blumenko

Stock buybacks come from profits which are taxed, and those who sell the shares back to the company also have to pay capital gains tax. And S corp income is taxed at personal income rates, not capital gains rates (except for some ridiculous 20% rebates in some situations in the new tax law (but is still higher than capital gains)).

Just to be clear, Netflix has been profitable every year since 2008, so it is not using deferred losses. I also would like to know how it did it.