According to a Public Citizen analysis, 88 major U.S. corporations collectively avoided an estimated $26.7 billion in federal taxes during fiscal year 2025, despite reporting $105 billion in pretax profits. The companies used accelerated depreciation and research-and-development write-offs to zero out their tax bills. The report, released as the 2025 fiscal year closed, highlights the scale of corporate tax avoidance under current law and the money spent to keep it in place .

The 3,000% Return on Political Investment

The Public Citizen report calculates that between the 2020 and 2024 election cycles, these 88 companies spent about $852 million on lobbying and campaign contributions — $712 million on lobbying and $140 million on political campaigns. Against the $26.7 billion in tax breaks they collectively received, that amounts to a return on investment of roughly 3,000 percent. As the report notes, corporate wealth is used to buy favorable policy changes, and those policy changes generate more wealth, which is then reinvested into further political influence. This self-reinforcing loop is central to the inequity the authors describe.

Accelerated Depreciation: The $11.4 Billion Loophole

More than half of the analyzed companies used accelerated depreciation to immediately write off capital investments, avoiding $11.4 billion in taxes, the report says.. This mechanism, along with reseearch-and-development write-offs bolstered by legislation like the One Big Beautiful Bill Act, allowed over 30 companies to save at least $4.4 billion. these provisions are deeply embedded in current tax law, and the report argues they amount to Republican-led tax giveaways that Congress should eliminate. The scale of the tax avoidance underscores a broader trend: since the 2017 Tax Cuts and Jobs Act lowered the corporate rate from 35% to 21%, the number of profitable companies paying zero federal income tax has risen dramatically.

Coinbase Global and CVS Health Lead $852 Million Lobbying Blitz

Among the biggest spenders on political influence, Coinbase Global stands out with $89 million, followed by CVS Health at $66 million, Honeywell International at $56 million, American Electric Power at $47 million , and Duke Energy at $35 million. On average, these companies employed 1,119 lobbyists every year to pressure federal officials, according to the report. The concentration of spending in a few sectors — technology, healthcare, energy, and utilities — suggests where the fight over tax policy is most intense. The report's authors point out that congressional spending in 2024 reached double the levels seen in 2010, adding to the cycle.

The Missing Side of the Argument: Who Defends the Status Quo?

The Public Citizen analysis presents a one-sided case for reform, but it raises unanswered questions. None of the 88 companies are quoted or given a chance to respond in the report.. How do they justify paying zero federal tax on billions in profits? The mechanisms are legal, but are they defensible on economic grounds? Also missing is the voice of congressional defenders:which lawmakers champion these loopholes, and what arguments do they make? The report calls for raising the corporate rate to 35% and ending deductions for executive bonuses, but without opposition testimony,the political feasibility remains unclear. Understanding the counterarguments is essential to gauging whether the proposed reforms have any chance of passing.