TV News LIES

Sunday, Jul 13th

Last update07:26:19 AM GMT

You are here News Economy Facebook Is Getting a $429 Million Tax Refund This Year

Facebook Is Getting a $429 Million Tax Refund This Year

E-mail Print PDF

facebookFebruary really is the cruelest month because, on top of all this snow, one is forced to start contemplating death, or at least filling out one's taxes. (The distinction was always lost on us.) You might be left scratching your head, and wishing you had a better accountant, when you hear how Facebook is getting hundreds of millions in a tax refund this year.

Thanks to a statement from Citizens for Tax Justice, Bloomberg Businessweek's Peter Coy brought an interesting little nugget of information from Facebook's public filing to our attention. Because of the way Facebook treats stock options distributed to investors and employees instead of cash compensation on its balance sheets, the company is able to claim paying a tax liability worth hundreds of millions of dollars when the reality is they're getting paid:

You won’t find any $429 million tax refund in Facebook’s financial statements. Indeed, the company says it had a $559 million federal tax liability in 2012. But that liability isn’t an actual payment. In a footnote, the company also said that it had a $1.03 billion “excess tax benefit” last year related to “stock option exercises and other equity awards.” That benefit is what flips the federal tax liability into a refund. (A small portion is applied against state taxes.)

More...

So, y'know, hope your return this year is that big. You can read more about the mechanics behind Facebook's accounting in Coy's explanation.


Most Recent Related Stories...


Trump announces 30% tariffs on Mexico, European Union

Pres. of MexicoPresident Donald Trump will slap a 30% tariff on all imports from Mexico and the European...

US dollar has worst first half in more than 50 years amid Trump tariffs

Dollar fallsThe US dollar has had its worst first half-year in more than 50 years, as the...

Trump hits Canada with 35 percent tariff

Canada hit with 35% teriffTrump posted a letter sent to Canadian Prime Minister Mark Carney in which he outlined the...

Fed would have cut US interest rates by now if it weren’t for Trump’s tariffs, says Jerome Powell

Jerome Powell Federal Reserve chair Jerome Powell said earlier this morning that the central bank would likely have...
 
America's # 1 Enemy
Tee Shirt
& Help Support TvNewsLIES.org!
TVNL Tee Shirt
 
TVNL TOTE BAG
Conserve our Planet
& Help Support TvNewsLIES.org!
 
Get your 9/11 & Media
Deception Dollars
& Help Support TvNewsLIES.org!
 
The Loaded Deck
The First & the Best!
The Media & Bush Admin Exposed!