America's #1 Online Cigar Auction
first, best, biggest!

Last post 6 years ago by Phil222. 25 replies replies.
Amazon Paid Zero In Federal Taxes In 2017
Jump to Bottom | Previous Topic | Next Topic
Phil222 Offline
#1 Posted: Mon, Feb 26 2018, 3:46 PM EST
Joined: 10-01-2017
Posts: 1,911
Jeff Bezos is the richest person in the world, with a personal net worth of $108 billion. In 2017, Bezos’ company, the internet retail giant Amazon, reportedly took in $5.6 billion in U.S. profits, and paid ZERO in federal income taxes with some help from the recent tax-bill.

https://splinternews.com/amazon-made-5-6-billion-in-profits-last-year-and-repor-1823329221
Phil222 Offline
#2 Posted: Mon, Feb 26 2018, 3:51 PM EST
Joined: 10-01-2017
Posts: 1,911
"Amazon was responsible for about 44 percent of all U.S. e-commerce sales last year, according to data from One Click Retail."

https://www.cnbc.com/2018/01/03/amazon-grabbed-4-percent-of-all-us-retail-sales-in-2017-new-study.html

At what point does a company become a monopoly?
dstieger Offline
#3 Posted: Mon, Feb 26 2018, 4:04 PM EST
Joined: 06-22-2007
Posts: 10,889
Phil222 wrote:
Jeff Bezos is the richest person in the world, with a personal net worth of $108 billion. In 2017, Bezos’ company, the internet retail giant Amazon, reportedly took in $5.6 billion in U.S. profits, and paid ZERO in federal income taxes with some help from the recent tax-bill.

https://splinternews.com/amazon-made-5-6-billion-in-profits-last-year-and-repor-1823329221



I haven't heard or read any of this yet....but I'm surprised that any person or company has already reaped rewards from the tax bill....not impossible, I suppose, but what, in the bill was retroactive?
Phil222 Offline
#4 Posted: Mon, Feb 26 2018, 4:13 PM EST
Joined: 10-01-2017
Posts: 1,911
dstieger wrote:
I haven't heard or read any of this yet....but I'm surprised that any person or company has already reaped rewards from the tax bill....not impossible, I suppose, but what, in the bill was retroactive?


I have no idea, just quoting the article.

Here’s what Amazon had to say in its U.S. Securities and Exchange Commission filing:

"Our provision for income taxes in 2017 was lower than in 2016 primarily due to excess tax benefits from stock-based compensation and the provisional favorable effect of the 2017 Tax Act, partially offset by an increase in the proportion of foreign losses for which we may not realize a tax benefit and audit-related developments."
ZRX1200 Offline
#5 Posted: Mon, Feb 26 2018, 4:59 PM EST
Joined: 07-08-2007
Posts: 60,685
I thought nothing was in effect until February.
MACS Offline
#6 Posted: Mon, Feb 26 2018, 5:28 PM EST
Joined: 02-26-2004
Posts: 79,943
dstieger wrote:
I haven't heard or read any of this yet....but I'm surprised that any person or company has already reaped rewards from the tax bill....not impossible, I suppose, but what, in the bill was retroactive?


My immediate thought, as well... I was told my taxes would not be affected until next year when I file.
deadeyedick Offline
#7 Posted: Mon, Feb 26 2018, 7:05 PM EST
Joined: 03-13-2003
Posts: 17,181
I don't understand this either but Buffet says :
Berkshire's net-worth increased last year to $65.3 billion, with $29 billion of that coming from the change in tax law.
frankj1 Offline
#8 Posted: Mon, Feb 26 2018, 7:26 PM EST
Joined: 02-08-2007
Posts: 44,296
anyone read the "Splinter article" ?
Phil222 Offline
#9 Posted: Mon, Feb 26 2018, 8:21 PM EST
Joined: 10-01-2017
Posts: 1,911
frankj1 wrote:
anyone read the "Splinter article" ?


What did I miss? Not credible enough?

Here is their SEC filing data. Who is an accountant around here? Maybe someone can show me where they paid federal taxes..

https://www.sec.gov/cgi-bin/viewer?action=view&cik=1018724&accession_number=0001018724-18-000005&xbrl_type=v#

And another oddball website covering the same story.

https://itep.org/amazon-inc-paid-zero-in-federal-taxes-in-2017-gets-789-million-windfall-from-new-tax-law/
frankj1 Offline
#10 Posted: Mon, Feb 26 2018, 9:27 PM EST
Joined: 02-08-2007
Posts: 44,296
Phil222 wrote:
What did I miss? Not credible enough?

Here is their SEC filing data. Who is an accountant around here? Maybe someone can show me where they paid federal taxes..

https://www.sec.gov/cgi-bin/viewer?action=view&cik=1018724&accession_number=0001018724-18-000005&xbrl_type=v#

And another oddball website covering the same story.

https://itep.org/amazon-inc-paid-zero-in-federal-taxes-in-2017-gets-789-million-windfall-from-new-tax-law/

don't know that you missed anything, figured you might have been the only reader.
MACS Offline
#11 Posted: Mon, Feb 26 2018, 9:30 PM EST
Joined: 02-26-2004
Posts: 79,943
frankj1 wrote:
anyone read the "Splinter article" ?


