Jamie Dimon Backs Jeff Bezos’ Tax Plan for Working Americans, Proposes Massive Expansion of Earned Income Tax Credit
As Washington continues to battle over taxes, deficits, and economic inequality, two of America’s most influential business leaders are suddenly pushing a proposal that could dramatically increase take home pay for millions of working class Americans.
During a Forbes Breaking News interview this week, JPMorgan Chase CEO Jamie Dimon publicly praised Amazon founder Jeff Bezos for stepping into one of the most politically explosive debates in America: whether the bottom half of American earners should pay federal income taxes at all. Dimon’s comments come after Bezos proposed eliminating federal income taxes for the bottom 50% of American income earners, a move that would represent one of the largest tax shifts in modern U.S. history. While Dimon stopped short of fully endorsing the plan, he made clear that he agrees with the broader goal of putting more money directly into the hands of working Americans.
“When I saw Jeff doing that I’m saying thank Jeff, God bless you, get involved in the debate,” Dimon said. “I like the fact he’s saying stuff and he cares enough about our country to actually get on there because a lot of people just simply don’t do it.”
A Rare Alliance Among America’s Billionaires
The remarks are notable because corporate America has largely remained silent on tax reform despite growing frustration among voters over rising living costs, housing prices, and stagnant wages. Bezos’ proposal immediately sparked debate because critics argue it would reduce federal revenues while supporters say it would provide direct relief to millions of struggling households. Dimon appears to fall somewhere in the middle.
The JPMorgan chief executive acknowledged that lower income Americans already contribute a relatively small share of total federal income tax revenue. However, he cautioned that focusing solely on federal taxes ignores the larger burden many families face through state sales taxes, local taxes, and property taxes that consume a significant percentage of household income.
Dimon’s Alternative: Pay Workers More Through the Tax Code
Rather than completely eliminating federal income taxes for lower-income earners, Dimon argued that lawmakers should dramatically expand the Earned Income Tax Credit, commonly known as the EITC. The EITC is a refundable federal tax credit designed to supplement wages for lower-income workers. Dimon believes it could become one of the most effective anti-poverty programs in America if significantly expanded.
One of his biggest criticisms of the current system is that workers without children receive little assistance. Under current law, a single worker without children may receive only a modest credit. Dimon argued that limitation should be removed entirely. He then outlined a much larger vision.
Under his proposal, a single parent earning $14,000 annually could receive roughly $12,000 in additional income through an expanded credit, effectively increasing take-home pay to $26,000. Two working parents earning similar wages could see household income boosted to more than $50,000. The concept functions less like traditional welfare and more like a wage subsidy tied directly to employment.
“It Goes Straight to the People”
One of Dimon’s strongest arguments centered on how the money would be distributed. Unlike many government programs that involve layers of bureaucracy, Dimon emphasized that EITC payments go directly to workers, allowing families to decide how the money should be spent. According to Dimon, this approach respects individual choice while also stimulating local economies. Rather than government agencies determining which expenses qualify for assistance, families would have the flexibility to spend money on housing, groceries, childcare, transportation, or other household needs.
The JPMorgan CEO argued that Americans are often more supportive of programs when they know funds are flowing directly to working families rather than being absorbed by administrative costs or government bureaucracy.
The Economic Case for a $250 Billion Investment
Dimon also made an argument that increasingly appeals to economists across the political spectrum: helping workers may ultimately cost less than dealing with the consequences of poverty. He suggested that a large-scale expansion of the Earned Income Tax Credit could generate substantial long-term savings through improved social outcomes.
Higher workforce participation, increased household formation, lower crime rates, reduced recidivism, and fewer social service demands could all offset part of the program’s cost, according to Dimon’s analysis. He also pushed back against the idea that low-wage jobs lack value, arguing that entry-level employment often serves as the first step toward higher earnings and economic mobility. For Dimon, the objective is not simply increasing government spending but creating stronger incentives for people to work while ensuring that work pays enough to support a family.
A Growing Debate Over Tax Fairness
The discussion arrives as Americans increasingly question whether the nation’s tax system properly balances the interests of workers, corporations, and wealthy individuals. Supporters of Bezos’ proposal argue that eliminating federal income taxes for lower income earners would provide immediate relief to families struggling with inflation and rising living costs. Others worry that removing millions of taxpayers from the federal tax base could further increase deficits unless accompanied by significant spending cuts or new sources of revenue.
Dimon’s proposal attempts to thread that needle by maintaining the existing tax system while dramatically increasing direct support for workers. Whether Congress embraces either idea remains uncertain. What is becoming increasingly clear, however, is that some of America’s most powerful business leaders are no longer content to watch from the sidelines as economic frustration continues to grow. And for millions of Americans struggling to get ahead, the debate over who pays taxes and who gets relief may soon become one of the defining economic battles of the decade.
