Amazon in Its Prime: Doubles Profits, Pays $0 in Federal Income Taxes

The company’s newest corporate filing reveals that, far from paying the statutory 21 percent income tax rate on its U.S. income in 2018, Amazon reported a federal income tax rebate of $129 million. Last year, the company paid no federal corporate income taxes on $5.6 billion in U.S. income. It’s too soon to know whether this new revelation, following hard on the heels of Netflix’s similar announcement last week, means that the floodgates have opened for a wave of Fortune 500 corporate tax avoidance: we’ll have a better sense of that a month from now, when most big multinationals will have released their financial reports for 2018, the first full year of the new Trump corporate tax law.

Source: itep.org