According to the Congressional Budget Office (CBO), the corporate tax rate is now at its lowest level in 40 years.
WASHINGTON—U.S. companies are booking higher profits than ever. But the number crunchers in Washington are puzzling over a phenomenon that has just come into view: Corporate tax receipts as a share of profits are at their lowest level in at least 40 years.
Total corporate federal taxes paid fell to 12.1% of profits earned from activities within the U.S. in fiscal 2011, which ended Sept. 30, according to the Congressional Budget Office. That's the lowest level since at least 1972. And well below the 25.6% companies paid on average from 1987 to 2008.
Meanwhile, corporate profits are at a 60 year high.
Corporations just can't catch a break, can they? Living under the tyranny of socialism, job-killing regulations, and soul-crushing taxes.
How many supply-side worshipers will read this report in the Wall Street Journal and catch the subliminal message that corporate taxes were higher under Saint Reagan and President Bush than President Obama?