Tesla will pay $0 in federal taxes for 2021 after a record $5.5B profits

[Eric]

Must be nice!

Tesla will pay $0 in federal taxes for 2021 after a record $5.5B profits

Elon Musk has repeatedly bragged that he'll pay more in federal taxes for 2021 than anyone has ever paid — about $11 billion. But it turns out Tesla won't actually pay a cent after the company recorded net income of $5.5 billion, and adjusted...

tesla180.com

Love this spin after he donated for a tax shelter from the Tesla sub on Reddit...

Elon Musk Donated $5.7 Billion of Tesla Shares to Charity: What you need to know

Elon Musk reported that he gifted almost $6 billion worth of Tesla Inc. shares to charity in November. The world’s richest man donated more than 5 million shares in the electric automaker from November 19 to November 29, according to a filing with the Securities and Exchange Commission. The gift...

www.bsocialplus.com

 

[SuperMatt]

Those Trump tax cuts sure closed all the loopholes!

 

[Herdfan]

Those Trump tax cuts sure closed all the loopholes!

This is why they need the law to force publically traded companies to pay tax on reported earnings.

 

[SuperMatt]

This is why they need the law to force publically traded companies to pay tax on reported earnings.

Some guy in another thread was arguing that increasing taxes on the rich would lead to higher taxes on everybody. Who could that have been?

 

[Herdfan]

Some guy in another thread was arguing that increasing taxes on the rich would lead to higher taxes on everybody. Who could that have been?

Not higher taxes, but prices. Force Amazon to pay taxes on it's actual income and they will raise prices. As will most other companies. But that is income. Not wealth or market cap.

To me there is a difference. Maybe there isn't to you and that's fine, but to me there is.

 

[SuperMatt]

Not higher taxes, but prices. Force Amazon to pay taxes on it's actual income and they will raise prices. As will most other companies. But that is income. Not wealth or market cap.

To me there is a difference. Maybe there isn't to you and that's fine, but to me there is.

The constant in your analyses is a complete misunderstanding of economics, and corporate greed.

There have been many posts on these forums showing that corporations are making record profits while claiming the recent price increases are all due to other factors.

If higher taxes = higher prices, then lower taxes = lower prices, right? Then how do you explain the fact that prices never went down on anything after the Trump tax cuts? Corporate taxes went down from 35% to 21%. The big companies didn’t cut their prices 14%, that’s for sure. If your assertion is true, it would have to work both ways… and it clearly has not. But you can keep believing in it like trickle-down economics, the Easter Bunny, and the Tooth Fairy.

 

[User.45]

The constant in your analyses is a complete misunderstanding of economics, and corporate greed.

There have been many posts on these forums showing that corporations are making record profits while claiming the recent price increases are all due to other factors.

If higher taxes = higher prices, then lower taxes = lower prices, right? Then how do you explain the fact that prices never went down on anything after the Trump tax cuts? Corporate taxes went down from 35% to 21%. The big companies didn’t cut their prices 14%, that’s for sure. If your assertion is true, it would have to work both ways… and it clearly has not. But you can keep believing in it like trickle-down economics, the Easter Bunny, and the Tooth Fairy.

The assumption is open competition that would drive the prices down. That said, it's so funny because @Herdfan has an MBA, so he should be able to teach us about how to run a business.

 

[SuperMatt]

The assumption is open competition that would drive the prices down. That said, it's so funny because @Herdfan has an MBA, so he should be able to teach us about how to run a business.

Prices are controlled mainly by supply and demand. Taxes are on profits. Lowering corporate taxes led to more stock buybacks, not lower prices. The argument was made that the extra profits would lead to more money for workers or more economic activity due to re-investing in the business. That didn’t bear out, as most non-Keynesians easily predicted. Instead, those tax cuts simply increased the problem of wealth inequality in America. I tend to think that was the goal all along.

 

[User.45]

Prices are controlled mainly by supply and demand. Taxes are on profits. Lowering corporate taxes led to more stock buybacks, not lower prices. The argument was made that the extra profits would lead to more money for workers or more economic activity due to re-investing in the business. That didn’t bear out, as most non-Keynesians easily predicted. Instead, those tax cuts simply increased the problem of wealth inequality in America. I tend to think that was the goal all along.

Yes, as deep as I was willing to dive into this, corporate tax cuts benefited nobody outside the corporations. Trickle down economics is literally and figuratively horse manure.

 

[GermanSuplex]

The answer is so painfully obvious. A lower but enforced gradual income tax on profits, and no cheating. Give them certain tax breaks, but not exorbitant ones and make them simple and again, properly verified.

You can’t charge the working class and allow corporations or individuals who make insane profits pay nothing. It’s obviously unsustainable. Like having a buffet and charging those who eat the least the highest prices. Finish three plates and it’s free.

Republicans harp on small business like there’s no tomorrow, but somehow think them paying more than Tesla or Amazon is rational.

 

[Yoused]

I suspect "Tesla paid zero in taxes" is not 100% accurate: they do have employees, who almost certainly did pay some taxes. So there.

 

[Eric]

I suspect "Tesla paid zero in taxes" is not 100% accurate: they do have employees, who almost certainly did pay some taxes. So there.

