A FedEx worker hundreds up deliveries in San Francisco.
A progressive group pushing Congress to boost the company tax charge is launching an advert marketing campaign focusing on FedEx and Nike, two massive American firms with gentle federal tax payments, the group stated Monday.
Tax March, which held dozens of demonstrations in 2017 calling on former President Donald Trump to launch his tax returns, plans to launch advertisements focusing on FedEx on Tuesday. The TV advertisements will air in Washington, D.C., and in Memphis, Tennessee, the place FedEx is headquartered.
A report by the Institute on Taxation and Financial Coverage says FedEx “zeroed out its federal revenue tax on $1.2 billion of U.S. pretax revenue in 2020 and obtained a rebate of $230 million.” The report says the shortage 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 large’s house state of Oregon, in keeping with Dana Bye, the marketing campaign director for the group. She stated the newspaper advert may have a message just like that of the TV spot specializing in FedEx.
The institute’s report stated Nike “did not pay a dime of federal revenue tax on virtually $2.9 billion of U.S. pretax revenue final 12 months, as an alternative having fun with 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 stated he needs to boost the company tax charge to twenty-eight% to assist pay for his $2 trillion infrastructure reform package deal. He has since stated that he is keen to negotiate on the potential company tax hike as average Democrats comparable to Sen. Joe Manchin, D-W.Va., have pushed again on elevating the speed to twenty-eight%.
Bye stated the marketing campaign as an entire will value virtually $500,000. It would additionally embody digital advertisements on Fb and different platforms.
The TV advert, first reviewed by CNBC, takes intention at FedEx as certainly one of a number of firms that paid little to no federal company revenue taxes not too long ago.
“Inform Congress: It is time to put the folks first,” a voiceover on the FedEx advert says. “Make companies like FedEx pay their justifiable share.”
FedEx not too long ago advised CNBC that it’s towards elevating company taxes as strategy to pay for Biden’s infrastructure plan. Advocacy teams such because the Chamber of Commerce and the Enterprise Roundtable have additionally opposed the thought of elevating the company tax charge as a strategy to pay for infrastructure.
“I feel the largest assertion we try to make by means of this marketing campaign is that we will not let company tax dodgers like FedEx drive the controversy on taxes,” Bye stated.
Tax March is a mission of the Sixteen Thirty Fund, a darkish cash 501(c)(4) group that contributed simply over $60 million to Democratic-aligned teams in the course of the 2020 election, together with thousands and thousands to tremendous PACs backing Biden, in keeping with information from the nonpartisan Heart for Responsive Politics.
The marketing campaign by Tax March is without doubt one of the first to tackle companies since Biden grew to become president. It comes as companies are below stress to reply to new voting legal guidelines comparable to these not too long ago handed in Georgia.