Many profitable companies avoid tax expense since Trump cuts

Main Idea: A new study says many profitable U.S. companies, including Salesforce, have avoided federal tax expense since Donald Trump’s corporate tax cuts, as President Joe Biden pushes to raise corporate taxes.

Key Points:

• The study found that 26 profitable S&P 500 companies reported $77 billion in U.S. profits over three years without expecting to owe current federal income taxes.
• Salesforce is one example: it reported billions in profits since 2018 but booked tax credits instead of current federal tax expense.
• Biden says his plan would raise corporate taxes and include a 15% minimum tax based on profits reported to investors.
• The study argues that if Biden’s plan had already been in place, the companies studied would have paid billions more in federal taxes instead of receiving tax credits.