Biden Whines About Amazon’s Tax Rate - Amazon Shreds Biden With Facts
2020 Democrat's attempt to criticize retail giant's taxes backfires
Democratic 2020 hopeful Joe Biden was publically schooled after he attempted to criticize Amazon's low tax rate on Twitter.
The online retail giant responded to the former vice president by shredding him with cold hard facts after he suggested they were given preferential treatment over "firefighters and teachers."
Biden attempted to contrast the tax rate paid by Amazon with the tax rates paid by everyday workers.
"I have nothing against Amazon, but no company pulling in billions of dollars of profits should pay a lower tax rate than firefighters and teachers," Biden declared.
"We need to reward work, not just wealth."
I have nothing against Amazon, but no company pulling in billions of dollars of profits should pay a lower tax rate than firefighters and teachers. We need to reward work, not just wealth. https://t.co/R6xaN3vXGT— Joe Biden (@JoeBiden) June 13, 2019
Biden's attempt to score political points from how little Amazon pays in taxes quickly backfired when the company fired back with the facts to kill his narrative.
The Jeff Bezos-owned company did not appreciate being singled out in Biden's tweet and whoever runs the Amazon News Twitter account felt led to correct the record.
"We've paid $2.6B in corporate taxes since 2016. We pay every penny we owe," read a tweet by Amazon News.
"Congress designed tax laws to encourage companies to reinvest in the American economy. We have.
"$200B in investments since 2011 & 300K US jobs.
"Assume VP Biden's complaint is w/ the tax code, not Amazon."
We’ve paid $2.6B in corporate taxes since 2016. We pay every penny we owe. Congress designed tax laws to encourage companies to reinvest in the American economy. We have. $200B in investments since 2011 & 300K US jobs. Assume VP Biden’s complaint is w/ the tax code, not Amazon. https://t.co/uPUv1Tzlma— Amazon News (@amazonnews) June 13, 2019
Biden's original comment was a response to an article by the New York Times, titled "Profitable Giants Like Amazon Pay $0 in Corporate Taxes. Some Voters Are Sick of It."
The NYT article paints Amazon as one of the primary tax-avoiding Fortune 500 companies and points to President Donald Trump's tax reform law as a big reason why that's possible.
From the Times:
It's a topic that several presidential candidates, led by Senators Bernie Sanders and Elizabeth Warren, have hammered recently as they travel the campaign trail, spurred by a report that 60 Fortune 500 companies paid no federal taxes on $79 billion in corporate income last year.
Amazon, which is reported to be opening a center in an abandoned Akron mall that will employ 500 people, has become the poster child for corporate tax avoidance; last year it had an effective tax rate of below zero — receiving a rebate — on income of $10.8 billion.
For decades, profitable companies have been able to avoid corporate taxes.
But the list of those paying zero roughly doubled last year as a result of provisions in President Trump's 2017 tax bill that expanded corporate tax breaks and reduced the tax rate on corporate income.
Earlier this year, Biden's fellow Democrat, Rep. Alexandria Ocasio-Cortez (D-NY) was widely panned for comments she made about Amazon's taxes.
Ocaso-Cortez's anti-Amazon rhetoric was considered one of the main factors for the company withdrawing plans to open its new headquarters in New York.
To entice the firm, NY offered Amazon tax incentives as the deal would have created over 25,000 jobs and plowed nearly $30 billion in tax revenues to the state.
AOC celebrated when Amazon pulled out of the deal, claiming in an interview that New York was now, somehow, free to spend Amazon's tax discount on other things.