Why Jeff Bezos, the founder of Amazon, supports the idea of ​​raising corporate taxes to fund Biden’s infrastructure plan

Bezos tops the Forbes list as the richest person in the world for the fourth year in a row.

Photo: David Ryder / Getty Images

Jeff Bezos, the founder of Amazon, said Tuesday its support for increasing taxes on corporations that would allow greater public investment in infrastructure according to President Joe Biden’s plan.

Last week Biden unveiled a package of more than $ 2 billion dollars that will improve the country’s bridges, highways, public transportation and airports, among other transportation infrastructure works. It also includes investments in caring for the elderly and disabled, building and fitting out affordable housing, and fostering American manufacturing and job training efforts, among others.

Amazon, which has a powerful distribution network, is a company that depends on the infrastructure to distribute the products that are purchased through its portal.

To fund the package, Biden has proposed raising the corporate tax rate from 21% to 28%. The corporate tax rate had been cut under President Donald Trump to 21%from 35% as part of a 2017 tax law.

Related: Jeff Bezos and Elon Musk top Forbes magazine’s new billionaires list

Bezos’s support for a tax increase is notable given that Amazon has previously faced scrutiny over its tax history. Last May when Biden was running for president, he said in an interview that Amazon “should start paying its taxes.”

Last week the president again singled out the e-commerce giant for using “Several loopholes to not pay a single penny of federal income tax“.

Amazon’s chief spokesperson responded in a tweet saying that “if the research and development (R&D) tax credit is a loophole, it is certainly one that Congress strongly intended. The R&D tax credit has existed since 1981, was expanded 15 times with bipartisan support, and made permanent in 2015 in a law signed by President Obama. ”

Amazon paid $ 162 million in federal income taxes in 2019 after paying zero dollars on rent for two years. Just last year the company reported revenue of $ 386,000 million.

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