Get with the times, Frank... we want the clif notes version.
frankj1 Offline
#12 Posted: Mon, Feb 26 2018, 9:33 PM EST
Joined: 02-08-2007
Posts: 44,296
MACS wrote:
Get with the times, Frank... we want the clif notes version.

well, notice I didn't say I read it...

I'm waiting for a cliff notes version of cliff notes
Phil222 Offline
#13 Posted: Mon, Feb 26 2018, 9:34 PM EST
Joined: 10-01-2017
Posts: 1,911
Yeah, Cliff's notes are probably better. Where is Cliff?
frankj1 Offline
#14 Posted: Mon, Feb 26 2018, 10:24 PM EST
Joined: 02-08-2007
Posts: 44,296
Phil222 wrote:
Yeah, Cliff's notes are probably better. Where is Cliff?

Cheers?
RMAN4443 Offline
#15 Posted: Tue, Feb 27 2018, 5:09 AM EST
Joined: 09-29-2016
Posts: 7,683
frankj1 wrote:
Cheers?

Cheers! Beer BigGrin
rfenst Offline
#16 Posted: Tue, Feb 27 2018, 6:52 AM EST
Joined: 06-23-2007
Posts: 39,490
Why is anyone surprised that a corporation pays zero taxes? My law corp (PA) never paid a penny in taxes. All profits went to me as pay and there weren't any dividends paid.
deadeyedick Offline
#17 Posted: Tue, Feb 27 2018, 9:31 AM EST
Joined: 03-13-2003
Posts: 17,181
rfenst wrote:
Why is anyone surprised that a corporation pays zero taxes? My law corp (PA) never paid a penny in taxes. All profits went to me as pay and there weren't any dividends paid.


We were talking tax legislation changes not your tax manipulation.
dstieger Offline
#18 Posted: Tue, Feb 27 2018, 9:57 AM EST
Joined: 06-22-2007
Posts: 10,889
After a little reading, my conclusion is that ....well....its complicated.

No question that Amazon works the tax system to its advantage. Any company that doesn't is doing a disservice to its owners and shareholders.

In years past, Amazon sheltered a lot of income tax liability overseas in some pretty shady ways. I'm not sure that's still the case.

The somewhat oversimplified explanation today is that Amazon is taking very little profit currently. They aren't paying shareholders at nearly the rate that other major companies are. They reinvest capital at incredible rates, unlike any other major corporations.
Eventually, investors are going to expect huge dividends, but for now, there isn't a whole lot of profit to be taxed. At least that's how it appears.
MACS Offline
#19 Posted: Tue, Feb 27 2018, 10:52 AM EST
Joined: 02-26-2004
Posts: 79,943
RMAN4443 wrote:
Cheers! Beer BigGrin


NORM!!!
victor809 Offline
#20 Posted: Tue, Feb 27 2018, 1:33 PM EST
Joined: 10-14-2011
Posts: 23,866
rfenst wrote:
Why is anyone surprised that a corporation pays zero taxes? My law corp (PA) never paid a penny in taxes. All profits went to me as pay and there weren't any dividends paid.


I've always thought it was odd anyone expected corporations to pay taxes too.

One of the first things they teach you in business school... if there are no earnings before taxes recorded on the balance sheet, there is no taxes. If you want to avoid taxes you send the money out before it hits EBT.. reinvest in equipment (and depreciate it), capital projects... There are hundreds of things a corporation can do with its money before it becomes earnings that is more beneficial than having the government take a percentage.
rfenst Offline
#21 Posted: Tue, Feb 27 2018, 1:45 PM EST
Joined: 06-23-2007
Posts: 39,490
victor809 wrote:
... There are hundreds of things a corporation can do with its money before it becomes earnings that is more beneficial than having the government take a percentage.


At a rate of 331/3%, no less; and taxes are paid on pre-dividend profit making shareholders pay tax twice!
delta1 Offline
#22 Posted: Tue, Feb 27 2018, 8:09 PM EST
Joined: 11-23-2011
Posts: 28,836
damm oligarchs...
MACS Offline
#23 Posted: Tue, Feb 27 2018, 8:11 PM EST
Joined: 02-26-2004
Posts: 79,943
You know... a 10% flat tax based on income with no write offs/loopholes would correct this. You're American? You pay the 10% no matter where you put your bidness.

Just saying.
victor809 Offline
#24 Posted: Tue, Feb 27 2018, 8:18 PM EST
Joined: 10-14-2011
Posts: 23,866
MACS wrote:
You know... a 10% flat tax based on income with no write offs/loopholes would correct this. You're American? You pay the 10% no matter where you put your bidness.

Just saying.


No it wouldn't. And it shouldn't.

We are talking about corporations here, not individual income tax.

If you want to discuss a corporate flat tax, they'd get around it the same way they get around the other tax, by ensuring they have no earnings before taxes.
Phil222 Offline
#25 Posted: Tue, Feb 27 2018, 8:24 PM EST
Joined: 10-01-2017
Posts: 1,911
I ran across this one today that talks about Amazon employess on food stamps in Ohio.

http://www.newsweek.com/jeff-bezos-amazon-employees-food-stamps-782714
Users browsing this topic
Guest
Back to Top