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This is a pedantic point. The source of the wealth employees are paying taxes on comes from the corporation. Amazon either retains the earning (doesn’t grant o
by IanDrake 9y ago
This is a pedantic point. The source of the wealth employees are paying taxes on comes from the corporation.
Amazon either retains the earning (doesn’t grant options) and pays income tax on the retained earnings OR grants the options and the grantee pays the income tax on that amount.
What both ways are you talking about?
The 1B dollars got taxed. There was no free lunch.
- deleted 9y ago[deleted]
- bonesss 9y agoTo expound a little: the same scenario applies to pure salary. If Amazon really wants to avoid taxes it can increase salary until its profits are 0. As you're pointing out: this makes the ledger '0' in one spot, but increases it at the same rate at another spot. It's not a tax dodge, it's tax rearrangement.