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Jeff Bezos approves higher corporate taxes for infrastructure

WASHINGTON (AP) – Amazon founder and CEO Jeff Bezos on Tuesday endorsed President Joe Biden’s focus on building the country’s infrastructure and said the company was even backing a rate hike. corporate taxation to help pay.

Bezos’ statement, posted on the company’s website, was notable as it came after Biden criticized the company for the amount it pays in federal taxes when he recently unveiled his 2 , $ 3 trillion.

Biden has proposed raising the U.S. corporate tax rate to 28% from 21% to help pay for his plan, an idea Republican leaders see as detrimental to economic growth. Democrats will surely use the support of individual companies to undermine this argument.

“We recognize that this investment will require concessions from all sides – both on the details of what is included as well as how it is paid (we are in favor of an increase in the corporate tax rate)” , wrote Bezos. “We look forward to Congress and the Administration come together to find the right balanced solution that maintains or enhances the competitiveness of the United States.”

Bezos was careful not to approve a specific plan. On the contrary, he said, “We support the Biden administration’s desire to make bold investments in American infrastructure.”

The company would benefit from investments made in roads, bridges, airports and broadband. Business groups have joined the federal government’s call for more investment in public works, but generally balked at Biden’s call for increased corporate taxes, the US Chamber of Commerce describing Biden’s proposal as paying for infrastructure. “

In addition to partially reversing the corporate tax cut put in place under President Donald Trump’s administration, Biden also wants to set a minimum U.S. tax on overseas corporate income and make it more difficult for them. companies to transfer their profits abroad.

Amazon has long been criticized for paying virtually no federal taxes in the United States for years, even as it built an e-commerce empire that currently has a market value of $ 1.6 trillion.

That has changed slightly in recent years as the Seattle company has become more profitable. Last year, he said he paid $ 1.7 billion in federal taxes on his $ 20.2 billion U.S. income, which works out to an effective tax rate of around 8%.

Michael Liedtke, editor-in-chief of AP Business in San Ramon, Calif., Contributed to this report.

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