Olbermann: "Small Businesses" with millions in income, run by multimillionaires

[Amerigo Vespucci]

Olbermann reveals small businesses 'in name only'
Special report names firms with millions in revenues, run by multimillionaires

NBC News and msnbc.com
updated 1 hour 38 minutes ago

http://www.msnbc.msn.com/id/39317328/ns/politics/

When it comes to discussing tax cuts, the term "small business" is an "utter misnomer," Keith Olbermann said in a special report Wednesday night.

Olbermann, on his msnbc TV show "Countdown with Keith Olbermann," named firms considered small businesses for tax purposes but have millions in income and are run by multimillionaires.

Among them are the "biggest companies in the world and the richest people in this country," Olbermann said on a segment titled, "Small Business in Name Only."

Because IRS tax returns are not public record, the names of companies were ascertained from public documents such as court records or the companies' postings:

Among his examples:

* Enterprise Products Partners, L.P., a pipeline company with 2009 revenues of $25 billion.
* Kohlberg Kravis Roberts & Co., a Wall Street firm with $445 million in revenue in 2009.
* Price Waterhouse Coopers, an accounting firm with $26 billion in revenue in 2009.
* Koch Industries, a conglomerate of partnerships with 70,000 employees.
* The Hillman Company, an investment founded by billionaire philanthropist/industrialist Henry Hillman.
* Venn Strategies, Inc., whose chief operating officer is Brian Reardon, a former special assistant to former President George W. Bush.
* Ferrellgas, a propane and propane accessories business, with $2 billion in revenues in 2009 and 1 million customers.
* CoorsTek, a ceramics manufacturer founded by Adolph Coors, with 2009 revenue of $549 million.
* Dead River Co., with $500 million in revenue and 1,200 employees.
* McIlhenney Co., the Tabasco maker, with $250 million in revenue in 2007.

The revelation comes as Democrats and Republicans debate tax cuts and the economy.

[nadinbrzezinski]

1. You know what is so damn scary?

I thought this was well known... I had to do a lot of reading into corporate structures...

I am happy he exposed it though. But as Hayes put it... 250K income don't fool nobody. These are them rich folk who should be taxed more heavily, and no blue dogs or repigs are for deficit control...

[lonestarnot]

2. And the xprosecutor of NY was on CNN blabbing about giving the tax for richie rich to small business

in the form of cutting employment tax. Small business richie rich admitted "hoarding cash" to boot, his very words, "hoarding cash."

[RufusTFirefly]

3. I love small business

One of my favorite things about visiting France is that it seems like a nation of shopkeepers.

That, unfortunately, is the image that most Americans have in mind when they hear the phrase "small business," just as the term "family farm" doesn't typically conjure up images of in-humane CAFOS that are controlled by industrial agricultural giants.

I'm grateful to Olbermann for separating myth from reality.

[Crunchy Frog]

4. Are the teabaggers deliberately trying to conflate business revenues

with personal income? It's my understanding that it's the personal income that gets taxed, not the total revenue of the business. Maybe I'm misunderstanding this though.

[glinda]

5. KO's show was excellent.

[RM84]

6. "S-Corp" Clarification

As a tax attorney, and I a small business owner, I would a little concerned with Mr. Olbermann's "Small business" special last night.

First, "S Corp" does not stand for, "small business." S-Corp actually stands for subchapter corp. This is simply an election made so that entity is a passed-through as a entity. In no way shape or form, does "S-Corp" reflect the size of a business. In fact the only limitation on the size of an "S-Corp" is that an "S-Corp" is limited to 75 shareholders.

Now for some statistics. In 2002, there were 3,154,777 "S-Corps" reportings for a total NET revenue of 185 billion That math works out to an AVERAGE of $58, 64 of reported income per “S-Corp” filing. My source is as follows: http://www.irs.gov/newsroom/article/0,,id=141441,00.html

Flashing names and income figure for 10 wealthy republicans who own "S-Corps" is in no way indicative of a the average S-Corp. By way, most small businesses are not "S-Corps", that are "LLC" (limited liability companies).

If you want to use complicated rhetoric that’s fine, but the numbers don't lie.