Taiwan Semiconductor Manufacturing Co. pulls in $10.5 million more after taxes than before.
The odd result comes from the generous tax breaks and carryover credits many countries give to chipmakers that build facilities in those nations. "The cumulative effect of various tax credits, holidays and special deductions is that companies like TSMC and UMC can be highly profitable but pay virtually no taxes to the government year after year," Daryl Hatano of the Semiconductor Industry Association wrote in a report.