cancel
Showing results for 
Search instead for 
Did you mean: 
Highlighted
Honored Advisor

Re: 'Buffet' tax

Yes, since BH has a operating model of "holding forever", probably reinvesting dividends. Somewhat like a BTO farmer does, continually in a growth phase.  On the face of it, Buffett looks like a lunatic with diarrhea of the mouth, but he`s no dummy.  If his ridiculous talking points ever did get traction, he`d probably move Berkshire to "Lichtenstein" and only pay 7% tax.  Meanwhile, he`s the toast of the wealth redistribution crowd. When these liberals flippantly say "If low taxes are so great, why not lower `em to 0% and see how much revenue you get"  I would say, raise `em to 100% and see what happens, however I think that`s what they want and would gladly try it.  That is the liberal endgame, everything you make goes to the gov`t and they give you an "allowance" that is if your a good little boy or girl.   Not smoking, wearing seatbelts, getting your vaccinations......getting your balls cut off. 

Highlighted
Veteran Advisor

Re: 'Buffet' tax

Oh, yes, Buffet is a genius, he does what he can to make himself as rich as possible, while saying the things that enamor him with the 'more tax' crowd.  Might be his rhetoric is to get him a little 'easier' treatment from the IRS with his own tax problems, who knows.  If it looks like it will work, he's smart enough to do it.

Highlighted
Veteran Advisor

Re: 'Buffet' tax

I haven't heard any liberal say reduce taxes to zero but I have heard many conservatives continually say that lower taxes produce jobs and that higher taxes on the already rich hurts job production because these people are the ones creating jobs.  To that I say BS.  A lot of the rich here don't produce anything.  Most got their money being shrewd market players or their family has immense stock holdings or banking interests.  Those that do own businesses aren't looking to hire before they get as much money as they can out of their business then they might hire one or two more employees.  The businesses that do come into a higher than expected flow of cash give huge bonuses to the CEOs rather than expand and put on more employees.   I would hate to be as cynical as you are.  Actually, you aren't as it is all politics.  You don't really mind all the regulations because you at least tolerate them when repubs are in charge.

Highlighted
Veteran Advisor

Re: 'Buffet' tax

Logic doesn't seem to be your strong suit, DonnyBrook.

 

Of course, neither does empathy or charity, either, but that is another topic.

 

The corporate income ends up being taxed at about 50% by the time it makes it into the hands of the average law abiding citizen....seems like a lofty cut of the income for a government to take..

 

if the goal is to encourage American , good old USA Income, and Jobs, seems like a dead end road to travel down, and most intelligent business oriented people in America get this.

 

Go find a book about income taxation and read about "double taxation". But maybe reading and understanding are not your strong suits, either.

 

Highlighted
Senior Advisor

Re: 'Buffet' tax

If "double" taxation is so ornerous, do not invest in a corporation. Buffets acknowledgement that his secretary pays a higher federal income tax rate on earnings from the same corp should be telling to any thinking person.

 

So lets treat capittal gains at the same rates as ordinary income. That would at least partially correct the imbalance and we do it in  the name of fairness. Also assess SS taxes on capital gains as well. Perhaps then those folks may appreciate what an advantage they had over the poor working folks.

 

Highlighted
Senior Advisor

Re: 'Buffet' tax

No he is not a tax cheat. He is merely utilizing the tax code as it is written. The congress and it's "wisdom" has determined the capital gains income receive special treetment. A 15% CG tax rates and no SS taxes against it. And we claimas americans that we appreciate people that work for a living. One should never conclude that by examining the tax code.

 

Perhaps working people do not have the capacity to lobby their congressman. And you guys batch about union donations affecting politics while corporations own the congress.

Highlighted
Honored Advisor

By right`s way `gains` tax should be Zero

See, if someone sticks their neck out and buys a farm, makes payments with after tax dollars and after all that sweat decide to sell it, because of the devaluation of the dollar they are taxed on money that`s worth less or should I say "worthless".  The only reason that sucker is paying gains tax is the government`s mishandling of the economy in the first place.  The way the tax code is set up, it discourages production and frugality, the poor sucker strapped with a gains tax would have been waaay ahead blowing his farm down payment on wine, women and song, then going on the public dole at retirement.  I mean Jesus Christ! how many times does the government tax a single dollar???  And they still can`t balance the budget.  As I recall from the Sopranos, Tony only got one "taste" of the action in his neighborhood.  As far as Buffett, Don he owes the IRS $1 billion, he can hire $1000/hr lawyers from now `til dooms day and it`s still cheap use of $1 billion.  If the IRS says you or I owe $10,000, that would be a shake down, we`d pay ....you couldn`t hire much of a lawyer to fight it.   

Highlighted
Senior Advisor

Re: 'Buffet' tax

Tax it and you will have less of it. Tax corps that hire union labor and you will less corps that hire union labor. Very simple to understand.

Highlighted
Veteran Advisor

Re: By right`s way `gains` tax should be Zero

You sure he personally owes that $1 billion or is it the company?

Highlighted
Senior Advisor

Re: How silly!

I bought a farm in 1986 $900 per acre. Todays value $6K to $7K $900 paid with after tax income. Balance in capital gains from 5K to 6k,one farm only. I don't know any working class guy that has had his wages multiplied by 7 over the same period of time. He is facing the same inflationary costs but nobody suggest he should get by on a 15% tax rate.

 

I think a workers wages is equally as precious to him as is a return on investment is for and investor. Both contribute to society and the bulk of payroll checks go for living expense. AKA consumers for businesses.

 

I don't know how investors got preferrential treatment. That old saying that the rich create jobs. When in fact they don't. Many times they eliminate jobs in the interest of more profits. I suggest that most in the investment class create no jobs. They merely sit on their wealth and enjoy the benefits while making no effort to hire anyone. Infact they hope the companies downsize and become more efficient.

 

And after those windfall profiteers do not want to pay taxes on their gain nor do they want to pay estate taxes. They think they deserve preferrential treatment even beyond the grave. Now $5 million can pass tax free anmd they still want a better deal.

 

I doubt Warren Buffet owes a billion in taxes. Perhaps Berkshire Hathaway does.