Arab Press

بالشعب و للشعب
Thursday, Apr 23, 2026

Democrats' new minimum tax would target Facebook, Amazon, analysis shows

Democrats' new minimum tax would target Facebook, Amazon, analysis shows

At least 70 of the largest companies in the U.S. could see higher tax bills under a new minimum levy that President Biden has endorsed in order to help fund his sweeping Build Back Better plan.

A new analysis conducted by Sen. Elizabeth Warren, D-Mass. – who proposed the tax alongside Sens. Angus King, I-Maine and Ron Wyden, D-Ore. – shows which companies could face steeper taxes under the proposed minimum tax on book income.

The tax, which would impose a 15% minimum on corporations based on profits they publicly report on their financial statements to shareholders even if they had zero federal tax liability, would only apply to companies that reported more than $1 billion in income for three straight years.

An employee uses a laptop computer while packages move along a conveyor belt at the Amazon.com Inc. fulfillment center in Hyderabad, India, on Sept. 7, 2017.


The report from Warren found that the tax would force companies, including Amazon, Facebook, Microsoft, T-Mobile, Bank of America, Google and Verizon, to pay more to the U.S. government. The Congressional Budget Office determined recently that the tax would generate about $319 billion over the next decade, which would go toward paying for Biden's sweeping social spending and climate change plan.

Her analysis used publicly available data from the Institute on Taxation and Economic Policy for publicly traded companies in the Fortune 500 and S&P 500 to calculate how much each business earned in annual profits, how much they paid in income tax and how much they would pay under the proposed 15% rate.

It shows the minimum would generate up to $22 billion in one year alone from 70 of the biggest publicly traded companies in the U.S.

For instance, Warren's report shows that Amazon was able to reduce its tax rate to 11.5% – rather than 21% – in 2020. By doing so, the company was able to reduce its tax liability by roughly $830 million. But if there had been a 15% minimum book tax in place, Amazon would have paid an additional $836 million in federal and foreign income taxes.

Amazon did not immediately respond to a request for comment.

Sen. Elizabeth Warren speaks during a news conference at the U.S. Capitol on July 22, 2020, in Washington.


Facebook – which paid $4.5 billion in taxes last year – would have paid an additional $469 million under the Democrats' proposal. T-Mobile, which paid nothing in federal taxes last year, would have owed $537 million.

"Billionaire corporations have gotten a free ride in America for too long. It’s time to stop letting giant corporations cheat the system – they should pay taxes just like everyone else," Warren said in a statement. "My Corporate Profits Minimum Tax would help put an end to tax-rigging schemes and raise billions in revenue so we can make real investments in American families."

Critics of the tax have raised concerns that it will complicate financial reporting for big companies while giving the Financial Accounting Standards Board, an independent organization that sets accounting rules, too much power over the U.S. tax base.

"The potential politicization of the FASB will likely lead to lower-quality financial accounting standards and lower-quality financial accounting earnings," said a letter to Democrats signed by more than 260 accounting academics.

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
News Roundup
Strategic Saudi-Bahrain Causeway Closed Amid Security Concerns as Trump Deadline Approaches
Saudi Arabia Keeps Red Sea Oil Exports Flowing Despite Regional Tensions
Pipeline Attack Cuts Significant Share of Saudi Arabia’s Oil Export Capacity
Saudi Business Leader Abudawood Appointed Chairman of Merit Incentives Group
TotalEnergies Confirms Damage at Saudi Refinery Following Security Incident
Saudi Arabia Launches Early Construction Phase for King Salman Stadium Project
Saudi Shift Away from Longstanding Dollar Oil Framework Gains Attention Amid Iran Conflict
Türkiye and Saudi Arabia Resolve Long-Running Transit Visa Dispute
Saudi Oil Capacity and Pipeline Flows Reduced as Supply Risks Intensify
TotalEnergies Reports Damage to Saudi SATORP Refinery Following Security Incidents
Gulf States Assess Prospects of U.S.-Iran Truce as Regional Stability Efforts Intensify
South Korea Resumes Honey Exports to Saudi Arabia Following Sanitary Approval
Saudi Arabia Carries Out Sentences in Eastern Province Following Security Convictions
Saudi Sovereign Wealth Fund Backs King Street’s Regional Credit Strategy
Saudi Arabia Secures World Cup Return as Egypt Celebrates Landmark Qualification
Iran and Saudi Arabia Intensify Diplomatic Engagement Amid Regional Tensions
Russia and Saudi Arabia Open Visa-Free Travel Corridor for Citizens
Saudi Oil Output Capacity Reduced by 600,000 Barrels Per Day Amid Regional Conflict
Saudi Arabia Suspends Operations at Select Energy Sites as Precautionary Measure
Saudi Arabia Halts Operations at Multiple Energy Facilities Amid Heightened Tensions
Global Markets Jolt as Iran Signals Ceasefire Breakdown and Rising Regional Tensions
King Street Aligns with Saudi Sovereign Wealth Fund to Expand Alternative Investments in Middle East
Attack on Saudi Arabia’s Jubail Petrochemical Hub Raises Global Supply Concerns
Debate Emerges Over Saudi Strategic Decisions as Gulf Cooperation Council Dynamics Come Into Focus
Saudi Arabia Expands Full Workforce Localisation to 69 Professions in Major Labour Reform
Emerging Alliance of Pakistan, Turkey, Egypt and Saudi Arabia Signals New Regional Power Dynamic Amid Iran Conflict
Iran Linked to Strikes Across Gulf States Following Refinery Attack Escalation
Saudi Arabia Voices Concern Over Fragile US–Iran Ceasefire Stability
Starmer Warns Sustained Effort Needed to Ensure US–Iran Ceasefire Holds
Saudi Arabia’s Key East-West Oil Pipeline Targeted Following Ceasefire Announcement
Iran Targets Saudi Arabia’s East-West Oil Pipeline in Escalating Regional Tensions
Trump Warns of Civilizational Stakes as Iran Halts Negotiations
Saudi Companies Expand Remote Work Measures Ahead of Iran-Related Security Concerns
Iran Warns of Strikes on Saudi Energy Infrastructure if US Targets Its Facilities
Iran Urges Civilians to Form Human Shields Around Nuclear Sites as Diplomatic Deadline Approaches
Saudi Arabia Raises Oil Prices to Record Premiums Amid Supply Pressures Linked to Iran Conflict
Key Saudi-Bahrain Causeway Closed Amid Heightened Security Concerns Linked to Iran
Formula One Calendar Gap Explained as Fans Await Next Grand Prix
Growing Strain on the Petrodollar System Comes Into Focus Amid Iran Conflict
Reported Strike on Saudi Arabia’s Jubail Complex Raises Global Energy Supply Concerns
FedEx Introduces New Digital Tool to Streamline Imports into Saudi Arabia
Iran Claims Strike on Saudi Arabia’s Jubail Petrochemical Complex Amid Rising Regional Tensions
Taiwan to Source Oil Shipments from Saudi Arabia’s Red Sea Ports
Saudi Arabia Evacuates Riyadh Financial District as Precaution Amid Regional Tensions
Saudi Arabia Balances Ambitious Economic Vision Amid Regional Tensions and Financial Pressures
Budget Saudi Arabia Reports Strong Full-Year 2025 Financial Performance
Saudi Arabia Expands Investment in Capcom With Stake Reaching Six Percent
Saudi Arabia Assesses Significant Economic Impact From Regional Conflict Involving Iran
US Beef Secures Expanded Market Access in Saudi Arabia
×