Diane Hendricks is a billionaire who donated $500,000 — the largest donation ever made in a Wisconsin governor’s race — to Walker this year, but the company she owns paid absolutely nothing in taxes from 2005 to 2008, the Institute for Wisconsin’s Future reports:
ABC Supply may be a huge money-maker for Hendricks, but the Wisconsin corporate income tax returns she files claim the company makes not a penny in taxable profit.
ABC Supply paid exactly $0.00 in state corporate income tax in 2005, 2006, 2007 and 2008, according to the state Department of Revenue. Tax data for more recent years were not available when the information was requested from the department.
Hendricks gained notoriety earlier this month when Walker was caught on film admitting to her that he was planning a “divide and conquer” strategy with the state’s public sector unions. That strategy, which led to Walker’s signature union-busting legislation and massive protests outside the state capitol, is why Walker is now facing a recall.
Walker pitched the legislation as necessary for balancing the state’s budget, which was facing a $137 million budget deficit in 2011. According to IWF, businesses dodge $113 million in Wisconsin state taxes each year.
“It’s not known which loopholes ABC Supply used to avoid income taxes,” the IWF report said, but Hendricks has long been an advocate of lower taxes. In a 2010 editorial, she wrote, “Taxing job creators is a sure way to stop the engine of economic growth.”