Current News & Issues

New York HQ Fiasco and Amazon's $0 in Federal Taxes

Why should a large multi-billion dollar corporation pay no federal taxes and have the right to exploit workers for low pay, substandard healthcare and long hours? Not many people understand how they are being exploited by big business and have just as well accepted a form of modern day slavery.


"Why should corporations that contribute nothing to the pot be in a position to take billions from the public?"

A day after Amazon announced it was canceling plans to establish a new headquarters in New York City, critics pointed to a new report on the company's federal taxes for 2018 as more evidence that its exit was no loss for New York.

The Institute on Taxation and Economic Policy (ITEP) on Friday released data showing that despite making more than $11 billion in profits in 2018, Amazon paid zero dollars in federal corporate taxes for the second year in a row. The company contributed nothing to public coffers thanks to President Donald Trump's tax plan that was passed into law in 2017 as well as tax credits for executive stock options.

The news follows Amazon's announcement that it was backing out of a deal in which New York State was to give the company nearly $3 billion in tax incentives if it went ahead with building a new headquarters in Long Island City, Queens. Democratic Gov. Andrew Cuomo and New York City Mayor Bill DeBlasio had offered the incentives during Amazon's 14-month nationwide search for a new home—denounced as a "race to the bottom" by critics.

American cities were pitted against each other to see which government would offer the company—run by the world's richest man—the biggest savings.


{{ message }}

{{ 'Comments are closed.' | trans }}