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Elon Musk’s $11 billion tax bill: biggest in history

Elon Musk said he will pay $11 billion in taxes, responding to comments made by Sen. Elizabeth Warren

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Tesla CEO Elon Musk speaks before unveiling the Model Y in Hawthorne, Calif., on March 14, 2019.

Tesla CEO Elon Musk speaks before unveiling the Model Y at the company’s design studio in Hawthorne, Calif. Musk is asking on Twitter whether he should sell 10% of his stock in the electric-vehicle company amid pressure in Washington to increase taxes on billionaires like him.

Jae C. Hong, Associated Press

On Sunday, Elon Musk took to Twitter to clarify how much he paid in taxes.

It was in response to Massachusetts Sen. Elizabeth Warren, who questioned Time magazine’s choice for Person of the Year.

“Let’s change the rigged tax code so The Person of the Year will actually pay taxes and stop freeloading off everyone else,” she tweeted.

To this, Musk replied, “and if you opened your eyes for 2 seconds, you would realize I will pay more taxes than any American in history this year.”

Finally, on Sunday, he revealed the big amount on Twitter— “For those wondering, I will pay over $11 billion in taxes this year,” Musk tweeted.

According to Bloomberg, the billionaire may face a tax bill of more than $10 billion for 2021 if he exercises his options, which are due to expire next year. Musk exercised 15 million options and sold millions of shares to cover taxes related to those transactions.

  • Last month, he even asked his followers if he should sell 10% of his stake in Tesla. Since his tweet, the company's market value has slid back to $937, below the $1 trillion mark it managed to hit.

According to Fox News, if Musk’s tweet is factually correct, then his bill is larger than the gross domestic products (or GDPs) of Burundi, South Sudan, Somalia and Mozambique.