Tax deductions

Amazon's HQ2 decision starts local firestorms

Illustration of fist shaking at sad Amazon box
Illustration: Sarah Grillo/Axios

Amazon is caught in a surprise grassroots battle with local critics who are furious that it's been promised billions of taxpayer dollars to put jobs in New York, Arlington and Nashville, the winners of its search for a second headquarters.

Why it matters: Amazon won the top-down battle, with support from governors, mayors and economic development organizations. But it’s now confronting bottom-up outrage from activists and local lawmakers who were cut out of the bidding process.

Trump says he'll consider ending electric vehicle subsidies for GM

Electric car being manufactured
Chevy Volt electric vehicle goes through assembly at the General Motors Detroit Hamtramck assembly plant. Photo: Bill Pugliano via Getty Images

President Trump said on Twitter Tuesday that he is looking at ending electric vehicle subsidies for General Motors over its decision to idle four plants in the U.S. and cut 15% of its salaried workforce.

Be smart: As Axios' Dan Primack notes, there are no GM-specific electric vehicle subsidies. Instead, there are industrywide federal tax credits of up to $7,500 on EVs purchased in the United States, with aggregate caps of 200,000 vehicles per manufacturer. GM is currently bumping up against its cap, while Tesla has already hit it. Trump also could not end the credits without the help of Congress, which soon will have a Democrat-controlled House.