According to Senator Tom Coburn (R-Oklahoma) Facebook will be paying no tax again this year, in fact, it looks like they might even get a refund.
Each year Senator Coburn publishes his ‘Wastebook’, a report that details how much money the government waste.
Of Facebook he says:
“One of America’s largest companies avoided paying federal or state income taxes, and is poised to do so again this year. In fact, they will likely receive a check from the federal government in the form of a tax refund.”
“Despite bringing in more than $1 billion in US pretax profits last year, the social-media giant Facebook reported a combined $429 million refund from their federal and state tax filings,” he continues, including roughly $295 million from Uncle Sam.
According to Coburn’s report, last year Facebook relied on an employee stock option tax deduction to lower the amount of owed income taxes by around $1.03 billion.
“By providing stock options as a major form of their compensation, to date Facebook has claimed $3.2 billion in federal and state stock option deductions, $1.03 billion of which was used to offset their total US pretax profit of $1.1 billion in 2012 and $429 million was refunded from its 2010 and 2011 tax bills,” he says.
“The remaining $2.17 billion in stock option tax deductions can now be carried forward by the company and used to offset future tax liabilities,” he says. “This rollover, in addition to currently outstanding employee stock options, may once again make this year’s tax bill disappear.”(source)
Other items to make the list include a 3D printer to help make pizza, $1,000,000 to the Martian food development budget, and a series of contracts with Hollywood studios.
All this while cutting back on the defense budget and taking cash from veterans pensions.
Makes me sick just thinking about it.
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Contributed by Chris Carrington of The Daily Sheeple.
Chris Carrington is a writer, researcher and lecturer with a background in science, technology and environmental studies. Chris is an editor for The Daily Sheeple. Wake the flock up!