As a result of tax loopholes and deductions, the social media giant Facebook paid no income taxes for the fiscal year 2012, despite reaping $1.1 billion in US corporate profits, according to a new report.

While Americans have just been subjected to higher taxes, billion-dollar corporations like Facebook, General Electric, Boeing and Wells Fargo have all been able to avoid paying any corporate income taxes, reports Citizens for Tax Justice.

Assuming that the report is accurate, Facebook will collect $429 million in net tax refunds for the last fiscal year. On top of the $1.1 billion US corporate profits it made last year, the company continues to remain financially superior while poor and middle-class Americans struggle to pay back the national debt.

Even though Facebook’s stock value remains low, the company was able to use its public offering to its advantage: the social media giant has been able to take advantage of the tax deduction available to those with executive stock options.

That tax break alone reduced Facebook’s federal and state income taxes by more than $1 million in 2012. And with its public offering of stock, Facebook is “also carrying forward another $2.17 billion in additional tax-option tax breaks for use in future years,” the report states.

Its current and future tax reductions therefore total $3.2 billion

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