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He'll donate to a trust/non-profit he controls that will direct the investment. That allows him to take the tax benefit today and keep the money
by conductr 9mo ago
He'll donate to a trust/non-profit he controls that will direct the investment. That allows him to take the tax benefit today and keep the money
- nulbyte 9mo agoNot if he controls the funds. Tax deductions are only afforded to contributions if they are charitable and am actual gift. If the contributor benefits, it is bit deductible, and control of donated funds is a benefit, as is the ability to direct funds to a particular person or persons.
- conductr 9mo agoBillionaires can financial engineer their way around those types of rules quite easily
- ex-aws-dude 9mo agoBut once its in a non-profit you can't just take it back out for personal use can you?
- conductr 9mo agoNo not directly but he can control it. So he can invest in a shell company that invests in other shell companies that buys shares of operating companies. It’s not like he needs these funds to buy groceries or pay the mortgage. He’s essentially hoarding assets like all billionaires are. This is a simplistic example for illustration, the actual financial engineering would certainly create much more complexity in order to obscure things for auditors and the like. But the point is that he/his fiduciary is the one controlling it all.