Levin Statement on Need to Close Facebook Loophole
Thursday, May 17, 2012
WASHINGTON – When Facebook goes public tomorrow, it will get an astounding $16 billion tax deduction, which is the largest tax deduction ever taken by a corporation from the stock option tax loophole. Sen. Carl Levin, D-Mich., who has long been a leader in efforts to close the stock option loophole, today urged his colleagues to close the loophole so that corporations like Facebook will no longer be able to exempt themselves from many years of U.S. taxes.
“Facebook’s IPO tomorrow will certainly make history in one way – the corporation’s $16 billion stock option tax deduction will be the biggest Mack truck ever driven through the stock option loophole,” Levin said. “This outrageous tax loophole will allow Facebook to boast of rising revenues to investors, while telling Uncle Sam it will have no taxable income for years to come.”
Read the full text of Sen. Levin’s floor statement here.