Elon Musk donated $5.7 billion in Tesla shares to charity final 12 months

16 February 2022

Elon Musk donated $5.7 billion price of Tesla shares to charity in 2021.

Elon Musk made an enormous donation to charity over a 10-day interval final 12 months

The 50-year-old businessman gave a complete of 5,044,000 shares within the carmaker to unnamed organisations between November 19 and 29 final 12 months, in response to its submitting with the US Securities and Alternate Fee (SEC).

The donation got here shortly after he tweeted promising to promote inventory and donate $6 billion to the United Nations World Meals Program.

He wrote on the time: “If [the United Nations World Food Programme] can describe… precisely how $6 billion will clear up world starvation, I’ll promote Tesla inventory proper now and do it.”

The SEC filings didn’t make it clear which charity – or charitable teams – the shares have been donated to.

The donation means Musk is ranked as America’s second-biggest donor behind Invoice Gates and Melinda French Gates for 2021, in response to date from the Chronicle of Philanthropy.

The entrepreneur – who’s price an estimated $283.6 billion – forgoes a money wage for his position as CEO, and he will get paid in Tesla inventory awards as a substitute.

In the meantime, he beforehand revealed on Twitter he would pay greater than $11 billion in taxes in 2021 as a result of he can be exercising inventory choices which had been as a result of expire.

Bob Lord – an affiliate fellow on the Institute for Coverage Research who research tax coverage – famous there can be a tax profit for him probably donating Tesla sock, as shares donated to charity aren’t topic to the identical capital positive factors tax than in the event that they had been offered.

Lord mentioned: “His tax profit can be big. He’d save between 40 per cent and 50 per cent of the $5.7 billion in tax, relying on whether or not he may take the deduction in opposition to his California earnings, and he’d keep away from the positive factors tax he must pay if he offered the inventory.”