Amazon does not pay federal taxes on profits of $ 11.2 billion



Those who wonder how many Amazon zeros, which account for nearly $ 800 billion, must pay in federal taxes might be surprised to learn that their check at the IRS will say exactly $ 0.00.

According to a report released Wednesday by the Institute of Taxation and Economic Policy (ITEP), the giant of e-commerce / retail / technology / entertainment / everything will not have to pay a penny of federal taxes for the second year in a row .

This tax-free break comes even though Amazon has almost doubled its profits in the United States, from $ 5.6 billion to $ 11.2 billion between 2017 and 2018.

To top it off, Amazon actually announced a $ 129 million federal income tax refund in 2018, a tax rate of -1%.

Amazon's tax rates, ranging from Senator Bernie Sanders to President Donald Trump, have been deemed questionable.

But even if Trump had previously criticized Amazon for its limited taxes, only one presidential tweet the company's shares fell by 9% – The site notes that its non-existent federal tax is the result of tax cuts favorable to companies of the Trump administration. The think tank writes that the 2017 Tax Reduction and Reduction Act not only lowered corporate tax rates from 35% to 21%, but that it Nor has it eliminated "many tax loopholes allowing profitable businesses to systematically avoid paying federal and state taxes on nearly half of their profits." "

according to The weekAmazon ended up paying a federal tax rate of 11.4% between 2011 and 2016, which contrasts with the -1% rate recorded this year.

Amazon has always avoided various sales taxes and made headlines last summer after successfully convincing Seattle Mayor Jenny Durkan to abolish a tax that would have helped the homeless population from the city.

In addition, New Yorkers have made waves after learning about the significant tax cuts that would benefit Amazon if she built a head office in Long Island City.

Due to public and political controversies, Amazon canceled Thursday its plans for expansion in New York.


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