WASHINGTON (AP) – Amazon founder and CEO Jeff Bezos endorsed President Joe Biden’s commitment to building the nation’s infrastructure on Tuesday and said it also supported corporate tax hikes to help pay off.
Bezos’ statement posted on the company’s website was remarkable because it came after Biden split the firm to criticize the amount it paid in federal taxes when he recently released a $ 2.3 trillion infrastructure proposal.
Biden proposed raising the U.S. corporate tax rate to 28% from 21% to help pay for his plan, an idea that Republican leaders are appearing to be detrimental to economic growth. Democrats will refer to the support from each company to undercut that argument.
“We recognize that this investment has to be concessions on all fronts, both in the specifics of what is included and the method of payment. (We support the increase in corporate tax rates), ”Bezos wrote.“ We sincerely hope that Congress and the administration work together to find an appropriate and balanced solution that maintains or increases the competitiveness of the organization. US “
Bezos was careful not to endorse specific plans. But, he said, “We support the Biden Administration’s focus. In a bold investment in American infrastructure “
The company will benefit from investments in roads, bridges, airports and broadband. Business groups have joined calls for more public investment investment by the federal government. But they generally disagree with Biden’s call to increase corporate income tax, with the US Chamber of Commerce describing Biden’s proposal to pay for infrastructure. “
In addition to removing some of the corporate tax cuts during President Donald Trump’s administration, Biden also wanted to impose minimum U.S. taxes on offshore corporate income and to allow companies to shift revenues differently. More difficult country
Amazon has long been criticized for not paying federal taxes in the United States for years, despite building an e-commerce empire that currently has a market capitalization of $ 1.6 trillion.
That has little changed in recent years as the Seattle company became more profitable. Last year, it was reported a $ 1.7 billion federal tax payment on US income of $ 20.2 billion, representing an effective tax rate of about 8%.
Michael Liedtke, an AP business writer in San Ramon, Calif., Contributed to this report.
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