Facts About Bank of America's "Nonpayment of Taxes"

Using Google, I found Bank of America's annual report on the internet.  Sure enough, it shows that US Uncut, the Daily KOS and Democratic Underground are all refuges for ignoramuses.  So much of their beliefs and philosophy is based on profound ignorance and error, so it should come as no surprise that they are equally ignorant and uninformed about corporate income taxes.

Bank of America actually LOST $2.2 billion in 2010, yet still reported $915 billion in income taxes.  Probably effecting this is a paper write-off of $12.4 billion in good will impairment, which is not deductible for taxes.  They reported a tax benefit (a theoretical refund) for 2009, but did report substantial amounts of tax expense for 2006, 2007 and 2008.  See the annual report here.  You will have to scroll through the report since it is a pdf file.

Reading a highly condensed and consolidated financial report cannot provide you with an in-depth understanding of B of A's tax situation.  For one thing, taxes reported for financial statements can differ considerably from what is reported on the tax return.  The reason is that financial reporting for taxes is often highly theoretical.  The financial statements attempt to present the income tax expense based on GAAP (generally accepted accounting principles), and include timing differences between financial reporting and tax reporting.  For example, accelerated depreciation methods for machinery and equipment may be used for tax reporting, but straight line depreciation for financial reporting.  This results in "deferred" taxes, taxes that may not yet be due on the tax return.

Once again, to really understand what a corporation paid in taxes for any given year, you need the corporate tax return.

In any case, there is nothing in the annual report of Bank of America that implies that this corporation "pays no taxes."

Conclusions:  Leftists sources are full of bovine excrement regarding "corporations not paying taxes."  Their claims are anecdotal, general and offer no support or specifics.  For that reason, they can be discounted in their entirety.