Recently, during the annual Met Gala, Democrat Representative Alexandria Ocasio-Cortez (AOC) wore a statement gown that read ‘Tax The Rich.’ The social media was split by her decision to imprint something like that. She defended her move by stating “The medium is the message.”
Cut to now, the Joe Biden administration has formulated a policy ‘Billionaire Minimum Income Tax.’ With this, the top 0.01% in the wealth tier have to pay 20% of taxes on their wealth to reduce the income inequality and balance the budget deficit. On the other hand, billionaires have accumulated wealth with bigger investments. Tesla CEO Elon Musk bought Twitter for a ridiculously high amount of $44 billion. Now as the country faces inflation, the President has tweeted a solution in the times of crisis. To this, the two most powerful billionaires Elon Musk and Jeff Bezos have reacted.
Joe Biden Thinks Taxing The Rich Corporations Is The Remedy To Curb Inflation
In the current times, the inflation in the US is as high as 8.3%. Due to the pandemic, the economy faced a slump. To bring the economy back on track, the supply of money was increased leading to higher purchasing power. However, the Russian invasion of Ukraine led to a shortage of goods and services around the world, including in the US.
Now, the prices have peaked due to a shortage of goods. However, the billionaires are not deterred by the financial trends. It is speculated that Jeff Bezos’ e-commerce and OTT giant Amazon will have a “15% revenue growth with a price target of $3,068.”
You want to bring down inflation?
Let’s make sure the wealthiest corporations pay their fair share.
— Joe Biden (@JoeBiden) May 13, 2022
Therefore, in a recent tweet, the President said, “You want to bring down inflation?? Let’s make sure the wealthiest corporations pay their fair share.” The statement has some gravitas to it. Last year, Tesla had the most successful run with a $5.5 billion profit, but the car company paid $0 federal taxes.
Elon Musk Has A Cryptic Reply For Biden
In a cryptic tweet, the Tesla owner hinted at how the government is eyeing Twitter after Elon Musk’s buyout. The business tycoon said, “The Golden State is cooking its golden geese… Sooo tasty at first, but then no more golden eggs.”
Sooo tasty at first, but then no more golden eggs …
— Elon Musk (@elonmusk) May 15, 2022
The cryptic tweet supposedly hints that the US is the golden state, and “Cooking the golden gesse” is a reference to punishing the super wealthy with high tax rates. Apparently, some of these companies employ millions of people in the US. According to Musk, excessively taxing the rich could lead to increased inflation instead of decreasing it, and could also lead to increase unemployment as businesses could opt to move their operations out of the country.
Jeff Bezos Also Responds To The Tweet
The Amazon founder, Jeff Bezos, too reacted to this tweet. He had a critical take on the matter. Bezos wrote, “The newly created Disinformation Board should review this tweet, or maybe they need to form a new Non-Sequitur Board instead.” He referred to the newly formed Homeland Security’s Disinformation Board in April.
The newly created Disinformation Board should review this tweet, or maybe they need to form a new Non Sequitur Board instead. Raising corp taxes is fine to discuss. Taming inflation is critical to discuss. Mushing them together is just misdirection. https://t.co/ye4XiNNc2v
— Jeff Bezos (@JeffBezos) May 14, 2022
The administration of Joe Biden had its aim to tax the rich corporations in their campaign agenda. Bezos further wrote, “Raising corp taxes is fine to discuss. Taming inflation is critical to discuss. Mushing them together is just misdirection.”
Rich corporations like Tesla, and Amazon evade taxes as they have all their operations at subsidiaries abroad leaving no taxation on operations reported to the Federal Government. As per reports, Amazon evaded taxes in 2007, 2011, 2017, and 2018. Reportedly, Tesla wanted to set their sales base in India, but due to no concessions on import taxes, there has been a deadlock between the government representatives and Tesla.
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