Friday, April 23, 2021
Protect Your Immune System Today!
Home Americas Jeff Bezos comes out in support of increased corporate taxes

Jeff Bezos comes out in support of increased corporate taxes

Amazon (AMZN) CEO Jeff Bezos said in a statement Tuesday that the company is “supportive of a rise in the corporate tax rate.”

“We support the Biden Administration’s focus on making bold investments in American infrastructure,” Bezos said. “Both Democrats and Republicans have supported infrastructure in the past, and it’s the right time to work together to make this happen. We recognize this investment will require concessions from all sides — both on the specifics of what’s included as well as how it gets paid for.”

In 2019, the then-former Vice President Joe Biden called out Amazon for its history of using tax credits and deductions to reduce its corporate income tax bill. The company fired back, saying, “we pay every penny we owe,” and that it had paid $2.6 billion in corporate taxes since 2016.
And again last year, then-Presidential candidate Biden said Amazon should “start paying their taxes,” as part of a broader critique of large, successful businesses. Amazon has repeatedly said that it follows all applicable tax laws.
The company also recently sparred with Sen. Elizabeth Warren, who has advocated for raising taxes on big corporations. Last month Warren said in a tweet: “Giant corporations like Amazon report huge profits to their shareholders — but they exploit loopholes and tax havens to pay close to nothing in taxes. That’s just not right.”
Amazon responded to her, saying: “You make the tax laws @SenWarren; we just follow them. If you don’t like the laws you’ve created, by all means, change them. Here are the facts: Amazon has paid billions of dollars in corporate taxes over the past few years alone.”
For the 2017 and 2018 tax years, Amazon’s financial filings showed that it expected to receive money back from the federal government, not that it owed money in income tax. For the 2019 tax year, Amazon said it owed more than $1 billion in federal income tax, a figure experts said amounted to little more than 1% of its profits.
In 2020, Amazon paid $1.7 billion in federal taxes, the company said in its response to Warren. Its net income for the year was $21.3 billion.

While it has already drawn some criticism, the Biden administration’s infrastructure plan may be compelling enough to convince more corporate leaders to sign on in support of hiking business taxes.

Bezos said in his statement: “We look forward to Congress and the Administration coming together to find the right, balanced solution that maintains or enhances U.S. competitiveness.”

And he’s not alone. Rick Rieder, chief investment officer of global fixed income for BlackRock, the world’s largest asset manager, said rolling back Trump-era corporate tax cuts won’t hurt the economy — and could actually be positive for growth.
Rieder told CNN Business last month that he thinks the US economy can “definitely” withstand higher corporate taxes, and suggested that raising the corporate rate could help ensure that economic gains are distributed more evenly among corporations and workers.

“The US economy is amazingly resilient,” he said, “and in fact will perform well when you get some of this income redistribution and consumption at an easier and a better place, particularly for lower and middle income.”

–CNN’s Brian Fung and Matt Egan contributed to this report





Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -

Most Popular

Derek Chauvin: Guilty verdict is why sports stars won’t ‘shut up and dribble’

The sports world has been taking a standMembers of the Los Angeles Lakers and the Miami Heat kneel during the National Anthem...

Florentino Perez insists Super League isn’t canceled, only on ‘standby’

Speaking to Spanish radio station El Larguero on Wednesday night, the 74-year-old insisted the other clubs "haven't left" the project and they would...

Huge superyacht squeezes down narrow Dutch canals

(CNN) — It's not every day you see a gigantic superyacht weaving through the narrow canals of the Netherlands.Thankfully photographer Tom van Oossanen...

Protests and demonstrations banned at 2020 Tokyo Olympics as Rule 50 upheld

In a statement released on Wednesday, the IOC said it had come to the decision to continue with the Rule 50 ban after...

Recent Comments