Meta classifies AI data centers as experiments to claim tax credits
Understand the story
According to an October 2026 report by The Decoder, Meta classified its AI data centers as "experimental models" and listed Nvidia chips as experimental materials in order to claim the federal R&D tax credit. This strategy saved Meta $3.9 billion in taxes in 2025, up from the previously reported $2 billion in 2024 and $700 million in 2023, rising rapidly year over year. The report noted that with this scale of credit, Meta has become the largest beneficiary of the federal R&D tax credit among public companies. The matter is currently at the disclosure stage, with no follow-up reports of regulatory responses or Meta responses.
AI overview of reporting · Updated 17 days ago
Reporting timeline
Explore different aspects of the story through its reporting.
- The DecoderSelectedMeta dodges billions in US taxes by calling its AI data centers experiments
Meta classified its AI data centers as "experimental models" and its Nvidia chips as experimental materials, using the federal R&D tax credit to save $3.9 billion in 2025, up from $2 billion the prior year and $700 million in 2023, making it the largest beneficiary of the credit among public companies.