A report released last week by the Institute on Taxation and Economic Policy (ITEP) reveals the results of the Trump-era Tax Cuts and Jobs Act (TCJA) for T-Mobile, Amazon, and other corporate giants. Passed in 2017 without a single Democratic vote in Congress, the TCJA’s provisions allowed 39 of the nation’s most profitable companies, including T-Mobile, to pay $0 in federal income tax from 2018 through 2020.
During that time, T-Mobile successfully pursued a job-killing merger with Sprint, reported $11.5 billion in profits, and received $80 million in tax refunds.
T-Mobile workers have been organizing to join CWA, but the company has taken aggressive action to deny employees their legal right to form a union. T-Mobile has been guilty of violating U.S. labor law multiple times and has been subject to dozens of unfair labor practice charges.
Current regulations allow companies like T-Mobile to deduct the costs of this union-busting activity, which often includes millions in payments to “union avoidance” consultants. Meanwhile, the Tax Cut and Jobs Act eliminated the union dues deduction for millions of workers.
During the upcoming budget reconciliation process, Democrats in Congress will try to end or limit a variety of corporate tax breaks, including the deduction for union busting costs, and impose a minimum tax on corporate profits.