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I’m confused how using their assets to borrow against lets them avoid taxes. If they borrow $10M for a yacht, they still have to presumably back that money back
by Xcelerate 5y ago
I’m confused how using their assets to borrow against lets them avoid taxes. If they borrow $10M for a yacht, they still have to presumably back that money back at some point to whomever they borrowed from. And to get that money from their assets, they will have to pay capital gains taxes on it. What am I missing?
- Sargos 5y agoThe loan is paid for by the appreciation of the backing asset. And over the long term the depreciation of the dollar.