A FedEx worker hundreds up deliveries in San Francisco.
A progressive group pushing Congress to boost the company tax fee is launching an advert marketing campaign focusing on FedEx and Nike, two massive American corporations with mild federal tax payments, the group mentioned Monday.
Tax March, which held dozens of demonstrations in 2017 calling on former President Donald Trump to launch his tax returns, plans to launch adverts focusing on FedEx on Tuesday. The TV adverts will air in Washington, D.C., and in Memphis, Tennessee, the place FedEx is headquartered.
A report by the Institute on Taxation and Economic Policy says FedEx “zeroed out its federal income tax on $1.2 billion of U.S. pretax income in 2020 and received a rebate of $230 million.” The report says the dearth of funds in taxes by some companies is probably going linked to historic tax breaks in addition to Trump’s 2017 tax reform plan and sure components of the coronavirus aid invoice often known as the CARES Act.
Tax March additionally plans to focus on Nike with a newspaper advert subsequent week within the shoe big’s residence state of Oregon, in line with Dana Bye, the marketing campaign director for the group. She mentioned the newspaper advert can have a message much like that of the TV spot specializing in FedEx.
The institute’s report said Nike “didn’t pay a dime of federal income tax on almost $2.9 billion of U.S. pretax income last year, instead enjoying a $109 million tax rebate.”
Representatives for Nike and FedEx did not reply to CNBC’s request for remark earlier than this story was printed.
President Joe Biden has mentioned he desires to boost the company tax fee to twenty-eight% to assist pay for his $2 trillion infrastructure reform package deal. He has since mentioned that he is prepared to negotiate on the potential company tax hike as reasonable Democrats equivalent to Sen. Joe Manchin, D-W.Va., have pushed again on elevating the speed to twenty-eight%.
Bye mentioned the marketing campaign as an entire will price nearly $500,000. It can even embrace digital adverts on Facebook and different platforms.
The TV advert, first reviewed by CNBC, takes purpose at FedEx as one in all a number of corporations that paid little to no federal company revenue taxes lately.
“Tell Congress: It’s time to put the people first,” a voiceover on the FedEx advert says. “Make corporations like FedEx pay their fair share.”
FedEx lately informed CNBC that it’s in opposition to elevating company taxes as option to pay for Biden’s infrastructure plan. Advocacy teams such because the Chamber of Commerce and the Business Roundtable have additionally opposed the concept of elevating the company tax fee as a option to pay for infrastructure.
“I think the biggest statement we are trying to make through this campaign is that we can’t let corporate tax dodgers like FedEx drive the debate on taxes,” Bye mentioned.
Tax March is a venture of the Sixteen Thirty Fund, a darkish cash 501(c)(4) group that contributed simply over $60 million to Democratic-aligned teams through the 2020 election, together with hundreds of thousands to tremendous PACs backing Biden, in line with information from the nonpartisan Center for Responsive Politics.
The marketing campaign by Tax March is likely one of the first to tackle companies since Biden turned president. It comes as companies are beneath stress to reply to new voting laws such as those recently passed in Georgia.