american tax collector

Chapter 317 Jeff's Gaffe

"The representative of the Amazon Group has nothing to say. It seems that this crime has been confirmed!"

"Suspected of evading nearly 10 billion US dollars in taxes, Amazon is going to suffer a lot this time!"

"Mute Mason was finally found guilty of tax evasion, but I don't know if this was the only charge or if there were other charges."

By this time, the people watching the live broadcast could already confirm that the Amazon Group was definitely guilty of tax violations.

Court scene.

David had already taken out the second document and said, "Your Honor, in addition to the charge of value-added tax reduction, the Amazon Group has another point that people criticize, that is, it has been receiving tax subsidies from the government for so many years, but how did they do it specifically? I will explain it to you first..."

In the following time, David explained to the people present and watching the live broadcast how Dumb Amazon obtained tax subsidies, and finally said: "In the past few years, because the states and regions needed development, they did give Dumb Amazon a lot of subsidies, and Dumb Amazon did receive these subsidies legally and in compliance with regulations."

"But after 17, the states and regions have developed, so the requirements for tax subsidies have naturally increased. However, Amazon still gets tax subsidies every year. What's incredible is that to this day, they still have 14 billion tax credits in their accounts. But according to my detailed investigation during this period, they actually received them in an illegal way in the past few years."

After these words were spoken, the expressions of Lacroix and others in the dock grew darker.

Yes, of course they were well aware that the group had indeed violated regulations regarding tax subsidies, and now that David dared to point it out in public, he must have evidence.

When they thought about the group being charged with a second crime, they felt only deep despair in their hearts.

On the stage, Nicola spent about ten minutes reading David's second investigation report, then turned to the defendant's seat and asked, "Defendant's representative, according to the documents, in Montgomery, Las Vegas, and other places, in order to receive local tax subsidies, you injected funds from other regions into the local areas to achieve the targets. According to tax laws and regulations, this constitutes tax fraud. You'd better explain it."

After saying that, without waiting for Lacroix and others' requests, Nicola waved her hand to signal the staff to take down the document report and hand it to them.

After La Croix and the others carefully checked it, the despair on their faces became even more intense.

Just like the previous VAT deduction, they simply didn't understand how David had been able to investigate so much confidential information about their group in so many areas in various states and cities in such a short period of time.

However, even though they didn't know, the investigation report was now in front of them, and they had no way to argue. The only option was to admit defeat.

"Fake!"

In the gallery, looking at the expressions of Lacroix and the others, Jeff knew that the charge of illegally receiving tax subsidies had probably been confirmed, so he cursed with a grim face.

"Defendant's representative, are you sure you have no objection to this investigation report from the Los Angeles Internal Revenue Service?"

Listening to Nicola's questioning, Lacroix Wilbur and others looked at each other, but finally lowered their heads helplessly. The data was clear and they really couldn't think of any reasons to refute.

"In that case, regarding the two tax violations of value-added tax deduction and tax subsidies that Dumb Amazon was found guilty of, Director David, do you have anything else to add?"

"Your Honor, although value-added tax deductions and tax subsidies are serious, they are nothing more than child's play compared to the crime I will accuse the Amazon Group of next!"

As soon as David said this, there was an uproar at the scene.

The illegal receipt of tax subsidies amounted to more than 10 billion yuan, and the value-added tax reduction was even more exaggerated, directly involving nearly billion yuan in tax funds. However, these are just child's play?
So what crime will David accuse the Amazon Group of next?
"Oh my god, besides these two charges, does Mason have any other more serious crimes?"

"The value-added tax reduction has already involved a tax amount of tens of billions. If this is considered child's play, then Director David will accuse Dumb Amazon of a crime, which will involve at least 200, 300, 400 billion or even more funds!"

"I thought it was about to end, but I didn't expect the real show to just begin now!"

At the same time, the people who were watching the live broadcast were also going crazy.

My goodness, this accusation has been going on for so long, and it’s about violating regulations in receiving tax subsidies and violating regulations in value-added tax reduction. It seems that this is just an appetizer, and the real feast is only being served now?
For a moment, everyone held their breath and widened their eyes, afraid of missing every detail and every word that followed.

If you ask who are the most nervous at this moment, it is naturally La Croix in the dock and the senior executives of the Amazon Group in the audience.

At this moment, they were all staring at each other, racking their brains to guess what crime David would accuse them of next.

And what other crime has their group been charged with that is more serious than value-added tax deduction and illegal receipt of tax subsidies?

Under everyone's gaze, David slowly spoke: "The reason why Amazon Group has been able to develop so quickly and become the world's largest e-commerce giant is that, in addition to the high quality of their products and their low prices compared to other platforms, there is another very important reason, which is that this platform provides a 'free delivery' service. I believe everyone agrees with this, right?"

These words made many people who were holding their breath nervously a little confused.

Didn’t you say that Dumb Amazon had a more serious crime? Why are you bringing up Dumb Amazon’s development now?

Before everyone could get too confused, David continued, "Of course, there is no such thing as a free lunch. There is still a threshold for obtaining this service. The condition is that each person needs to pay a membership fee of 139 per year, and then they can enjoy this service."

"But then again, even if it costs $139 for a membership, it's still a good deal, as it means that all purchases on the platform for a whole year are free of postage."

"Okay, I won't keep you in suspense. Now I'm going to tell you the point. According to the accurate data we have, Amazon's logistics costs reached 850 billion US dollars last year. And compared with the number of customers, Amazon lost at least 400 billion last year on the free delivery service. How can Amazon keep costs to a minimum and provide free delivery while still making money? Have you ever thought about where this money comes from?"

