After promising to eliminate taxes on tips, Social Security benefits and overtime pay, former President Donald Trump is taking aim at the largest levy of them all — the federal income tax.
Exactly, billionaires don’t usually get income the way most people normally do, or are only paid $1/year and instead are given stock. They can then use that as collateral to take out loans, effectively getting millions of dollars in salary without paying income taxes. And then when they die, the principal on their stock resets so their heirs can sell the stock and the gains be next to nothing, meaning they won’t pay taxes on all the gains.
Exactly, billionaires don’t usually get income the way most people normally do, or are only paid $1/year and instead are given stock. They can then use that as collateral to take out loans, effectively getting millions of dollars in salary without paying income taxes. And then when they die, the principal on their stock resets so their heirs can sell the stock and the gains be next to nothing, meaning they won’t pay taxes on all the gains.