Tesla, Disney Among 114 Profitable U.S. Firms That Paid Zero Current Federal Income Tax Last Year

An analysis of SEC filings by the Institute on Taxation and Economic Policy found that 706 profitable U.S. companies paid an average effective current federal tax rate of 10.4% last year, about half the 21% statutory rate, with 114 firms including Tesla, Walt Disney, United Airlines and DoorDash paying no current federal income tax. The report puts total subsidies captured by the group at $198 billion, with Alphabet, Microsoft, Amazon and Meta Platforms saving $46 billion combined from research and depreciation breaks. Corporate tax receipts fell about 15% to $381 billion in fiscal 2026 even as profits hit a record $4.7 trillion. The report's authors argue companies paying reduced rates pose a bigger revenue threat than those paying nothing, while critics say the breaks are legitimate bipartisan policy.