May 15, 2020

Yahoo!: How the coronavirus outbreak may help keep Amazon’s federal tax bill low (again)

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“I’d say their tax rate will be a lot closer to zero than to 21%,” said Matthew Gardner, a senior fellow at the Institute on Taxation and Economic Policy, referencing the current U.S. corporate tax rate.

To be sure, it remains too early to predict Amazon’s pretax income for the full year, and therefore whether it will be able to offset any tax liability.

However, Gardner and Caroline Bruckner, a tax professor and managing director at American University’s Tax Policy Center, say Amazon’s behavior through the first quarter suggests it is on par to take advantage of some of the same legally permissible deductions and credits that it has enjoyed for the past two tax years.  Read more