Amazon shares take a hit as word leaks about Trump's obsession with the company

Amazon shares take a hit as word leaks about Trump's obsession with the company
Investors are dumping Amazon's shares today, putting a major dent into its attempt to be the first trillion dollar company. Amazon's stock is down 5.9% ($88.30) at $1,408.75. The impetus for the decline? Media reports suggesting that President Donald J. Trump has it in for Amazon and wants to go after the company's "tax treatment." Why Amazon? Did the president miss an appointment because his Echo failed to wake him? Does he not like virtual assistant Alexa? Perhaps he owned an Amazon Fire Phone (that would do it). No. Trump reportedly became upset when his real-estate owning friends complained to him that Amazon was hurting the revenues of the shopping malls they own.

The report, which was published earlier today, cites five different sources including one who says about Trump, "He's obsessed with Amazon. Obsessed."  According to the sources, Trump's friends say that Amazon is "killing shopping malls and brick-and-mortar retailers."

Trump has gone after Amazon before through his official Twitter account. Last August, he sent out a tweet that said, "Amazon is doing great damage to tax paying retailers. Towns, cities and states throughout the U.S. are being hurt - many jobs being lost!" And he also has attacked The Washington Post, which is owned by Amazon founder and CEO Jeff Bezos, calling it the Amazon Washington Post.

While Amazon does collect taxes on products that it sells directly to consumers, the company does not tax third party goods sold from person-to-person through its marketplace. Last summer, Treasury Secretary Steve Mnuchin suggested that the government would take a look at Amazon's method of collecting taxes. He also said that the Trump administration was considering the imposition of taxes on internet e-commerce. Three states, Washington, Minnesota and Rhode Island, already require online marketplaces to collect taxes for third party sellers.

According to the report, sources say that the president is also looking at going after Amazon using anti-trust and anti-competition laws. Additionally, Trump believes that Amazon is getting a special deal from the U.S. Post Office, which one source already says is not accurate. "It's been explained to him in multiple meetings that his perception is inaccurate and that the post office actually makes a ton of money from Amazon."

source: Axios

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58 Comments

7. warrenellis93

Posts: 541; Member since: Jul 21, 2011

Ive heard a lot of news in the past that amazon is hurting brick and mortar stores, so whats wrong with the president going after amazons unfair advantage. I doubt it would even stop people from using amazon but shouldnt amazon pay their taxes to.

21. AxelFoley unregistered

"Mr. Trump’s suggestion that Amazon does not pay taxes is false. The company, in its latest annual report to the Securities and Exchange Commission, said that it paid $177 million in income taxes in 2014, $273 million in 2015 and $412 million last year." Now, how much does Donald Trump pay in taxes? You don't know because he won't tell you (unlike his opponents who all released their tax returns). Since you are about as intellectually gifted as him I'll just let you exercise your ability to search for Amazon's tax liability. This whole story is about Bezos' ownership of the Washington Post, who reported that he used a real estate loophole that would have kept him from paying income taxes for 20 years. So, he wants to use his power to get back at all of those who have wronged him. The "pro capitalism", "anti business regulation", conseravative that just cut the corporate tax rate (including Amazon's) by 14%, is concerned with what Amazon pays in taxes and ATT's merger with Time Warner (parent of CNN), really? Seems all of this intervention in private business is pretty communist.

109. srgonu

Posts: 535; Member since: Feb 13, 2012

Are you talking about Trump making sure someone pay taxes decently?

112. bucknassty

Posts: 1325; Member since: Mar 24, 2017

a lot of deleted comments on this article... why not just delete the article?

10. Furbal unregistered

Zero reason usps should lose money on a delivery, ever. Particularly with a company who generates this much revenue

16. tedkord

Posts: 17302; Member since: Jun 17, 2009

It's because Bezos is more successful than Trump.

19. DFranch

Posts: 533; Member since: Apr 20, 2012

Yeah, but only 20 times more successful.

42. Crispin_Gatieza

Posts: 3122; Member since: Jan 23, 2014

Don't kid yourself, it's because Bezos is Cuban and that burns his cracker britches.

46. tedkord

Posts: 17302; Member since: Jun 17, 2009

Cuban and more successful, richer and more respected.

64. rouyal

Posts: 1573; Member since: Jan 05, 2018

No one is jealous of island raft beaners. Don't kid yourself.

68. Crispin_Gatieza

Posts: 3122; Member since: Jan 23, 2014

Only when we come to your country, learn and perfect your language, take over your cities (Miami) and take all your women. Now go get your shinebox.

