did happen in 2017 (before the law went into effect) and research showed it was because those bonuses and raises would be able to be deducted in 2017, when the tax-rates were higher, making the company's tax bills lower.

It was great for stock buybacks and bonuses for Steve Mnuchin’s friends. Which is why he was installed in the Trump Administration in the first place. He’s Goldman’s man.
 
Democrats seize on report of FedEx's $0 tax bill to slam Trump's tax plan | TheHill
Democrats are seizing on a report published by The New York Times on Sunday that found FedEx didn’t owe anything in taxes in fiscal year 2018, a year after President Trump signed off on a $1.5 trillion tax cut that sharply reduced tax rates for corporations in the country.
According to The Times, the package signed by Trump in December 2017, which FedEx reportedly lobbied heavily for, spelled good news the following year for the shipping company, which would later see a 34-percent drop in its effective tax rate in fiscal year 2018. Its tax rate was reportedly brought to less than zero at the time.
===================================================
And the poor & middle-class picked up the tab, the ones who can least afford to subsidize big corporations & fat cat beneficiaries like the Waltons.


November 17, 2019 - Statement from Frederick W. Smith, Chairman and CEO of FedEx Corporation:

"The New York Times published a distorted and factually incorrect story on the front page of the Sunday, November 17 edition concerning FedEx and our billions of dollars of tax payments and billions of dollars of investments in the U.S. economy. Pertinent to this outrageous distortion of the truth is the fact that unlike FedEx, the New York Times paid zero federal income tax in 2017 on earnings of $111 million, and only $30 million in 2018 – 18% of their pretax book income. Also in 2018 the New York Times cut their capital investments nearly in half to $57 million, which equates to a rounding error when compared to the $6 billion of capital that FedEx invested in the U.S. economy during that same year.

I hereby challenge A.G. Sulzberger, publisher of the New York Times and the business section editor to a public debate in Washington, DC with me and the FedEx corporate vice president of tax. The focus of the debate should be federal tax policy and the relative societal benefits of business investments and the enormous intended benefits to the United States economy, especially lower and middle class wage earners.

I look forward to promptly hearing from Mr. Sulzberger and scheduling this open event to bring further public awareness of the facts related to these important issues."


Statement from Frederick W. Smith, Chairman and CEO of FedEx Corporation
 
November 17, 2019 - Statement from Frederick W. Smith, Chairman and CEO of FedEx Corporation:

"The New York Times published a distorted and factually incorrect story on the front page of the Sunday, November 17 edition concerning FedEx and our billions of dollars of tax payments and billions of dollars of investments in the U.S. economy. Pertinent to this outrageous distortion of the truth is the fact that unlike FedEx, the New York Times paid zero federal income tax in 2017 on earnings of $111 million, and only $30 million in 2018 – 18% of their pretax book income. Also in 2018 the New York Times cut their capital investments nearly in half to $57 million, which equates to a rounding error when compared to the $6 billion of capital that FedEx invested in the U.S. economy during that same year.

I hereby challenge A.G. Sulzberger, publisher of the New York Times and the business section editor to a public debate in Washington, DC with me and the FedEx corporate vice president of tax. The focus of the debate should be federal tax policy and the relative societal benefits of business investments and the enormous intended benefits to the United States economy, especially lower and middle class wage earners.

I look forward to promptly hearing from Mr. Sulzberger and scheduling this open event to bring further public awareness of the facts related to these important issues."


Statement from Frederick W. Smith, Chairman and CEO of FedEx Corporation

The nyt publishing fake news again omg really this is a breaking story.
 
November 17, 2019 - Statement from Frederick W. Smith, Chairman and CEO of FedEx Corporation:

"The New York Times published a distorted and factually incorrect story on the front page of the Sunday, November 17 edition concerning FedEx and our billions of dollars of tax payments and billions of dollars of investments in the U.S. economy. Pertinent to this outrageous distortion of the truth is the fact that unlike FedEx, the New York Times paid zero federal income tax in 2017 on earnings of $111 million, and only $30 million in 2018 – 18% of their pretax book income. Also in 2018 the New York Times cut their capital investments nearly in half to $57 million, which equates to a rounding error when compared to the $6 billion of capital that FedEx invested in the U.S. economy during that same year.

