US3 min(s) read
Published 12:36 21 May 2026 GMT
Jeff Bezos has called for millions of lower-income Americans to stop paying federal income tax entirely, and here’s who could qualify under the proposal.
Speaking to CNBC on Wednesday (May 20), the Amazon founder argued that eliminating taxes for the bottom half of US earners could reduce financial pressure on struggling families while also encouraging future entrepreneurs.
"I don't want to reduce it, I want to eliminate it," he told Andrew Ross Sorkin. "I think there's something very powerful about zero. Zero is a better number than $1."
According to Bezos, "the bottom half" of taxpayers currently contributes around 3% of federal income taxes.
The 62-year-old stepped down as Amazon CEO in 2021 and is currently the world’s fourth-richest person with an estimated fortune of $279 billion, according to the Bloomberg Billionaires Index.
The billionaire said the government can give "people who are struggling today" a better chance at entrepreneurial success "by eliminating their tax bill".
"Maybe they're going to be the next Steve Jobs," Bezos added, referencing the late Apple co-founder.
Under current federal tax data from the Tax Foundation, the bottom half of taxpayers are those earning less than $53,801 annually.
That group paid an average federal income tax rate of 3.7% in 2023, while the top 1% paid an average rate of 26.3%.
The Tax Foundation also found that the top 1% of households currently pay roughly 40% of all federal income taxes.
Bezos’ comments sparked a public feud with New York City Mayor Zohran Mamdani after the billionaire questioned whether higher taxes on the ultra-rich would actually improve life for working-class residents.
"You could double the taxes I pay, and it’s not gonna help that teacher in Queens. I promise you," he said during the interview.
Mamdani quickly fired back on X, writing: "I know a few teachers in Queens who would beg to differ."
The exchange added renewed tension to New York’s ongoing debate over wealth taxes and affordability policies.
Mamdani and New York Governor Kathy Hochul are currently backing a proposed pied-à-terre tax that would target luxury second homes valued at $5 million or more.
According to the young mayor, the tax could generate around $500 million annually for the city, although NYC’s comptroller has estimated the figure may land between $340 million and $380 million after changes in homeowner behavior.
Interestingly, Bezos said he was supportive of that proposal. "I think that the pied-à-terre tax is a fine thing for New York to do,” he said.
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