No tax

It has been in the news recently that Amazon pays no income tax. The reason is that Amazon continues to invest in areas of growth at the expense of profitability. Their stock pays zero dividend so the only way Bezos gets money is through his salary which is a modest $81,000 per year. Other money he needs he gets by selling Amazon stock on which he would pay a 20% capital gain rate. This is why his tax bracket is higher than his secretaries which is what Warren Buffet said about his secretary. By way of contrast: San Diego announced its $300 million, 10-year contract with the All-Star infielder on Thursday, more than two days after the deal was agreed to. Keep in mind that Bezos has created 660,000 jobs while the ball player is paid to entertain.