NEW: Last year, Zoom saw its profits increase by more than 4,000%. The company's federal income taxes? $0.
How? The platform appears to be using the same recipe as well-known corporate tax avoiders Amazon and Netflix.
@gardmaf
explains.
True: Amazon’s effective corporate tax rate over the three-year period 2017-2019 was 0%.
In 2019, the company paid $162M or 1.2%, a far cry from 21% statutory rate. Its release at the time focused mostly on taxes it did *not* pay and taxes it collected on behalf of *others.*
.
@SenSanders
Not true. Last year we paid $5B in taxes, while providing paid sick-leave & comprehensive benefits for all full-time workers starting on their 1st day. All Amazon employees make at least $15/hr – 2x the fed min wage, & we created 175k+ new jobs since pandemic began.
The new millionaire's tax in Massachusetts is already surpassing expectations.
The state now estimates the tax will generate over $1.5 billion this fiscal year.
That money will help fund free meals in public schools, transportation projects, and more.
Sen. Whitehouse concluded his opening remarks by making this clear: "If you care about debt and deficits, you should want a well-funded, well-functioning IRS."
The ultra-wealthy and large corporations cannot be allowed to continue evading taxes.
LIVE:
@SenateBudget
examines how recent IRS funding has enabled the agency to crack down on
#WealthyTaxCheats
, decreasing the deficit and making our system fairer.
It’s audacious to publicize an agenda to weaken SS and Medicare and increase taxes on half of Americans and then blame the opposing party for the harm your plan will do ordinary people.
Our analysis of the tax provisions:
"It's in the plan! It's in the plan. But Senator, hang on, it's not a Democratic talking point. It's in the plan" -- even Fox News's John Roberts can't believe it when Rick Scott lies about his own policy plan, which calls for a tax increase on a majority of Americans
Corporate income taxes now cover just 10% of federal revenue, down from more than 30% in the 1950s.
Nearly 2/3 of tax cuts passed since 2000 went to the wealthiest 20%.
@amyhanauer
lays out a better path forward here.
Counting on the benevolence of billionaires is no substitute for good tax policy.
Billionaire benevolence will not ensure paid sick leave, broaden access to child care, make education or jobs training more accessible, mitigate climate change, strengthen our infrastructure, etc.
Congress achieved a remarkable feat by cutting child poverty by half in 2021 with the Child Tax Credit expansion. There is no reason that this proven and effective policy should become a thing of the past.
Census announces SPM child poverty rate of 12.4% in 2022. Context: from 1967 to 2021, the largest year-over-year increase in SPM child poverty rate was 10.7% (or 2.1 pp, 1980-1981). We now easily have a record increase in child poverty: a 139% increase (or 7.2 pp) from 2021-2022.
"Low-tax" states usually have low taxes for just the rich
"Florida, Tennessee and Texas, which are often deemed as low-tax states because of the absence of personal income taxes, can paradoxically prove more expensive for low- to middle-class families."
A ticket on Jeff Bezos’s space flight went for $29.7 million. It would take someone making the current minimum wage nearly 2,000 years to gross that amount. It would take a billionaire like Mark Zuckerberg less than two days.
#TaxTheRich
AT&T's Tax Rate for Past 8 Years: 8.1%
Boeing's Tax Rate for Past 8 Years: 5.4%
The idea that a new lower tax rate is really driving their recent PR stunts is nonsense.
🚨 BREAKING 🚨 New ITEP report identifies 91 profitable Fortune 500 companies that paid $0.00 in federal income taxes on U.S. income in 2018, the first year of the Trump-GOP tax law.
#notadime
On average, the lowest-income 20% of taxpayers face a state and local tax rate nearly 60% higher than the top 1% of households.
In 41 states, high-income families are taxed at lower rates than everyone else.
Netflix posted a record $5.3 BILLION in profits in 2021.
Yet it reported an effective federal corporate income tax rate of just 1.1%.
The company avoided more than $1 billion in taxes in 2021 alone.
When we say our tax system is rigged for corporations, this is what we mean.
In light of the recent report that found the Walton family fortune grows by $70,000 a minute, $4 million per hour and $100 million per day, now is as good a time as any to make a reasoned, well-researched case for a wealth tax.
44 state tax systems worsen income inequality.
When the lowest-income households pay the greatest share of their income in state and local taxes, gaps between the wealthy and everyone else grow larger.
Learn more about your state's ranking here:
If you paid a dime in federal income tax in 2018, you paid more than these 60 companies combined.
#notadime
New Report: 60 corporations paid $0 in federal income tax in 2018 on $79 billion in profits and collectively received $4.3 billion in rebates
The IRS did not audit 300 high-income households “who together cost the agency $10 billion over a three-year period when they failed to even file returns.”
