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Tesla VP of Finance corrects critic who claims that TSLA pays no taxes

Credit: Tesla

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Tesla Vice President of Finance Sendil Palani recently addressed claims from former secretary of labor and UC Berkeley Professor Robert Reich about the electric vehicle maker’s federal tax payments. 

Reich was alleging in a post on X that some big companies and the rich are getting away with fraud by not paying federal taxes.

Tesla criticism:

  • Being a company led by the ever-polarizing Elon Musk, Tesla has been subjected to a notable amount of criticism.
  • Among the biggest critics of Tesla is Reich, who has traded barbs with Musk several times on social media.
  • In August last year, Reich penned an article in The Guardian outlining a strategy to “rein in” Elon Musk.
  • These strategies include a boycott of Tesla, a boycott of X, and regulators around the world threatening Musk with arrest.
  • In a recent post, Reich noted that Tesla earned $2.3 billion in the United States in 2024, but the company paid $0 in federal taxes.
  • “You want waste and fraud? Look at what some big corporations and the rich are getting away with,” Reich wrote in his post.

Tesla VP Response:

  • In his response, the Tesla Vice President explained to the UC Berkeley Professor that Tesla fully complies with all tax regulations in all of the regions of the world in which the company operates.
  • Palani also noted that if one were to look at Tesla’s 10-K, one could see the company’s operating loss carry-forwards, which resulted from the long period when Tesla was unprofitable.
  • Following is the Tesla VP of Finance’s full response:
  • “Professor, Respectfully, Tesla’s income taxes are not an example of fraud. Tesla complies with all tax regulations in all of the regions of the world in which we operate.
  • “Details about 2024 Income Taxes were disclosed to last month in our 10-K. Notably – we outline our net operating loss carry-forwards, which result from the fact that Tesla has been unprofitable for the significant majority of its 20+ year history.
  • “This has been a very, very difficult business to build. Looking at any one recent year in isolation, therefore, will not provide the full picture,” Palani wrote in his response.

Elon Musk’s take: 

  • In a separate post, Tesla CEO Elon Musk also noted that Tesla’s losses were high for many years, so the company’s carry forward is notable.
  • Musk also noted that the supermajority of Tesla’s profit is from production and sales overseas.
  • That being said, Musk clarified that he believes tax reform is needed.

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla’s newest feature lets you floor it out of a Supercharger while plugged in

Tesla’s new Emergency Drive Away feature lets owners flee a Supercharger while still plugged in.

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Tesla has given drivers a way to escape while a vehicle is plugged-in at a Supercharger, in the event of an emergency. The company’s charging team announced a new feature on X called Emergency Drive Away, which lets a driver shift into Drive and pull away while the charging cable is still connected to the car.

Until now, a Tesla would not leave Park with a charge cable plugged in. Drivers had to release the latch from the touchscreen, the Tesla app, or the button on the charge handle, then wait for the port to let go. Emergency Drive Away removes that lockout, but Tesla is clear that it comes at a cost. “Use of this feature will damage your vehicle and the Supercharger,” the company wrote, adding that the function is meant for emergencies only and that deliberate misuse will lead to “additional penalties.” Tesla did not say what those penalties are.


The in-car prompt is just as direct, with the warning reading: “Driving with the cable connected will cause damage to your vehicle and the Supercharger. Short camera recordings will be shared with Tesla.” That footage gives Tesla a way to separate a real emergency from someone who simply did not want to wait for the latch.

The feature requires software update 2026.38.3, and Tesla said in replies to owners that it works at every Supercharger in the United States without new stall hardware. Model S and Model X vehicles built before 2021 are not supported, and the company says the feature applies to U.S. Superchargers “for now,” leaving Canada and other markets out at launch.

Tesla Supercharger argument leads to tragic shooting incident

Tesla did not tie the announcement to any specific event, but it arrives two months after a gunman opened fire at an In-N-Out in Twin Falls, Idaho, on August 1, targeting three people in two Teslas at the neighboring Supercharger. One of them, a 66 year old man from Salt Lake City, was killed. Superchargers have been the scene of violence before, including a fatal shooting at a station near Denver in 2023.

In the weeks after Twin Falls, owners pushed Tesla for a native way to escape a stall, and many pointed back to EVject, the aftermarket breakaway connector Tesla sued in 2024 over claims it lacked overtemperature protection. The two companies later reached an agreement that led EVject to recall its earlier connectors in favor of a version with thermal sensors.

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Why Tesla Roadster unveiling delay might have nothing to do with it flying

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tesla roadster elon musk flying
Credit: Grok

Tesla announced on Monday that the Roadster event scheduled for today would be postponed due to the need for it to be held outside.

Less than 24 hours later, CEO Elon Musk broadened that by stating it was due to high winds, immediately sending everyone into a frenzy over the Roadster’s potential ability to fly.

And realistically, it could definitely have to do with it flying, hovering, or hopping; whatever Tesla has in mind for this demonstration could not be impacted by wind. However, it might have nothing to do with the vehicle flying whatsoever, and instead could be a simple precaution, as the Roadster is a very unique vehicle with some already official specs that are just mind-blowing.

Tesla will very, very likely be showcasing both the acceleration rate and potentially even a top speed demo at the event in Waco. Both of these demonstrations, performed with a vehicle that has such incredibly fast metrics, could easily be impacted by wind as well.

