Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

AMAZON.COM, INC.

(AMZN)
  Report
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

Amazon com : Yellen pushes minimum corporate taxes, ending fossil fuel breaks, to pay for infrastructure

04/07/2021 | 03:20pm EDT
FILE PHOTO: U.S. President-elect Joe Biden announces members of his economic policy team in Wilmington, Delaware

WASHINGTON (Reuters) - U.S. Treasury Secretary Janet Yellen on Wednesday fleshed out the details of a corporate tax hike plan linked to President Joe Biden's infrastructure investment proposal, aiming to raise $2.5 trillion in new revenues over 15 years by deterring tax avoidance.

Yellen's plan relies on negotiating a 21% global minimum corporate tax rate with major economies and a separate 15% minimum tax on 'booked' income aimed at the largest U.S. corporations. Dozens of big U.S. companies have used complex tax strategies to reduce their federal tax liabilities to zero.

Yellen said that promised boosts in U.S. capital investment by corporations and turbocharged growth failed to materialize after Republican tax legislation in 2017 cut the corporate rate to 21% from 35%.

Instead, the Trump-era cuts halved U.S. corporate tax collections as a share of economic output to 1% from its long-term 2% average, according to data from the Organization for Economic Cooperation and Development. The average for the 37 OECD member countries is 3.1%.

"Our tax revenues are already at their lowest level in a generation. And as they continue to drop lower we will have less money to invest in roads, bridges, broadband and R&D," Yellen said.

The bulk of U.S. tax collections https://www.reuters.com/article/us-usa-trump-taxes-revenue-explainer/explainer-the-4-trillion-u-s-government-relies-on-individual-taxpayers-idUSKBN26J30F are deducted from the regular paychecks of individual wage earners, but Biden has pledged not to raise any taxes on Americans earning less than $400,000 a year.

The Treasury plan seeks to end provisions in the 2017 tax cuts that Democrats say provide continued incentives for companies to shift investments, intellectual property and profits to lower-tax countries.

Its biggest target is revamping the 2017 tax act's first stab at a minimum tax, the 10.5% Global Intangible Low-Taxed Income tax (GILTI). Treasury would eliminate a U.S. deduction for the first 10% of income from foreign assets and raise the GILTI minimum rate to 21%.

GILTI, which acts as a kind of "top-up" tax to offset lower rates in other countries, would be applied on a country-by-country basis, rather than a global average rate, which Democrats say encourages some use of tax havens. This change alone could raise $500 billion in revenue over a decade, Treasury said.

Treasury would also replace a separate 10% Base Erosion and Anti-abuse Tax (BEAT), aimed at preventing shifting profits to entities in tax havens, with a new 21% tax that aims to deny deductions on income from countries that do not agree to a global minimum tax. It is rebranding this as the SHIELD tax, for "Stopping Harmful Inversions and Ending Low-Tax Developments."

A Treasury official told reporters that this new tax would act as an incentive for countries to agree to a global minimum tax by denying companies the benefits of using tax havens.

FOSSIL FUEL BREAKS

The Treasury plan also would eliminate a range of tax breaks for the fossil fuel industry, a move it said would raise revenues by $35 billion over 10 years. It will replace these with new clean energy tax incentives including for electric vehicles and efficient electric appliances.

Treasury also is proposing a new 15% alternative minimum tax for large corporations, based on booked income reported to shareholders, to ensure that they cannot use complex tax avoidance schemes to pay no taxes.

Treasury said it estimates that some 45 corporations would have seen an average $300 million additional annual tax liability under the proposed minimum, raising some $13.5 billion in new revenues.

(Reporting by David Lawder, David Shepardson, Jarrett Renshaw and Tim Gardner; Editing by Heather Timmons, Andrea Ricci and Chizu Nomiyama)

By David Lawder


© Reuters 2021
All news about AMAZON.COM, INC.
09:00aTech retakes market lead as investors eye yields, earnings
RE
04/17TENCENT  : Amazon's video game division cancels Lord of the Rings game announced..
RE
04/17JEFF BEZOS : Musk beats Bezos over $2.9 bln NASA contract
RE
04/16AMAZON COM  : 'NASA rules,' Musk says as SpaceX wins $2.9 billion moon lander co..
RE
04/16MARKET CHATTER : Amazon Reportedly Testing Furniture Assembly Service
MT
04/16AMAZON COM  : Credit Suisse Raises Amazon.com's PT to $3,950 from $3,940, Views ..
MT
04/16E-commerce pioneer Wenzel launches 'Amazon on steroids'
RE
04/16AMAZON COM INC  : Credit Suisse gives a Buy rating
MD
04/16TAKE FIVE : ECB, earnings and geopolitical escalations
RE
04/16Bitcoin tumbles after Turkey bans crypto payments citing risks
RE
More news
Financials (USD)
Sales 2021 473 B - -
Net income 2021 25 055 M - -
Net cash 2021 72 321 M - -
P/E ratio 2021 70,3x
Yield 2021 -
Capitalization 1 712 B 1 712 B -
EV / Sales 2021 3,47x
EV / Sales 2022 2,87x
Nbr of Employees 1 298 000
Free-Float 81,8%
Chart AMAZON.COM, INC.
Duration : Period :
Amazon.com, Inc. Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends AMAZON.COM, INC.
Short TermMid-TermLong Term
TrendsBullishBullishNeutral
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus BUY
Number of Analysts 53
Average target price 4 034,40 $
Last Close Price 3 399,44 $
Spread / Highest target 53,0%
Spread / Average Target 18,7%
Spread / Lowest Target 8,84%
EPS Revisions
Managers and Directors
NameTitle
Jeffrey P. Bezos Chairman, President & Chief Executive Officer
Brian T. Olsavsky Chief Financial Officer & Senior Vice President
Patricia Q. Stonesifer Independent Director
Thomas O. Ryder Independent Director
Jonathan Jake Rubinstein Lead Independent Director
Sector and Competitors
1st jan.Capitalization (M$)
AMAZON.COM, INC.3.75%1 711 838
JD.COM, INC.-11.84%118 963
WAYFAIR INC.42.21%33 359
ETSY, INC.23.26%27 730
ALLEGRO.EU SA-32.51%15 418
MONOTARO CO., LTD.11.54%13 366