Mnuchin questions Amazon’s tax collection practices

Reuters


U.S. Treasury Secretary Steven Mnuchin appears in front of the Senate Appropriations Subcommittee hearing on proposed budget estimates.

Treasury Secretary Steven Mnuchin on Wednesday raised questions about Amazon’s tax collection practices, following up on tweets by President Donald Trump that accuse the retailing giant of not fully paying tax.

Sen. Joe Manchin, the West Virginia Democrat, asked Mnuchin about whether he supports fair taxation on internet sales at a Senate Appropriations subcommittee on financial services hearing.

“This is an issue we’ve been looking at very carefully within the administration, and we expect to come out with a position shortly,” Mnuchin replied.

“I am encouraged that Amazon is now charging tax on their own sales, but not the marketplace,” Mnuchin said, referring to third-party sales. “Not sure I understand the consistency on that.”

Read: Amazon collects sales tax in every state that has a sales tax

Mnuchin said better collection could help states fund infrastructure. Manchin said rural states struggle to levy such taxes.

Trump has accused Amazon












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 — mostly in the context of articles run by the Washington Post, which is owned by Amazon CEO Jeff Bezos but not affiliated with the retailer — of not properly paying its taxes.

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