After these words were spoken, Lacroix and others in the dock were struck by lightning, and everyone's eyes widened as big as copper bells.

In the audience, many senior executives of Mason also showed the same expression.

For some reason, their group's logistics costs were not disclosed according to the real figures, and now David actually knew the exact figures. That's fine, but the most terrible thing is that once they really trace it, as David said, how can their group keep costs to a minimum and deliver for free, and still make money?

This is a secret that cannot be made public!

"Mr. Jeff, we can't continue this topic, otherwise our Amazon Group will be finished!"

In the audience, a senior executive of the Amazon Group became nervous, and he whispered a reminder to Jeff beside him.

In fact, there was no need for him to remind him. At this moment, Jeff's hair stood on end.

He didn't know how much inside information David knew about the matter, but he was clear that the details of the matter must not be exposed, otherwise the entire group might immediately be criticized by the public.

While the top management of the Amazon Group was racking their brains to find a solution, the audience was also discussing the matter.

Some people say that the reason why Amazon lost so much money in logistics is that it used the money earned from other places, such as goods and merchants, to subsidize the losses.

Some people also say that Amazon earned the money from the advertising fees on additional advertisements, which is why it has the money to subsidize the funds.

In short, there are many different opinions, and not many people realize the key point.

"Director David, our group's logistics issues have nothing to do with this case. I don't think we need to discuss this any further. Let's get back to the point. Since you're accusing us of value-added tax deductions and illegal tax subsidies, we have nothing to say. Just let the sentence be as it should be!"

La Croix realized that something was wrong and he decided not to let the situation go on any further, even if it meant taking on the two charges.

After all, although the two charges of value-added tax reduction and illegal receipt of tax subsidies are serious, the most they incur is a fine, and the worst punishment is imprisonment, which is not enough to cause serious damage to the entire group.

But if they continue to investigate the issue of the logistics amount, once the secret that their group has been hiding is really exposed, wouldn't their hundreds of millions of users be in an uproar?
"Don't worry, Mr. Lacroix."

David glanced at him and continued, "Now let me reveal the mystery to you. On the surface, Amazon has borne most of the losses in logistics. But as the saying goes, there is no free lunch in the world, and the wool has always come from the sheep. In fact, Amazon has implemented a series of clever plans to incorporate transportation costs into the price of goods as a "hidden fee". I call it a hidden tax. In other words, in addition to the annual fee of US$139, consumers are still paying the fee for 'free delivery', but you consumers don't know..."

"Alright Chief David!"

A shout suddenly interrupted David's words. Everyone turned their heads and saw that the person who made the shout was none other than Jeff in the audience.

"What, why can't Jeff hold back all of a sudden?"

"Just now, whether it was the value-added tax reduction crime or the illegal tax subsidy crime, Jeff didn't seem to lose his composure. Now he actually stood up and interrupted the trial. It seems that this matter must be very serious!"

"Wait... Director David just said that Dumb Amazon implemented a clever plan to double the transportation costs as hidden expenses. Is this true?"

"I know why Jeff is so anxious. Once this is confirmed, it will not only be suspected of tax evasion, but also suspected of defrauding consumers!"

Seeing Jeff's loss of composure in court, the people in the court and the audience who were watching the trial started a heated discussion again.

"Bang bang bang!"

There was a sudden commotion at the scene, and Nicola had to bang the gavel three times before everyone shut up.

"Mr. Jeff, I think you should understand that if you want to speak in court, you must get the judge's permission. Otherwise, you will be expelled from the court. Do you understand?"

"I understand, Your Honor. As our group's representative said, since the Los Angeles Internal Revenue Service has sufficient evidence of value-added tax deduction and illegal receipt of tax subsidies, we will admit the charges and are willing to accept the punishment. However, the logistics incident has nothing to do with this. I request that this topic be brought to an end!"

Jeff is of course a man who knows the importance of things. Not to mention asking him to plead guilty to the two charges, he would be willing to do so even if it means he bleeds a lot, as long as the logistics incident is not pursued further.

"Your Honor, the logistics incident involves serious tax evasion, which is directly related to this case and is also a point of complaint filed by our Los Angeles Internal Revenue Service."

David also stood up.

"Mr. Jeff, you should have heard that this is an incident directly related to this case, and since the Los Angeles IRS wants to continue to sue, it should go ahead and dismiss it!"

"Your Honor, if we must continue, I request that we conduct a closed live broadcast, or we can reach an out-of-court settlement with the Los Angeles Internal Revenue Department. In short, everything is negotiable!"

Jeff could only settle for the second best, and his last sentence, 'Anyway, everything can be discussed', was actually just like telling David directly that as long as you agree, we, the Masons, are at your mercy!

However, the audience who were watching at this time were not happy. They also wanted to know whether Amazon really charged them hidden fees. If the next broadcast was closed or an out-of-court settlement was reached, how would they know about this matter?

So at this moment, viewers on major social platforms have spoken out, calling on the Los Angeles IRS not to agree to Jeff's request.

But fortunately, David's next words made them feel relieved.

At the trial, David shook his head and said, "Mr. Jeff, you should have come to talk to me about this earlier, but now it's in court, and the whole country is watching. Our IRS must be fair and open, so I'm sorry!"

"David..."

Jeff wanted to say something else, but at this time two bailiffs from the court were walking straight towards him. In order to avoid being ejected, he could only swallow his words, clenched his fists and gritted his teeth, and sat back.

(End of this chapter)