A recent report released by the Institute for Policy Studies and Americans for Tax Fairness has shed light on some of America’s biggest companies and their tax practices. The report highlighted 35 major U.S. companies, including Tesla, T-Mobile, and Netflix, that paid their top five executives more than they paid in federal income taxes between 2018 and 2022.
At the top of the list was Elon Musk’s Tesla, which paid its top five executives a staggering $2.5 billion over five years while making $4.4 billion in U.S. profit. Despite its record profits, the report pointed out that Tesla has never paid federal income taxes, possibly due to carrying losses forward from before it became profitable.
T-Mobile followed closely behind, with a profit of $17.9 billion in the U.S. over five years and zero net federal income taxes. The top five executives at T-Mobile were paid $675 million during the same period, with CEO and president Mike Sievert receiving $158 million of that total.
The report highlighted various tax avoidance strategies used by these companies, such as shifting profits to offshore tax havens or utilizing stock option tax deductions. It’s important to note that the report did not take state, local, or payroll taxes into account.
These findings have sparked a debate about corporate tax practices and the need for greater transparency and accountability. The article on MarketBeat, titled “Elon Musk’s Tesla Paid No Federal Income Taxes Over 5 Years, While Paying Top Execs $2.5 Billion, According to a New Report,” has brought attention to this issue and raised questions about the fairness of the current tax system.
As the discussion continues, it will be interesting to see how these companies respond and whether any changes will be made to ensure a more equitable tax system for all.