Tesla Roadster event requires restricted airspace, and the FAA obliges

Top Speed Demo

At high speeds, aerodynamic forces are already overwhelmingly present. A crosswind or sudden gust adds a layer of sideways force that the tires must counter with slip angle. On a short demo course, that force can shove the car off the intended line, especially in a light car with a low frontal area and little mass to resist the push.

Electric cars, due to their battery packs, have an advantage of an extremely low center of gravity, giving them extra stability. However, the speeds at which the Roadster could travel at the demo could spell some issues if crosswinds are present.

Gusts are worse than a steady wind because the load changes faster than a driver can smoothly correct. That shows up as weaving or a late correction. Headwinds and tailwinds can also spell disaster. Headwinds cut a measured top speed but raise the power needed to get there or maintain it. Meanwhile, a tailwind can inflate the top speed, and downforce issues could become more noticeable.

Wind also loads the body unevenly. A low car can feel light on the upwind side or see a sudden change in downforce if the gust hits a wing or diffuser at an angle. Tire temperature and pressure might stay near a normal level, but lateral grip can be lost as the vehicle is spent fighting the wind.

Acceleration Demo

Launch and 0-60 MPH runs are shorter, so the car spends less time exposed to forces that could cause things to go awry. However, the first second is very sensitive, as a crosswind at launch could yaw the car before speed builds and prior to aerodynamic impact being too great. The driver will be required to correct traction control or manage how much the wheels are spinning, which will likely be corrected automatically by some sort of traction control system within the Roadster (we are fairly certain Tesla will implement something brilliant with it).

These things could cause an unstable run.

A headwind would increase drag as speed rises, while a tailwind would do the opposite. Meanwhile, surface effects, like wind-driven dust, light debris, or even rain, could reduce grip at the exact moment the tires are asked for peak longitudinal force. Standing water plus a crosswind is a common reason an acceleration attempt might be scrapped.

Flying or Not

No matter what Tesla has in store for the Roadster, waiting for ideal conditions is a great idea. People who follow and support the company, along with the engineers involved in the Roadster program, have been waiting nine years since the last unveiling for this moment. Everything should be ideal.

Some speculate that it’s just not ready, and that’s ridiculous. Why would Tesla even schedule the event — albeit prematurely — after nine years if it was not ready? Why would they jump the gun now?

We were all excited for today, but it truly is the most ideal thing in the world to wait two more weeks so everything, including the weather, can be perfect. The delay is simply worth it. But Tesla, seriously, make this the last one.

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SpaceX nails “Lucky 13” astronaut launch, leaning into Tesla tradition and superstition

SpaceX launched Crew-13 astronauts to the ISS Thursday, setting up a record fast Dragon docking.

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Crew Dragon sits atop Falcon 9 at sunrise on Cape Canaveral's pad 40, less than a day before four astronauts are set to launch to the ISS. (Credit: SpaceX)

SpaceX launched NASA’s Crew-13 mission to the International Space Station on Thursday morning, getting four astronauts to orbit despite a forecast of thunderstorms and gusty winds that had threatened to push the flight to Friday.

Falcon 9 lifted off from Space Launch Complex 40 at Cape Canaveral Space Force Station at 11:10 a.m. ET carrying Dragon Grace, NASA confirmed. On board are NASA commander Jessica Watkins, NASA pilot Luke Delaney, Canadian Space Agency astronaut Joshua Kutryk and Roscosmos cosmonaut Sergey Teteryatnikov. The first stage booster, B1101, landed at Landing Zone 40 beside the pad on its third flight after previously supporting Crew-12 and a Starlink mission.

It was the first spaceflight for Delaney, Kutryk and Teteryatnikov. Watkins, who flew on Crew-4 in 2022, became the first NASA astronaut to launch aboard a Crew Dragon twice.

Before launch, the crew rode to the pad in Teslas, a tradition on NASA’s SpaceX crew flights since 2020. This time the cars carried specialty plates reading “Lucky 13.” Watkins said the mission patch leans into the number on purpose, as a nod to Apollo 13 and the resilience of that crew.

Grace is now on a short trip to the station. Docking at the forward port of the Harmony module is scheduled for about 7 p.m. ET, roughly 7 hours and 50 minutes after liftoff, which Space.com notes would be the fastest Crew Dragon transit to the ISS yet. Most Dragon flights take around 15 to 24 hours to catch the station. Hatch opening is planned for 8:25 p.m. ET.

The launch came more than two weeks later than originally planned. An oxidizer leak was found in Grace’s propulsion system in August, and NASA and SpaceX added time for tests. That pushed back the return of Crew-12, which has been aboard the station since February and is now set to splash down off Southern California next week. Crew-13 is expected to stay about six months.

SpaceX rescue mission for stranded ISS astronauts nears end — Here’s when they’ll return home

SpaceX already holds NASA orders for crew rotations through Crew-17, while Boeing is preparing an uncrewed Starliner flight to the station as early as December.

Crew-13 was only the first of three SpaceX launches planned for Thursday, as Teslarati previewed on Wednesday. A Falcon 9 launched its Transporter-18 mission from California today, where Google will be launching its first orbital artificial intelligence (AI) test satellite. Meanwhile, Falcon Heavy is set to launch the classified NROL-97 mission for the National Reconnaissance Office from Launch Complex 39A at 11:53 p.m. ET. Its two side boosters will return to Landing Zones 1 and 2, which means Central Florida could hear up to three sonic booms in a single day. The busy stretch follows Starship’s Flight 14 on Monday, which reached orbit for the first time.

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