Bezos slams Biden administration's tax hikes to curb inflation

In order to alleviate economic problems such as inflation in the United States, Biden tweeted on Saturday, calling on the US government to increase taxes on large companies to help and alleviate inflation.

In response to this tweet, Amazon founder Jeff Bezos also tweeted on Sunday, criticizing the Biden administration's approach to dealing with inflation in the United States. He believes that the Biden administration has "injected more stimulus into an already overheated economy."

Amazon criticized for underpaying taxes

Amazon and Bezos have long been criticized for not paying taxes . Amazon reportedly paid no federal income taxes in 2017 and 2018 , while Bezos, who is worth $137 billion , also paid no federal income taxes from 2007 to 2011 .

As early as 2019, Biden tweeted to criticize Amazon, saying that any company that makes billions of dollars in profits should not pay a lower tax rate than firefighters and teachers .

Amazon responded at the time that it had paid $2.6 billion in corporate taxes since 2016.

Recently, Amazon stated that its global revenue in 2021 was US$469 billion and it paid US$3.7 billion in taxes . However, compared with its huge wealth system, Amazon is still criticized by the US government for insufficient taxation .

U.S. inflation is high, consumer spending is falling

Not long ago, Adobe reported that U.S. consumption slowed down, with consumers spending $77.8 billion online in April , down 6.8% from March , which is exactly how inflation manifests itself in e-commerce.

According to Adobe Vice President Patrick Brown , inflation and reduced consumer spending have already occurred in the e-commerce sector as consumer borrowing costs increase and economic uncertainty rises .

With rising interest rates and continued inflation , many American consumers have reduced their spending on durable goods.

Not long ago, technology stocks sold off sharply after e-commerce and technology companies such as Amazon, Shopify, Wayfair, eBay and Etsy released disappointing earnings reports, which also reflected the combined effect of high inflation, rising interest rates and declining consumer shopping spending.

In response to the continued impact of inflation in the United States, the US government is gradually proposing policy solutions. These measures caused US inflation to slow down for the first time in eight months in April. However, the current inflation data is still close to a 40-year high. Inflation has prompted Americans to spend less, and the US economy has been greatly affected.

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