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Well when you give out salary or bonuses (or even a dividend) taxes are paid twice (once by company, once by employee/investor). By playing stock tricks (buyi
by mox1 9y ago
Well when you give out salary or bonuses (or even a dividend) taxes are paid twice
(once by company, once by employee/investor).
By playing stock tricks (buying back shares, non voting shares) the company never pays taxes, just the employee/investor.
That's probably not the whole story, but part of it I think.
- drewg123 9y agoI should have thought of this. It all comes down to avoiding taxes.