Here’s something to “Like" if you're Facebook: getting a tax rebate despite pulling in billions in profits.
The social media giant paid a negative 40.4 percent tax rate in 2012, according to a report released Thursday by the Center for Tax Justice, a left-leaning research group. That’s way less than the estimated $1 billion tax bill of the company’s own CEO and founder Mark Zuckerberg. How did Facebook manage to get $429 million back from the government on its more than $1 billion in profits? By writing off the value of the stock options the company gave Zuckerberg as part of his compensation, according to CTJ.
The social media giant paid a negative 40.4 percent tax rate in 2012, according to a report released Thursday by the Center for Tax Justice, a left-leaning research group. That’s way less than the estimated $1 billion tax bill of the company’s own CEO and founder Mark Zuckerberg. How did Facebook manage to get $429 million back from the government on its more than $1 billion in profits? By writing off the value of the stock options the company gave Zuckerberg as part of his compensation, according to CTJ.