President Joe Biden on Wednesday singled out Amazon.com Inc. for not paying federal taxes, according to Reuters. Biden said Amazon was using various loopholes to avoid the federal income tax obligations.
Biden’s remarks came after the unveiling of the infrastructure plan that raised the corporate tax rate from 21% to 28%.
The infrastructure plan also changes the tax code to close loopholes that allow companies to move profits overseas.
Amazon defended itself, pointing to a R&D Tax Credit that existed since 1981, extended 15 times with bi-partisan support and made permanent in 2015 in a law signed by President Obama.
After paying $0 in federal taxes for two years, Amazon starting paying federal income tax in 2019
In June 2019, Biden also singled out Amazon, stating no company making billions in profits should pay a lower tax rate than firefighters and teachers.Amazon stock is currently gaining. AMZN: NASDAQ is up 1.06%
