Core Insights - SpaceX has heavily relied on billions of dollars in contracts from the U.S. federal government since its inception, yet it may have paid little to no federal income tax over the years [1] - Internal documents indicate that as of the end of 2021, SpaceX was utilizing over $5 billion in accumulated losses to offset future taxable income through the Net Operating Loss carryforward [1] - The tax reform initiated by Trump in 2017 removed the expiration limit on NOLs, allowing SpaceX to indefinitely offset approximately $3 billion in losses against future profits [1] Government Contracts and Revenue - SpaceX collaborates closely with NASA, the Pentagon, and other government agencies, handling national security and space transportation tasks [1] - Federal contracts contributed approximately 84% of SpaceX's revenue in 2020 [1] - Over the past few years, SpaceX has secured hundreds of government contracts, including missions to deliver cargo to the International Space Station and reconnaissance satellites [1] Comparison with Other Tech Companies - While large tech companies also utilize similar tax benefits, they still pay billions in federal income tax annually [1] - For instance, Microsoft paid $14.1 billion in federal income tax in the last fiscal year [1] - The Executive Director of the Project on Government Oversight, Danielle Brian, expressed concern that the use of tax benefits by SpaceX seems inappropriate given its strong operational performance [1]