eli5 what do people mean when they say billionaires dont get taxed
In: 9253
To be absolutely clear, they don’t pay “no taxes,” they pay no income tax on a salary.
They’re still paying things like capital gains tax, real estate taxes, sales tax, etc. The businesses that they own also pay a litany of taxes as well. And if they liquidate anything into cash that qualifies as income they *would* pay income tax on that too.
The idea that billionaires pay literally *no tax whatsoever* through super secret 1%-only exclusive tax loopholes is not true but gets bandied about by the “eat the rich” crowd regularly. Should some of these loopholes be closed so they can avoid *less* tax through clever accounting? Yeah, absolutely, but you can’t hold it against them to be taking advantage of every advantage presented. We all do it and it would be silly not to.
Latest Answers