Giant American Corporations That Paid Barely Any Taxes in 2021

Mangostar / Shutterstock.com

The extra you make, the extra Uncle Sam takes — more often than not.

If you happen to’re one of many greatest corporations within the U.S., you may even get pleasure from a destructive tax price.

That’s based on a recent analysis by the Heart for American Progress, which took a take a look at publicly obtainable investor filings of the biggest American corporations by income — the Fortune 100 — and recognized those paying the least in taxes. It additionally famous “different massive, notable corporations pay equally low charges.”

Right here’s a take a look at the Fortune 100 corporations paying the least in taxes by way of their efficient tax price.

What’s an efficient tax price?

woman confused frustrated questioning
Roman Samborskyi / Shutterstock.com

In concept, firms pay a federal earnings tax price of 21%.

Nevertheless, this determine applies solely to their taxable earnings — which means the portion of their earnings that’s topic to federal earnings tax — not essentially their whole earnings.

The determine representing the quantity corporations pay in taxes as a share of their whole earnings is known as an “efficient tax price.” These are the precise tax charges being mentioned right here. Right here’s how the Heart for American Progress explains its calculation:

“The authors calculated efficient tax charges by dividing the present U.S. federal earnings tax expense {that a} company reported to the SEC by its U.S. earnings earlier than federal earnings tax (its U.S. pre-tax earnings minus its present state and native earnings tax expense).”

10. Financial institution of America Corp.

Bank of America
Tero Vesalainen / Shutterstock.com

Firm’s efficient federal earnings tax price: 3.5%

Financial institution of America, which reported $30.6 billion in U.S. earnings for 2021, paid solely $1.1 billion in federal earnings taxes.

Add that to the listing of the explanation why Financial institution of America is Individuals’ most hated financial institution.

9. ExxonMobil Corp.

Katherine Welles / Shutterstock.com

Firm’s efficient federal earnings tax price: 2.8%

ExxonMobil earned $9.3 billion within the U.S. for 2021 however paid simply $262 million in federal earnings taxes.

The following time you’re filling up the tank, take into consideration the few further gallons you possibly can get out of 1,000,000 bucks or two. (Extra critically, listed here are “7 Good Methods to Save Cash on the Fuel Pump.”)

8. Chevron Corp.

Chevron Corp sign
Pamela Brick / Shutterstock.com

Firm’s efficient federal earnings tax price: 1.8%

Exxon’s not the one gasoline firm having fun with ultra-low taxes. Chevron earned an identical determine for 2021 — $9.5 billion — however paid even much less in taxes, simply $174 million.

7. MetLife Inc.

MetLife insurance and annuities
Osugi / Shutterstock.com

Firm’s efficient federal earnings tax price: 1.3%

Insurance coverage large MetLife snatches its cash away from Uncle Sam even faster than the Peanuts’ Lucy pulls the football out from below Charlie Brown. It paid solely $62 million in federal earnings taxes on $4.8 billion in U.S. earnings final yr.

6. Ford Motor Co.

Ford Motor Co.
James R. Martin / Shutterstock.com

Firm’s efficient federal earnings tax price: 1%

The automaker engineered its strategy to paying simply $102 million in federal earnings taxes on $10 billion in U.S. earnings for 2021, based on the Heart for American Progress.

5. Normal Motors Co.

Linda Parton / Shutterstock.com

Firm’s efficient federal earnings tax price: 0.2%

GM didn’t make fairly as a lot as Ford final yr — $9.4 billion — but it surely beat Ford in a minimum of one space, giving up solely $20 million in federal earnings taxes.

4. Constitution Communications Inc.

Charter Communications
Eyesonmilan / Shutterstock.com

Firm’s efficient federal earnings tax price: -0.2%

Broadband firm Constitution Communications (proprietor of Spectrum), together with the remaining corporations on this listing, managed a neat trick: Regardless of making billions final yr, they managed to get tax refunds.

Constitution reported $6 billion in earnings and netted a tax refund of $12 million.

3. American Worldwide Group Inc.

AIG insurance building
askarim / Shutterstock.com

Firm’s efficient federal earnings tax price: -2.2%

You may say insurer AIG, which you will recall obtained a reasonably hefty federal bailout in 2008, is as soon as once more amassing from the American taxpayer. The corporate owed no federal earnings tax on $9.8 billion in earnings for 2021 and as a substitute scored a tax refund of $216 million.

2. Dow Inc.

Dow Chemical
Jonathan Weiss / Shutterstock.com

Firm’s efficient federal earnings tax price: -3.1%

Chemical maker Dow concocted a $46 million refund on $1.5 billion in earnings for 2021. The primary web page of its annual report, titled “How Do We Ship a Sustainable Future?” doesn’t point out paying taxes in its reply.

1. AT&T Inc.

AT&T Telecommunications
Lester Balajadia / Shutterstock.com

Firm’s efficient federal earnings tax price: -4.1%

Most amazingly of all, the world’s largest telecommunications company, AT&T, reported an earnings tax advantage of $1.2 billion for its $29.6 billion in 2021 earnings.

Disclosure: The knowledge you learn right here is all the time goal. Nevertheless, we typically obtain compensation if you click on hyperlinks inside our tales.

Ninjay H Briotyon

Next Post

Tour 3 Generations of Hetherington Houses on the South Aspect | Chicago Information

Mon Aug 1 , 2022
Three generations of the Hetherington household are answerable for the architectural design of greater than 100 houses on the town’s South Aspect. This weekend, the Beverly Area Planning Association(BAPA) is partnering with the Ridge Historical Society to supply excursions of a few of these houses together with a photograph exhibition […]