Facebook's Multi-Billion Dollar Tax Break

Hidden in the report’s footnotes is an amazing admission: despite $1.1 billion in U.S. profits in 2012, Facebook did not pay even a dime in federal and state income taxes.

Instead, Facebook says it will receive net tax refunds totaling $429 million.

So in total Facebook’s current and future tax reductions from the stock options exercised in connection with its IPO will total $3.2 billion.