London Daily

Focus on the big picture.
Tuesday, Jul 21, 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

0:00
0:00
Close
Miliband Sets Climate and International Law at Centre of UK Diplomacy
US Gasoline Returns to $4 as Renewed Iran Fighting Disrupts Oil Flows
Czech Central Bank Governor Rejects Early Euro Entry and Rate-Cut Pressure
Trump Orders 50% Tariffs on Selected Canadian Imports
Pentagon Discloses Nearly 100 US Troop Injuries During Renewed Iran Fighting
Trump Readies New Tariffs as Temporary Global Levy Nears Expiry
US Judge Pauses Paramount Skydance and Warner Bros Discovery Merger Over Antitrust Concerns
NHS England Faces Growing Retention Pressure Among Younger Midwives
UK Data Centre Expansion Faces Water and Grid Capacity Challenges
UK Defence Shares Rise After John Healey Appointment and Continued Spending Commitments
OECD Urges UK Government to Review Pension Triple Lock to Protect Public Finances
Bank of England Keeps Cautious Approach as Energy Costs Threaten Inflation Progress
County Councils Call for Wider Devolution and Long-Term Social Care Funding Reform
IMF Urges UK Government to Maintain Fiscal Discipline as Growth Forecast Slows
Russian Warship Holds Live-Fire Exercises Near UK Coast as Royal Navy Monitors Activity
Mitie Agrees Three Point One Billion Pound Takeover by OCS in Another Blow to London Listings
JPMorgan Chase Warns Bank Levies Could Hit UK Growth and Drive Capital Away
UK Unemployment Holds at Four Point Nine Percent as Labour Market Shows Resilience
UK Government Borrowing Falls Below Forecasts as Treasury Receives Early Fiscal Boost
John Healey Cuts VAT on Household Electricity Bills After Cancelling National Digital ID Scheme
Andy Burnham Forms New Labour Government With Ten-Year National Renewal Plan
EU Imposes Record €550 Million Digital Services Fine on AliExpress
UK Publishes Updated Consumption-Based Carbon Emissions Data
English Regions Prepare for Expanded Devolution and Infrastructure Powers
Russell Group Backs New Government and Calls for Stronger University-Industry Links
Bank of England Maintains Restrictive Monetary Policy Amid Persistent Inflation
Climate Progress Report Renews Debate Over the UK's Net Zero Strategy
New UK Government Launches Drive to End Rough Sleeping and Expand Social Housing
Prime Minister Andy Burnham Appoints John Healey as Chancellor in Cabinet Reshuffle
OECD Calls for Structural Reforms as UK Economy Faces Slower Growth
International Monetary Fund Expects UK Economic Growth to Slow to One Percent in 2026
Andy Burnham Takes Office as UK Prime Minister and Unveils Decade-Long Reform Agenda
London’s Housing Starts Collapse as Planning and Building Costs Stall Development
Charlie Sheen’s Daughter: "My Dad Didn’t Buy Me a House, My Breasts Bought It"
Vivienne Westwood Casts Cicciolina, 74, in Its New Autumn Campaign
Dejavu: Germany’s Military Expansion Reshapes Europe’s Strategic Balance With France
Naturally Conceived Identical Quadruplets Born in Rare Brisbane Delivery
Tate Brothers Fight British Extradition Bid After Miami Arrests
Burnham Reshapes Britain’s Government Around Living Costs, Devolution and Security
Jingye Demands Full Compensation After Britain illegally Nationalized British Steel
Just Another Liar or a Robin Hood? Andy Burnham Pledges Cost-of-Living Help in First Speech as UK Prime Minister
Morgan Stanley Builds a Wall Street Lead in AI Infrastructure Finance
High Prices Push Coffee Drinkers Toward Whole Beans and Home Brewing
Trump Draws Boos and Podium Scrutiny at Spain’s World Cup Triumph
Brilliant move: Péter Magyar Moves to Nominate Chess Grandmaster Judit Polgár as Hungary’s President
Spain Defeats Argentina in Extra Time to Win Second World Cup
Police Block Cockroach Janta Party’s March to Parliament as Education Protests Intensify
Current AI Seeks to Build an Open Global AI Infrastructure Outside Big Tech Control
Turkey Explores S-400 Transfer to UAE in Bid to Rejoin F-35 Program
Josh Kerr Breaks Twenty-Seven-Year World Mile Record at London Diamond League
×