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IIUC Meta is spending more on capital (due to AI buildout) than they are receiving in profits. Given Depreciation this is expected. And ... the intent of the l
by HardCodedBias 7mo ago
IIUC Meta is spending more on capital (due to AI buildout) than they are receiving in profits.
Given Depreciation this is expected. And ... the intent of the law, to prompt capital investment.
What's the scandal, exactly?
- HardCodedBias 7mo agoWait it gets worse for the "article" ITEP gets the number by dividing Meta’s current federal tax expense ($2.82B) by its domestic pretax income ($79.64B), which is about 3.5–3.6%. But Meta’s total 2025 GAAP effective tax rate was actually 29.6%, because it also booked a huge $15.93B charge tied to the Corporate Alternative Minimum Tax and valuation allowances.
- loeg 7mo agoBoth numbers are wrong. Meta's actual income before tax was about $83 billion and its actual tax cost was $25 billion. This is an effective tax rate of ~30%. https://investor.atmeta.com/investor-news/press-release-details/2026/Meta-Reports-Fourth-Quarter-and-Full-Year-2025-Results/default.aspx https://investor.atmeta.com/investor-news/press-release-deta...