The word "federal" is in the title and he certainly did not pay a cent for that. However, you and I (and nearly everyone else) do.

 

[Herdfan]

The constant in your analyses is a complete misunderstanding of economics, and corporate greed.

There have been many posts on these forums showing that corporations are making record profits while claiming the recent price increases are all due to other factors.

If higher taxes = higher prices, then lower taxes = lower prices, right? Then how do you explain the fact that prices never went down on anything after the Trump tax cuts? Corporate taxes went down from 35% to 21%. The big companies didn’t cut their prices 14%, that’s for sure. If your assertion is true, it would have to work both ways… and it clearly has not. But you can keep believing in it like trickle-down economics, the Easter Bunny, and the Tooth Fairy.

No, it is your misunderstanding of human nature, of which corporate greed is just an extension.

If your boss just decided to give you more money, you're going to keep it right? Corporations are no different because they are run by people. And people are greedy.

So no, they aren't going to lower prices simply because their expenses went down. Prices only get lowered in response to competition, and even then they will find a way to extract most of it back.

Your 401(k) will be happier because of this.

 

[SuperMatt]

No, it is your misunderstanding of human nature, of which corporate greed is just an extension.

If your boss just decided to give you more money, you're going to keep it right? Corporations are no different because they are run by people. And people are greedy.

So no, they aren't going to lower prices simply because their expenses went down. Prices only get lowered in response to competition, and even then they will find a way to extract most of it back.

Your 401(k) will be happier because of this.

And this is why the corporate tax cut did nothing for the middle class. It just put more money into the pockets of the already wealthy. They didn’t spend it. Which again proves trickle down economics is a sham.

I absolutely understand greed and human nature. The fact that YOU think higher taxes = higher prices shows you don’t understand how it works at all. You didn’t counter my point in the slightest.

You are all over the map here, jumping around, refusing to defend your own statements, and in this case literally contradicting your own prior statements with this one.

 

[Herdfan]

And this is why the corporate tax cut did nothing for the middle class.

Do you and the middle class have a 401(k)? If so, they did do something for you even if not directly.

As for the cut, 21% is a fair number. Now we just need to get all corporations to pay that amount. The rate is not the problem, it is all the carve-out and exceptions that are the problem.

 

[Chew Toy McCoy]

Somebody was quoted as saying the Hamptons aren’t a defensible position, meaning when the masses unite to attack who is really causing all the economic misery those people won’t be able to defend themselves. But it seems they are working on a solution to that. They’ll just hide out in space. I have to admit that’s a brilliant solution.

 

[Huntn]

Must be nice!

Tesla will pay $0 in federal taxes for 2021 after a record $5.5B profits

Elon Musk has repeatedly bragged that he'll pay more in federal taxes for 2021 than anyone has ever paid — about $11 billion. But it turns out Tesla won't actually pay a cent after the company recorded net income of $5.5 billion, and adjusted...

tesla180.com

Love this spin after he donated for a tax shelter from the Tesla sub on Reddit...

Elon Musk Donated $5.7 Billion of Tesla Shares to Charity: What you need to know

Elon Musk reported that he gifted almost $6 billion worth of Tesla Inc. shares to charity in November. The world’s richest man donated more than 5 million shares in the electric automaker from November 19 to November 29, according to a filing with the Securities and Exchange Commission. The gift...

www.bsocialplus.com

Someone wanted to know what’s wrong with Capitalism and what’s wrong with the United States, and why we are going broke. Before you argue about not going broke, check the National Debit.

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usdebtclock.org

 

[Chew Toy McCoy]

Do you and the middle class have a 401(k)? If so, they did do something for you even if not directly.

That’s the evil genius of it all. I don’t know how pensions worked 50 years ago but I’d much rather have a set amount I could rely on than having my entire retirement wiped out every 10 years because a small percentage of people with $100 million thought they deserved to have $150 million for doing nothing of value. If you want to toss some of your retirement in with that lot after the fact then that’s on you. That shouldn’t be the base system that everybody depends on.

 

[SuperMatt]

That’s the evil genius of it all. I don’t know how pensions worked 50 years ago but I’d much rather have a set amount I could rely on than having my entire retirement wiped out every 10 years because a small percentage of people with $100 million thought they deserved to have $150 million for doing nothing of value. If you want to toss some of your retirement in with that lot after the fact then that’s on you. That shouldn’t be the base system that everybody depends on.

Remember how Bush Jr. was trying to sell everybody on the idea of “privatizing” social security? Yeah, then the real estate collapse happened and wiped out half the stock market’s value in a week... and we never heard that nonsense again. Imagine if he had gotten his way and everybody’s social security checks got cut in half in 2008...

 

[Huntn]

That’s the evil genius of it all. I don’t know how pensions worked 50 years ago but I’d much rather have a set amount I could rely on than having my entire retirement wiped out every 10 years because a small percentage of people with $100 million thought they deserved to have $150 million for doing nothing of value. If you want to toss some of your retirement in with that lot after the fact then that’s on you. That shouldn’t be the base system that everybody depends on.

401ks were how Corporate America offloaded pension obligations so top management can pocket more, get those special vacation mansions. You know poor greedy bastard babies.