Many Americans were shocked last month to learn that Republican presidential candidate Mitt Romney only paid an effective tax rate of 13.8 percent in 2010, but a recent report shows that corporations are paying even less.
Corporations in the U.S. paid only an average of 12.1 percent in taxes on the profits they earned inside the U.S in fiscal 2011, according to statistics from the Congressional Budget Office (CBO).
The Wall Street Journal reports that it’s the lowest percentage corporations have paid on those profits since at least 1972, and it’s less than half of the 25.6 percent they paid on average between 1987 and 2008.
Corporations saw their profits, however, reach an all-time high at the end of 2010. The $1.68 trillion in annualized profits in the fourth quarter of fiscal 2010 beat the previous record of $1.65 trillion in the third quarter of 2006.