I hereby challenge A.G. Sulzberger, publisher of the New York Times and the business section editor to a public debate in Washington, DC with me and the FedEx corporate vice president of tax. The focus of the debate should be federal tax policy and the relative societal benefits of business investments and the enormous intended benefits to the United States economy, especially lower and middle class wage earners.

I look forward to promptly hearing from Mr. Sulzberger and scheduling this open event to bring further public awareness of the facts related to these important issues."


Statement from Frederick W. Smith, Chairman and CEO of FedEx Corporation


Did you even notice that Smith was so busy blustering that he didn’t refute one word of the Times story?
 
The nyt publishing fake news again omg really this is a breaking story.

It would be.

The number of stories that the NYT has had to retract in the last ten years can be counted on the fingers of one hand.

By contrast, Fox Noise never retracts or corrects anything.
 
Democrats seize on report of FedEx's $0 tax bill to slam Trump's tax plan | TheHill

Democrats are seizing on a report published by The New York Times on Sunday that found FedEx didn’t owe anything in taxes in fiscal year 2018, a year after President Trump signed off on a $1.5 trillion tax cut that sharply reduced tax rates for corporations in the country.

According to The Times, the package signed by Trump in December 2017, which FedEx reportedly lobbied heavily for, spelled good news the following year for the shipping company, which would later see a 34-percent drop in its effective tax rate in fiscal year 2018. Its tax rate was reportedly brought to less than zero at the time.
===================================================
And the poor & middle-class picked up the tab, the ones who can least afford to subsidize big corporations & fat cat beneficiaries like the Waltons.

Isn't capitalism great! Eighty percent of americans get to work for the twenty percent. The richer they get the more the eighty percent struggles just to get by.
 
Did you even notice that Smith was so busy blustering that he didn’t refute one word of the Times story?


And what would be the point of that? He already had said: "The New York Times published a distorted and factually incorrect story ..." . Going into details in a statement would have given the NYT more fodder to create distorted "stories".

Instead, he's calling the bums from the NYT "to a public debate in Washington, DC with me and the FedEx corporate vice president of tax".

Let's see if the NYT bums have any balls to stand behind their smear campaign BS.
 
You need to call whatever online accounting course you took and demand your money back.
Estimated Taxes | Internal Revenue Service

It's not mandatory for all corporations or individuals to pay quarterly estimated taxes. To avoid underpayment penalties, the IRS requires some filers to pay quarterly estimated payments, and there is a calculation to determine if quarterly payments are mandatory.


In the 2017 fiscal year, FedEx owed more than $1.5 billion in taxes. The next year, it owed nothing. What changed was the Trump administration’s tax cut — for which the company had lobbied hard.
FedEx reaped big savings, bringing its effective tax rate from 34 percent in fiscal year 2017 to less than zero in fiscal year 2018, meaning that, overall, the government technically owed it money.
How FedEx Cut Its Tax Bill to $0 - The New York Times
 
This is where i start questioning peoples career qualifications? why? because of the dishonesty that they use in their arguments.

quarterly tax payments are similar to payroll taxes taken out of my check.

as a corporation i must pay quarterly taxes. these are estimates based on possible end of year tax liability.
Those taxes get paid go toward any tax liability at the end of the year. similar to payroll taxes if i pay as much or more than what i owe
then i get a tax return or i pay 0 in taxes.

They still had to pay the quarterly taxes it is just at the end of the year they didn't owe any more money because they had paid it already.
So they did pay taxes it is simply they paid enough in quarterly taxes to not have a tax bill at the end of the year given the new tax rates.

so stop being dishonest.

First of all, you're not reading the article correctly and you need to check the facts. Fed Ex didn't pay anything taxes for the fiscal year ended 2018.

Secondly, tax accountants calculate quarterly estimated payments, and the goal is that the client doesn't owe anything when they file their return. So if that's in fact what happened with Fed Ex, it wouldn't be news.

See below

In the 2017 fiscal year, FedEx owed more than $1.5 billion in taxes. The next year, it owed nothing. What changed was the Trump administration’s tax cut — for which the company had lobbied hard.
FedEx reaped big savings, bringing its effective tax rate from 34 percent in fiscal year 2017 to less than zero in fiscal year 2018, meaning that, overall, the government technically owed it money.
How FedEx Cut Its Tax Bill to $0 - The New York Times
 
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