AMZN · 10-Q · 2026Q1 · Full report

Income Taxes and Discrete Items

AMAZON COM INC · 2026-04-30 · Importance 58 · Surprise 42

Amazon recorded an income tax provision of $9.6 billion for the three months ended March 31, 2026, which included $4.1 billion of net discrete tax expense primarily attributable to net gains from its investments in Anthropic. Management highlights that tax laws and changing international tax regimes create uncertainty and that the 2026 Notice (applied retroactively to 2025) is expected to significantly decrease 2024 and 2025 cash taxes paid. Cash paid for U.S. (federal and state) and foreign income taxes (net of refunds) totaled $877 million in Q1 2025 and $1.3 billion in Q1 2026.