We’ll say it again: Inadequate IRS funding benefits the wealthy and powerful.
Amazon Tries to Change the Subject by Listing Taxes It Does Not Really Pay, h/t
@gardmaf
| Jan. 2020
Congratulating an employer for collecting the payroll tax is like congratulating yourself for breathing.
The amount of tax money owed but not paid to the IRS continues to grow.
The IRS now estimates the tax gap in 2021 soared to $688 billion.
Properly funding the IRS remains crucial.
Meanwhile, income inequality is at its worse in more than half a century. This year alone, America's richest 20 percent will walk away with more than 70% of the benefits from the 2017 tax law.
NEW REPORT: No two state tax systems are the same, but 45 states have one thing in common: Low-income residents are taxed at a higher rate than the top 1 percent. Our latest report shows
#WhoPays
in all 50 states + D.C.
We've documented how a tax on stock buybacks would make sure income transferred from corporations to wealthy shareholders doesn't continue to escape taxation.
And as
@NicholsUprising
writes, this is "an important step in the right direction."
The vast majority of state and local tax systems are upside-down, with the wealthy paying a far lesser share of their income in taxes than low- and middle-income families.
Our latest edition of Who Pays? examines the tax systems in all 50 states and D.C.
After releasing its first-quarter earnings report, Amazon CEO Jeff Bezos stated this is “the hardest time” the company has ever faced. 🤔 A bit of perspective is in order: $3.3 billion in profits and a 26% increase in sales in Q1 2020, and a three-year effective tax rate of 0%.
Why a billionaire’s tax makes sense:
400 billionaires paid a paltry 8.2% federal tax rate from 2010-18.
Billionaire wealth grew by $1.7 trillion during the pandemic.
Bezos and Musk paid $0 fed income taxes in at least one year this past decade.
Vast economic inequality.
Scoop: Biden's budget on Monday to propose "Billionaire Minimum Income Tax"
1st time WH has so directly targeted billionaire wealth
Would create minimum 20% rate on income above $100M
400 billionaire families paid *8.2% federal rate* from 2010-18
The richest 0.1% of Americans now hold nearly as much wealth as the bottom 90% of families combined.
The Ultra-Millionaire Tax Act aims to make the ultra-wealthy pay their fair share in taxes on their wealth the same way most people do on work.
Yesterday, Not One Penny released a new report showing that there is no evidence that tax breaks for the wealthy are causing companies to change behavior toward their employees or consumers in any meaningful way.
Just 25 companies received $37B+ in tax subsidies under the first year of the Trump-GOP tax law--with corporations in the financial industry claiming the largest subsidies.
#Davos
💰 Bank of America $5.6B
💰 JP Morgan Chase $3.7B
💰 Wells Fargo $3.2B
Corporations are paying considerably less than the federal corporate income tax rate.
55 corporations paid less than 5% from 2018-2022.
The low effective corporate tax rates found in our latest study show the need for substantial tax reform.
Why do we see tax and other policies enacted that benefit the wealthiest in this country? Because many elected officials are beholden to wealthy donors. The wealthy long have had an outsized influence in our democracy.
BREAKING: New analysis finds that America's 661 billionaires pumped $1,200,000,000 into the 2020 elections.
That's double what they contributed in 2016, and 39x more than they contributed before Citizens United was decided.
It's been 12 years. It's time to
#EndCitizensUnited
.
Elon Musk is trolling us all with his Twitter poll on whether he should sell stock and pay taxes. He likely has to do so regardless.
Don’t allow billionaires to change the narrative and pretend they are doing us a favor when they pay taxes.
91 profitable Fortune 500 companies paid $0.00 in federal income taxes on U.S. income in 2018, the first year of the Trump-GOP tax law.
📢📢📢 Our nation's ability to fund critical priorities is a tax policy issue.
The richest 20% of the population starts at about $138,000 as of 2023. The cutoff for the richest 5% is $298,000.
They can call themselves what they want, but point is that they are richer than most of the country and can afford to pay more.
In America, the median annual wage is $48,000.
If you make $400,000 A YEAR & yet tell the Wall Street Journal that you don’t think you are rich and insist that you are persecuted — your problem isn’t politics, your problem is that you’re totally out of touch with reality.
ProPublica investigations recently found Musk, Bezos and other billionaires paid $0 in taxes in some years. Tech mogul Peter Thiel funneled billions into a Roth IRA to dodge taxes. And now this. We need to unrig the system and
#RewardWorkNotWealth
Amazon’s effective corporate tax rate from 2017 to 2019 was 0%. *ZERO PERCENT* We are not powerless against corporate power. Tax policy can make a difference.
