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Cool, he got paid and all, but keep in mind that's $22M of yours and my tax money.

EDIT: Nevermind, I did not read the article before commenting. My mistake.

Isn't it from the settlement money?

Yep. I'm already sour against the IRS from just doing some tax calculations, saw the article title, and didn't even read the article before commenting! Edited my comment.

Interestingly the settlement money still does a bit affect our taxes still.

Monsanto makes $80 million less in revenue this year due to the settlement. ~$80 mill less profit ~= $20 mill fewer taxes.

Correct me if I'm wrong, but they don't make $80M less, they just lose $80M from the amount they have made in the past (already taxed)

This would be counted as a loss for this years tax purposes. So they will pay fewer taxes this year.

Settlements that are classified as penalties are generally not tax deductible. Settlements that are classified as remedial/restorative generally are.

This was no doubt a topic of discussion and planning before the settlement was entered into. The article repeatedly refers to it as a "penalty", but it's unclear if that's colloquial or specifically informed language.

I doubt Monsanto pays an effective tax rate anywhere close to 20%. Further the people who receive the settlement pay taxes on it thus the taxpayer is likely better of.

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