81. rouyal

Posts: 1573; Member since: Jan 05, 2018

Except the truth is they float in on a dinghy and get on welfare. Who are you trying to kid. You sound upset, so spend a few hours picking my oranges and cool yourself down. If you are nice after that, I'll let you use the riding mower instead of the push mower, for your next job.

91. Crispin_Gatieza

Posts: 3122; Member since: Jan 23, 2014

As soon as I'm done plowing your mom, excuse me, the field.

101. rouyal

Posts: 1573; Member since: Jan 05, 2018

Yes, Crispin, as soon as your done plowing my field. Thanks for the reminder.

71. tedkord

Posts: 17302; Member since: Jun 17, 2009

Now THAT'S a Trump supporter.

83. rouyal

Posts: 1573; Member since: Jan 05, 2018

Nothing for the libtard that says cracker? Typical fascists.

40. cjreyes666

Posts: 81; Member since: Oct 23, 2012

I don't mind been charged taxes for the items purchased at Amazon. What Amazon should do is to request every seller a copy of their sales tax permit. That way it could get rid of the shady third party sellers that get away with counterfeit products and scammers as well.

49. Crispin_Gatieza

Posts: 3122; Member since: Jan 23, 2014

Whenever you pay taxes on Amazon it's because one of two things. First, The Commerce Department forces Amazon to charge sales tax on 1st party items that Amazon sells. Vendors who sell on Amazon, just like eBay, are not bound by this requirement. I'll explain in a minute. Second, if an item Amazon sells whether it's directly through them or a 3rd party seller, is located within your state then you must also pay sales tax. Now back to the explanation. The Commerce Department stipulates that any interstate transaction is not bound by sales tax laws. It's simple - which state has jurisdiction to levy the tax? Yours or the sellers? Some states charge sales tax on a regional basis and in this case, the buyer's shipping address takes precedence. This is the reason many New Yorkers go to Pennsylvania to buy cars. The argument for internet sales tax has been raging for some time but until the Commerce Department changes the tax code on interstate purchases, life goes on. I find delightfully funny how conservatives always contradict themselves by bellowing about states' rights and lower taxes yet they're the ones on the forefront to f**k the little guy. There's an old saying - if you're not pissed off, you're not paying attention.

61. rouyal

Posts: 1573; Member since: Jan 05, 2018

Got a page hijacking ad on this article through mobile Chrome. Thanks for reminding me to turn on my adblock, and keep it on.

69. L0n3n1nja

Posts: 1548; Member since: Jul 12, 2016

Without ad block this site makes my S7 and Surface Pro lag terribly to the point I have trouble commenting on articles.

72. tedkord

Posts: 17302; Member since: Jun 17, 2009

It is a bit excessive.

76. Big_D5

Posts: 40; Member since: Jun 13, 2014

Hay Alan why is it Trump's "obssession" not just interested in or maybe Trump is taking a look at? Maybe you are trying to steer the news or conversation? This is where the term "Fake News" comes from. So called journalists forcing the narrative in a negative way. Is that what you are? A Trump hater who wants to share the story in a negative light?

92. Crispin_Gatieza

Posts: 3122; Member since: Jan 23, 2014

"Obsession" is not Alan's word. It's a direct quote from a White House staffer who leaked the story. Y'all "fake news" tinfoil hatters should try fact checking every now and then. Not too much though, you might pull a muscle from over exertion.

102. rouyal

Posts: 1573; Member since: Jan 05, 2018

Without a name attached to the “source” it’s no more than scuttlebutt. Anyone can make up anything and claim an anonymous source. You see it all day on CNN, you should know.

110. Crispin_Gatieza

Posts: 3122; Member since: Jan 23, 2014

Here you go. Tell your mom I'll be over for lunch so she better have a sammich ready. https://www.axios.com/trump-regulation-amazon-facebook-646c642c-a2d7-454b-a9a9-cdc6e4eaef2c.html

105. Big_D5

Posts: 40; Member since: Jun 13, 2014

Exactly

106. Big_D5

Posts: 40; Member since: Jun 13, 2014

Touch a nerve did I?

104. boriqua2000

Posts: 251; Member since: Mar 11, 2009

If Trump is worried about taxes then he shouldn't have given his rich friends those huge tax breaks. He's mad at Amazon because Amazon doesn't give him a cut.

111. wesley.

Posts: 209; Member since: Aug 06, 2013

Also Jeff Bezos and his Washington Post newspaper are very anti Trump, so why not get some back.

* Some comments have been hidden, because they don't meet the discussions rules.

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