The bottom 20% of households would see the biggest benefit from $2,000 cash payments proposed in the CASH Act, boosting average incomes by 29%.
via
@YahooFinance
@denitsa_tsekova
NEW: Amazon reported record U.S. profits of more than $35 billion last year.
The company avoided about $5.2 billion in corporate federal income taxes.
Over the past 4 years, Amazon has avoided $12.5 billion in federal income taxes.
As
@amyhanauer
notes in this morning's
@SenateBudget
hearing, the poorest 20% of Americans paid 8.4% of their income toward taxes for Social Security and Medicare combined in 2022, while the richest 1% paid just 2.3 percent of their income.
State voucher tax credits are among the most significant tools eroding the public education system & propping up private schools.
In the states we examined - including Arizona - most of the credits are being claimed by families with incomes over $200,000.
“Florida Policy Institute, which studied the Arizona program, projects at least a staggering $4 billion in its first year.”
@washingtonpost
@LizetteScribe
“The expiration of the expanded tax credits resulted in more than three million kids being thrown into poverty. New data shows it also resulted in a massive regressive tax increase on the working class.”
The top 10% of U.S. corporations now control 95% of profits.
And the most profitable corporations continue to use their tax advantages to focus on paying out shareholders.
Read more from
@rooseveltinst
here.
The 10 most regressive state and local tax systems, according to our Tax Inequality Index:
1. Florida
2. Washington
3. Tennessee
4. Pennsylvania
5. Nevada
6. South Dakota
7. Texas
8. Illinois
9. Arkansas
10. Louisiana
Full details here:
There's no justification to scale back the tax reforms in Build Back Better. The president and his party face many crises today, but watering down proposals requiring corporations and the rich to pay their fair share is no solution to any of them.
Florida has the third most regressive state and local tax system in the country. The governor recently moved forward with $543M in tax breaks for the largest 1% of corporations, even as the state's deliberate disinvestment in the unemployment system comes under scrutiny.
Florida has a budget crisis and is looking to plug holes.
But teacher raises should be off the table.
So should raiding the affordable-housing trust fund.
The first thing the state needs to do is stop offering tax giveaways to out-of-state corporations.
Precisely.
Across all states on average, the lowest-income 20 percent pay an average effective tax rate of 11.4%--which is 50 percent higher than the 7.4 % average effective rate paid by the top 1 percent.
In Illinois, low-income households pay 14 cents in state and local taxes from every dollar of income. High- income households pay just 7 cents.
That’s highly regressive, but not unique. State and local taxation is regressive in 45 of the 50 states.
President Biden mentions the 55 corporations that paid $0 in taxes. These companies collectively avoided about $8.5 billion in taxes.
It's long overdue for a tax code that demands corporations pay their fair share.
The 55 corporations that paid $0 in 2020 enjoyed a collective $40.5 billion in profits. All told, they avoided about $8.5 billion in taxes. Corporate tax reform requires increasing the tax rate and closing loopholes that make $0 in taxes on billions in profits possible.
Amazon's newest corporate filing reveals that the company nearly doubled its profits to $11.2 billion in 2018 and, once again, didn’t pay a single cent of federal income taxes.
If economics is the dismal science, then the economics of taxation is particularly hopeless. Enter Emmanuel Saez &
@gabriel_zucman
, who in their new book tell us to stop acting like we are paralyzed when it comes to tax policy. There are solutions.
"In paying so little, and doing so at least in part legally, Trump makes the case for all of these changes.” It’s time to fix the tax code, writes
@AnnieLowrey
"ProPublica ... identified at least 18 billionaires who received stimulus payments, which were funded by U.S. taxpayers, in the spring of 2020. Hundreds of other ultrawealthy taxpayers also got checks."
This disgrace is why we need real tax reform.
The wealthiest 1% of Americans are evading as much as $163 billion a year in taxes, according to a new Treasury Department report.
The analysis comes as the Biden administration pushes lawmakers to beef up the IRS's enforcement efforts.
NEW: The push by Congressional Republicans to make the tax provisions in TCJA permanent would cost nearly $300 billion in the first year and deliver the bulk of the tax benefits to the wealthiest Americans.
Continued cuts to IRS funding have led to significant drops in audit rates on wealthy households and corporations.
@SenWhitehouse
calls it "Tax amnesty for the rich. Tax enforcement for the poor."
@SenateBudget
Taxing wealthy people and corporations and using the revenue for paid leave, child care, education, and health care would transform America—especially for women and families.
More from
@amyhanauer
here.
