Amazon Inc. Paid Zero in Federal Taxes in 2017, Gets $789 Million Windfall from New Tax Law

[Suppressed]

Amazon Inc. Paid Zero in Federal Taxes in 2017, Gets $789 Million Windfall from New Tax Law
February 13, 2018
https://itep.org/amazon-inc-paid-zero-in-federal-taxes-in-2017-gets-789-million-windfall-from-new-tax-law/

From a decades-long strategy of exploiting state sales tax loopholes to its ongoing “HQ2” sweepstakes, Amazon’s leaders have rarely turned down a chance to use the tax system as the source of their competitive advantage.

The online retail giant has built its business model on tax avoidance, and its latest financial filing makes it clear that Amazon continues to be insulated from the nation’s tax system. In 2017, Amazon reported $5.6 billion of U.S. profits and didn’t pay a dime of federal income taxes on it. The company’s financial statement suggests that various tax credits and tax breaks for executive stock options are responsible for zeroing out the company’s tax this year.

The company’s zero percent rate in 2017 reflects a longer term trend. During the previous five years, Amazon reported U.S. profits of $8.2 billion and paid an effective federal income tax rate of just 11.4 percent. This means the company was able to shelter more than two-thirds of its profits from tax during that five year period.

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[Oceander]

“Various tax credits” - how much of that was for foreign tax credits, which is how the US avoids double taxation. 

This is a more than disingenuous article. 

[Applewood]

My browser won't open the link.  Doesn't trust the website. 

Is this some crank site with an axe to grind with Amazon? Seems there are quite a few people and entities out there with some sort of hatred (or is it envy) for this company and are out to destroy it.

[Frank Cannon]

Eh, Amazon pays taxes. I am charged applicable sales taxes every time I buy something there. Ebay....not so much.

[jmyrlefuller]

My browser won't open the link.  Doesn't trust the website. 

Is this some crank site with an axe to grind with Amazon? Seems there are quite a few people and entities out there with some sort of hatred (or is it envy) for this company and are out to destroy it.

They seem to be left-leaning and in favor of higher corporate taxes.

[DB]

Ya! Demand consumers pay more for their stuff... It isn't fair otherwise...

[WingNot]

Bebe Bezos used the massive losses from the Wapo to offset his tax burden at Amazon.