When oil company revenues are reported under screaming headlines in the paper or on new sites, they’re only telling you part of the story. Dr. Mark Perry fills us in.

Corporate profits receive a lot of media attention, but what receives considerably less attention are the corporate taxes paid on corporate profits. Do a Google search for “Exxon profits” and you’ll get about 8,000 hits. Now try “Exxon taxes” and you’ll get a little more than 300 hits. That’s a ratio of about 33 to 1.

I’m pretty sure that Exxon’s tax payment in 2007 of $30 billion (that’s $30,000,000,000) is a record, exceeding the $28 billion it paid last year.

By the way, Exxon pays taxes at a rate of 41% on its taxable income!

Dr. Perry has a quick graphic to illustrate profits vs. taxes, and, after a little quick math, notes that this one corporation, Exxon, pays more taxes than the entire bottom 50% of all taxpayers.

Just asking for a little perspective.

[tags]economics,taxes,Exxon Mobile,profits,oil industry[/tags]

Filed under: DougEconomics & Taxes

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