- Jeff Bezos says he supports a corporate tax increase to pay for Biden’s infrastructure plan.
- “We recognize this investment will require concessions from all sides,” the Amazon CEO said Tuesday.
- Under Biden’s plan, the tax rate for corporations would increase to 28%, up from 21%.
- See more stories on Insider’s business page.
Amazon CEO Jeff Bezos has come out in support of President Joe Biden’s $2 trillion infrastructure plan, including a possible corporate tax hike.
“We recognize this investment will require concessions from all sides — both on the specifics of what’s included as well as how it gets paid for (we’re supportive of a rise in the corporate tax rate),” Bezos wrote in a statement shared on Amazon’s Twitter account, calling the plan “a bold investment in American infrastructure.”
—Amazon News (@amazonnews) April 6, 2021
Biden introduced last week the first of a massive, two-part infrastructure package known as the American Jobs Plan.
The roughly $2 trillion package is expected to have wide-ranging impacts on the American economy. It includes federal spending to improve the nation’s aging roads, bridges, and ports; clean-energy projects; broadband in rural areas; affordable housing initiatives; and funding for care workers.
Biden described the plan as a “once-in-a-generation investment in America.”
The package would be funded by a corporate tax increase that will offset the cost over a period of 15 years — the tax rate for corporations will increase to 28%, up from 21%. For multinational firms, the Biden administration is seeking to put in place a 21% global minimum tax rate, a proposal that was echoed by Treasury Secretary Janet Yellen on Monday.
Amazon, a $1.62 trillion company, is the first major corporation to come out in support of the corporate tax increase.
After Biden’s plan was proposed last week, the Business Roundtable, an organization that represents CEOs of major US firms, issued a statement strongly opposing the tax increase as a way to pay for the infrastructure plan, saying it would create “new barriers to job creation and economic growth.”