Joe Biden Thinks Amazon Isn't Paying Enough Taxes. Amazon Thinks It Is. What's The Real Story?

Joe Biden took to Twitter Thursday to join various other Democrats who have outed Amazon in light of reports that the company paid no federal taxes in 2018.

“No company pulling in billions of dollars of profits should pay a lower tax rate than firefighters and teachers,” Biden continued.

It allowed corporations to expense their capital expenditures in order to encourage investment and innovation and to create jobs.

“Because we are in a low-margin industry and invest in innovation and infrastructure, we don’t make as much pretax profit as other tech companies, so our taxes are lower,” Amazon said in a statement.

In 2018, Amazon paid $1.2 billion in taxes, but these could have been local, state, or international income levies.

Bottom line: The real argument is whether tax loopholes to spur job growth and investment are worth sacrificing the federal tax money a straightforward rate could offer.

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