zlacker

This is a company that pays almost no Federal taxes, whose employees are forced to seek aid from the Federal govt. The least they could do is offer paid sick leave for those affected. Hardcore capitalism is doing as much harm to the US during this crisis as the virus itself.

>>DrWumb+(OP)
> This is a company that pays almost no Federal taxes

Indeed, if you reinvest almost all your profits in the business instead of taking them as earnings you pay very little in taxes. Taxing investment would be a very stupid thing to do since it would discourage what makes society richer in the long run.

>>barry-+v
If the issue was that simple ans black&white then bezos would not have his fortune. Amazon has gamed the system.

>>matt_t+d1
Please explain how Amazon has gamed the system, or how Bezos being rich is incompatible with Amazon paying little in tax because it reinvests almost all profits.

>>DrWumb+(OP)
No federal taxes is false. Amazon pays lots of federal taxes. In some years, they’re paid almost no federal income taxes in the US. One specific kind of tax in one jurisdiction. Our system is set up to incentivize companies and innovation with various mechanisms that change how taxable income is recognized. Not only are Amazon’s taxes legal, but also they are desirable for society at large. The alternative is that there wouldn’t be an Amazon or many other companies.

>>matt_t+d1
I would argue the income tax issue is that simple. The bet Amazon made was that profits didn't define the valuation of the business. The part that wasn't black & white was that folks were split on whether he was a genius or a scam artist running a book retailer with a 400+ p/e ratio.

Gaming the system is what I'd call their sales tax treatment. They didn't collect it everywhere until they got so large that they're warehouses and datacenters were everywhere. And depending on jurisdiction I think its the 3rd party sellers' responsibility where possible.

>>matt_t+d1
Do you think Bezos did not pay taxes on his earnings? His "fortune" is majority equity in Amazon, not cash sitting in a bank account. Any income he received was taxed

>>barry-+43
Amazon was one of the original “disrupters”, taking out regular retail by not charging sales tax for the first decade of its existence. One might argue this gave them an unfair advantage over conventional retail, allowing them to gain a foothold faster than they might have otherwise.

Anecdotally, I absolutely and conscientiously used Amazon as a way to avoid paying sales tax when I was younger and less financially stable.

>>derisi+I6
He paid a very small rate of long capital gains for everything he didn't funnel through a tax shelter.