Corporate tax reform

Elizabeth Warren proposes new tax for big corporations

In this image, Elizabeth Warren stands and speaks behind a blue podium.
Photo: Zach Gibson/Getty Images

2020 candidate Sen. Elizabeth Warren (D-Mass) released a new corporate tax proposal on Thursday that would create a new 7% tax on corporations' profits over $100 million.

Details: Warren's proposal estimates that her "Real Corporate Profits Tax," which targets the profits reported by companies on their financial statements and would come in addition to existing tax liabilities, could bring in $1 trillion over 10 years. She used Amazon as a prominent example, arguing her proposal would have caused the tech giant to pay $698 million in taxes in 2018 instead of $0, despite its record profits.

4 pharma companies saved $7 billion from GOP tax law

Two people walking outside of a building with a Merck sign.
Photo: Kena Betancur/Getty Images

Four pharmaceutical companies — Johnson & Johnson, Pfizer, Merck and Abbott Laboratories — collectively kept $7 billion in tax savings in 2018 due to Republicans' 2017 corporate tax overhaul, according to a new Oxfam report.

The bottom line: Oxfam's results mirror our reporting, which shows pharmaceutical companies in particular have benefited from bringing back billions of dollars in overseas profits that have sat untaxed. However, this report says the tax savings have not led to other social goods, like more research investment in new drugs or lower drug prices.