Senator Warren: Big Tech Tax Breaks Could Fund Vital Benefits for Millions

A comprehensive analysis from Senator Elizabeth Warren’s (D-MA) office reveals that the immense tax breaks granted to major technology companies under President Donald Trump’s “Big Beautiful Bill” could have instead financed critical federal programs benefiting millions of Americans.

The study highlights how corporate tax savings for tech giants like Google’s parent company, Alphabet, Amazon, and Microsoft, amount to billions. For instance, Alphabet is set to save approximately $17.9 billion in taxes this year alone. This staggering sum, according to Warren’s findings, is sufficient to cover Supplemental Nutrition Assistance Program (SNAP) benefits for an estimated 7.5 million Americans.

Furthermore, these funds could provide significant support for healthcare. The same $17.9 billion could sustain Medicaid coverage for approximately 2.3 million adults or 5.4 million children. Amazon’s projected tax break for the year stands at around $15.7 billion, an amount that could provide SNAP benefits for 6.6 million individuals or Medicaid for 2 million adults. Looking ahead, Microsoft’s estimated $12.5 billion tax reduction in 2026 could reduce Affordable Care Act (ACA) premiums for 1.9 million people.

The Impact of the “Big Beautiful Bill”

Passed by a Republican-controlled Congress in July, the “Big Beautiful Bill” includes provisions highly favorable to Big Tech. Beyond maintaining a lower corporate tax rate, the legislation introduced a more generous system for research and development write-offs. Paradoxically, at the same time, the bill enacted sweeping cuts and stricter eligibility requirements for essential federal initiatives such as the ACA, Medicaid, and SNAP.

The timing of these findings is particularly poignant, as the federal government has faced a shutdown, with President Trump only partially funding SNAP with a $4.65 billion payment. This comes despite the federal government spending $99.8 billion last year to fund SNAP benefits for an average of 41.7 million monthly recipients.

Senator Warren emphasized the stark contrast in priorities, stating, “Donald Trump and Republicans in Congress are knocking millions of Americans off their health insurance and ripping away food assistance from families — all so they can fund giant tax cuts for billionaires and giant corporations. This is a matter of priorities: Trump and Republicans are fighting for their billionaire buddies, while Democrats are fighting for American families.”

The analysis underscores a critical debate about national financial priorities and the allocation of resources between corporate tax incentives and social welfare programs.