Warren Buffet whines that his taxes are too low

C

Cypress

Well-known member
p.s.: Its because taxes on investment income are typically are lower than taxes on working wage income:


Billionaire Buffett still complaining his taxes are too low

David Edwards and Muriel Kane
Published: Tuesday October 30, 2007

Multi-billionaire Warren Buffett has been complaining for years that his taxes are too low. Last June, he said at a fundraiser for Hillary Clinton that he was taxed at only 17.7% last year on his $46 million in income, while his secretary paid 30% of her $60,000.

NBC's Tom Brokaw recently interviewed Buffett, "whose approach doesn't make him very popular with his fellow billionaires."

"The taxation system has tilted toward the rich and away from the middle class in the last 10 years," Buffett, the nation's third richest man, told Brokaw. Buffett said he did an informal survey of federal taxes paid by his own office staff, and the average was 32.9%, compared to his 17.7%.

"There wasn't anybody in the office, from the receptionists on, that paid as low a tax rate," Buffett stated, noting that "I have no tax planning, I don't have an accountant, I don't have tax shelters."


http://rawstory.com/news/2007/NBC_Warren_Buffett_wants_more_taxes_1030.html
 
Cypress said:
p.s.: Its because taxes on investment income are typically are lower than taxes on working wage income:


Billionaire Buffett still complaining his taxes are too low

David Edwards and Muriel Kane
Published: Tuesday October 30, 2007

Multi-billionaire Warren Buffett has been complaining for years that his taxes are too low. Last June, he said at a fundraiser for Hillary Clinton that he was taxed at only 17.7% last year on his $46 million in income, while his secretary paid 30% of her $60,000.

NBC's Tom Brokaw recently interviewed Buffett, "whose approach doesn't make him very popular with his fellow billionaires."

"The taxation system has tilted toward the rich and away from the middle class in the last 10 years," Buffett, the nation's third richest man, told Brokaw. Buffett said he did an informal survey of federal taxes paid by his own office staff, and the average was 32.9%, compared to his 17.7%.

"There wasn't anybody in the office, from the receptionists on, that paid as low a tax rate," Buffett stated, noting that "I have no tax planning, I don't have an accountant, I don't have tax shelters."


http://rawstory.com/news/2007/NBC_Warren_Buffett_wants_more_taxes_1030.html
Click to expand...

A response that is worthy:

http://www.opinionjournal.com/best/?id=110010825

Buffett's Bluster
"The United States' second-richest man has delivered a blunt message to the Bush administration: he wants to pay more tax," reports London's Guardian:

Warren Buffett, the famous investor known as the "Sage of Omaha", has complained that he pays a lower rate of tax than any of his staff--including his receptionist. Mr Buffett, who is worth an estimated $52bn (£25bn), said: "The taxation system has tilted towards the rich and away from the middle class in the last 10 years. It's dramatic; I don't think it's appreciated and I think it should be addressed."

During an interview with NBC television, Mr Buffett brandished an informal survey of 15 of his 18 office staff at his Berkshire Hathaway empire. The billionaire said he was paying 17.7% payroll and income tax, compared with an average in the office of 32.9%.

"There wasn't anyone in the office, from the receptionist up, who paid as low a tax rate and I have no tax planning; I don't have an accountant or use tax shelters. I just follow what the US Congress tells me to do," he said.​

Presumably the disparity arises from two factors: Dividends and capital gains, which presumably account for a large share of Buffett's income, are taxed at a lower rate than wages; and the Social Security tax cap (currently $97,500 of wages) ensures that Buffett pays a much smaller percentage of his income in that tax than someone with a more ordinary income.

But does Buffett really want to pay more in taxes, or does he want the rest of us to pay more in taxes? If what troubles him really is his own meager contribution to the federal government, he could easily remedy that without being compelled to by law. Call it an act of civil obedience. Blogger Mark Perry leads us to this page on the U.S. Treasury Web site, which explains how to do it:

Citizens who wish to make a general donation to the U.S. government may send contributions to a specific account called "Gifts to the United States." This account was established in 1843 to accept gifts, such as bequests, from individuals wishing to express their patriotism to the United States. Money deposited into this account is for general use by the federal government and can be available for budget needs. These contributions are considered an unconditional gift to the government. Financial gifts can be made by check or money order payable to the United States Treasury and mailed to the address below.

Gifts to the United States
U.S. Department of the Treasury
Credit Accounting Branch
3700 East-West Highway, Room 6D17
Hyattsville, MD 20782​

Buffett would be a far more effective advocate of higher taxes if he put his money where his mouth is. But in fact he has done just the opposite. Fortune reported last year on what he planned to do with his money:

"Brace yourself," Buffett warned with a grin. He then described a momentous change in his thinking. Within months, he said, he would begin to give away his Berkshire Hathaway fortune, then and now worth well over $40 billion.

This news was indeed stunning. Buffett, 75, has for decades said his wealth would go to philanthropy but has just as steadily indicated the handoff would be made at his death. Now he was revising the timetable. . . .

Buffett has pledged to gradually give 85% of his Berkshire stock to five foundations. A dominant five-sixths of the shares will go to the world's largest philanthropic organization, the $30 billion Bill & Melinda Gates Foundation, whose principals are close friends of Buffett's (a connection that began in 1991, when a mutual friend introduced Buffett and Bill Gates).​

By giving his assets to charity, Buffett shields them from the death tax, which, under current law, his estate will have to pay unless he dies in 2010. As we noted in 2006, Buffett is also a supporter of the death tax. He just intends not to pay it.
Click to expand...
 
That's idiotic. Giving to charity isn't a way to "shield" yourself from the ESTATE tax (it would make sense to call it a death tax if it were a tax on death, but it is not, since it is a tax on an estate, but I'm sure the distinction doesn't matter to supporters of dynasty building). You still don't have the money you fucking dumbass. If Warren Buffet devised a way to get the money back to his descendants without paying the estate tax, that would be selfish. Giving it away to charity, clearly, isn't selfish. I don't know how anyone could possibly ever construe giving 40 billion away to charity instead of having 1 billion taxed to the government as selfish.

Yes, Warren Buffet can give away his taxes to the US government. But what good would that do? The clear point here is that the poor are forced to give away 30%, the rich 17%. That isn't even a regressive flat tax. That is ultra-regressive. I don't know how anyone can possibly justify it by saying that the rich should voluntary give it away if they disagree with the system. Why can't the poor voluntary give that 13% away?
 
Last edited:
Wow, cypriss finally found someone he can relate to, a guy who is rich who wants to be taxed more. Yes cypriss there are a few nutters out there.
Doesn't change the fact that when you increase taxes on the wealthy who fund job-creating investments and are mobile and can move elsewhere, you end up hurting the economy because the vast majority of the wealthy do NOT want to be taxed more.
 
You must log in or register to reply here.
Back
Top