Studies have shown the millionaire tax flight is a myth. In fact, young college graduates and low-income residents cross state lines most frequently—state tax rates are not the crux of their decisions. h/t
@cristobalyoung5
Yep, 72% of benefits from the Trump-GOP tax law in 2020 are funneled to the richest 20 percent of taxpayers, and another $38 billion to foreign investors.
#DemDebate
Anyone who tells you that the rich are paying the bulk of the taxes in America is either misinformed or dishonest. It's time to end the debate about which Americans really pay taxes. h/t
@SteveWamhoff
Reminder: Disney will receive a tax cut of $1.2 billion annually from the Trump-GOP tax law, nearly 10 times the size of the bonuses they are paying out.
NEW from
@carlpdavis
: A tiny fraction of U.S households own a staggering amount of the nation's wealth.
Just 0.25% of American households have a net worth exceeding $30 million, yet these households account for 30% of total wealth.
Biden's COVID relief package includes a significant expansion of the Child Tax Credit—a move that would reach more than 83 million children, give the biggest boost to low-income families and dramatically reduce child poverty.
The argument for TCJA was that allowing companies to keep a greater share of profits would stimulate investments in growth. Instead, in the first 4 years after TCJA took effect, corporations collectively spent more on stock buybacks than on investments back into their companies.
New Treasury data confirm corporate tax collections fell 31% in 2018 and continue to fall in 2019. This should worry anyone who wants the government to function.
Too many states take a greater share of income from low- & middle-income families than from the wealthy.
But it doesn't have to be this way.
On
#TaxDay
, we're showing how tax systems widen inequality across the country and looking at better ways forward.
While the tax maneuvers taken by Trump and his family are deeply disturbing and extreme, they are not unique. This 2017 report details the many breaks and loopholes for wealthy real estate investors and what a true tax reform would do to close them.
#tbt
Since 1999, average income fell for the bottom 40% and barely budged for the middle, yet the national conversation is focused on the size of tax cuts for the rich?
By abolishing the federal tax system and imposing a 30% federal sales tax on everything we buy, the “Fair Tax” would really cut taxes for the rich and raise them for everyone else.
After seeing record profits, Amazon managed to avoid paying a whopping $5.2 billion in federal taxes last year. Another case that underscores why Congress needs to fix loopholes that allow corporations to pay far less in taxes or sometimes nothing at all.
Bezos's support for an increased corporate tax rate isn't that surprising when you consider this: Amazon is the poster child for dodging taxes no matter the rate.
Over the past 10 yrs, Amazon's effective tax rate was just 4.7%—for most of that time, the legal rate was 35%.
When the federal government decided to invest in children in 2021, child poverty plummeted.
When they backed away from that decision, child poverty skyrocketed.
It's not a mystery as to how this happened. It's the direct result of policy choices.
Public investments paid for by our tax dollars—roads, public education, public safety, etc.—benefit everyone. But they benefit the wealthiest most. It's time for a federal
#WealthTax
.
Congress is renewing the debate on the SALT deduction cap, claiming it drives high-income individuals out of their states. We talked to
@PatrioticMills
@morris_pearl
about how the cap on SALT deductions affects his life in NY. Turns out, not a lot.
"Tax avoidance is not due to the economic crisis. The corporate income tax is a tax on corporate profits. It doesn’t affect companies that aren’t profiting. Closing special breaks and loopholes would not hurt businesses that are laid low by the pandemic."
@amyhanauer
LIVE: The Senate Budget Committee is holding a hearing on why we need to end a rigged and corrupt tax code that gives trillions of dollars in tax breaks to the wealthy and huge corporations.
Some of the world’s most profitable corporations would receive huge tax breaks if SCOTUS finds the repatriation tax unconstitutional.
Apple, Microsoft, & Pfizer would be among the biggest winners.
2 SCOTUS justices hold stock in companies set to benefit.
The rules allowing wealthy people to defer paying taxes on a huge part of their income provide a massive subsidy to accumulate even greater wealth.
"When you include their untaxed wealth growth in the calculation, many billionaires pay almost nothing."
While federal spending has grown, revenues would have covered this spending if not for the tax cuts that have been enacted in the past 20 years.
Counter to the narrative that runaway spending is to blame, it’s clear that low taxes for the wealthy have been the problem all along.
70 corporations made over a billion in profits last year but paid less than 15% in taxes.
@SenWarren
's new report makes clear how broken the system is. The Corporate Profits Minimum Tax is essential to stopping corporations from cheating the system.
Taxing the rich is extremely popular.
79% of registered voters favor higher taxes on billionaires and corporations.
@amyhanauer
: “It’s both good policy and good politics.”