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The last refuge of a scoundrel is a tax break

Some 9,400 American corporations operate foreign subsidiaries. They don't pay U.S. taxes on their earnings overseas so long as they keep the money stashed overseas. There's a whole lot of stashing going on. Topped $800 billion by the middle of this decade.

If and when corporations bring their profits stateside, they usually pay the normal corporate tax rate of 35 percent. But Congress in 2004 passed a one-time tax break: corporations that brought their money to the U.S. during 2004-06 would pay a rate of only 5.25 percent.

Some 843 corporations took Uncle Sam up on its offer -- and saved $265 billion.

This at a time when the country was at war and dealing with record budget deficits. But bet your bottom dollar all those CEOs are wearing their flag pins on their lapels.

Read all about it in The New York Times. Comment below.

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