> Among the mechanisms Netflix is using to achieve its next-to-nothing tax liability are accelerated depreciation (which appears to have cut the company’s tax expense by $148 million); deductions for stock options for Netflix executives and other employees ($339 million); and research and development tax credits ($113 million).
It seems wild to me that this R&D credit is probably targeted towards new technology that will improve the world, and not Netflix working out how to reduce video lag by an additional 0.2%
>> Among the mechanisms Netflix is using to achieve its next-to-nothing tax liability are accelerated depreciation (which appears to have cut the company’s tax expense by $148 million); deductions for stock options for Netflix executives...
Remember the corps used to get in trouble for not deducting stock options. Now it has turned into a "mechanism to achieve its next-to-nothing tax liability"
These are straightforward deductions.