3 ms·
Would it tax loans? If not, how do you tax billionaires who never sell their stock and just get loans with their stock as collateral. How bezos pays minimal t
by adrr 5y ago
Would it tax loans? If not, how do you tax billionaires who never sell their stock and just get loans with their stock as collateral. How bezos pays minimal taxes without having realize gains by selling his stock.
- missedthecue 5y agoThe loan eventually must be repaid. If it's repaid after death, a 40% federal estate tax (+16% if you're in NY or CA) takes it's cut. I'm not sure who originated this "loans are an infinite money cheat" narrative, but I've been seeing it all over the internet recently and it's simply not true.
- dragonwriter 5y ago> Would it tax loans? “introduce tax on debt creation (when the bank gives you the money).” > If not, how do you tax billionaires who never sell their stock and just get loans with their stock as collateral. Depending on how serious you are about taxing gross transfers, giving a collateral interest is also a transfer of interest in money, so you could tax that, too. Valuing the collateral interest could be tricky, though.