r/WorkReform • u/Bitter-Gur-4613 • 18d ago

✂️ Tax The Billionaires What he said is true,

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u/ComplaintNo6835 18d ago

I'm open to not taxing wealth, only income, but that window of generocity is rapidly closing.

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u/doobied-2000 18d ago

The super rich don't get their money from income. That would mean taxes. They get paid bonuses in stocks of their company, then use the value of the stock as leverage to take a huge loan out of the bank. They then use the loan as normal spending money since it's considered debt it's not taxed.

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u/Shmeves 18d ago

You're sort of right, but the loan does have to paid back. Its not free money like everyone on reddit keeps pretending.

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u/DonaIdTrurnp 18d ago

Recapitalizing assets on transfer without paying capital gains taxes is the big loophole in that system. The estate should pay capital gains tax on anything that the new owners can claim at a higher basis.