In a recent interview with CNBC, Jeff Bessos stated that the federal Government of the United States should eliminate federal income tax for taxpayers with lower incomes. In his view, the contribution of this group to federal personal income tax income income was minimal and there was no need to continue to bear the tax.
Bessos claims tax relief.
By way of example, Bessos stated that a nurse with an annual income of $75,000 should retain more income. He said that while discussions could continue on the amount of tax to be paid by the rich, simply raising the tax burden of billionaires would not solve the problem of inefficient government spending.
According to him, the focus of the fiscal discussion should not be just on tax increases, but more on expenditure.
Tax data refer to differences in income distribution
Analysis by the Tax Foundation shows that approximately 76.5 million tax returns in 2023 were half the lowest income. The adjusted total income of this group of taxpayers was less than $5.38 million, with a total of 3.3 per cent of federal personal income tax.
At the same time, this group received 12.3 per cent of total adjusted total income. On average, the corresponding federal income tax is approximately $913 per declaration.
In contrast, the highest 1 per cent of the total adjusted total income was paid by taxpayers 20.6 per cent, but 38.4 per cent of the federal personal income tax.
Landing still depends on Congress.
The report mentions that Bessos's statement is largely consistent with the tax data available, but he cited cases of $75,000 nurses, which are above the threshold of the “lowest half of income”.
If this proposition is to enter the legislative process, Congress will still have to define the applicable population and decide how to fill the revenue gap resulting from tax cuts.
The recent public identity of Bessos remains closely linked to science and technology and investment activities. The report mentioned that he was also involved in the investment of AI Starter CuspAI and that the recent resumption of growth in Amazon cloud operations had also led to market interest in Amazon business performance.