ProPublica has obtained a vast cache of IRS information showing how billionaires like Jeff Bezos, Elon Musk and Warren Buffett pay little in income tax compared to their massive wealth — sometimes, even nothing.
I had hoped the point would be pretty obvious. Most people’s homes represent a significant part of their net worth, often a majority of their assets. The unrealized gains on that are taxed.
But the real question is, do you think they should be? 'Cause I’m with you if you say no. Unrealized gains should not be taxed at all, it makes no sense.
You’re misunderstanding how their wealth is distributed. By and large, they’re not directly owning the land and paying taxes. They just own significant stakes in the actual companies holding property. I’m sure they own a house or three, but it’s not significant compared to their other assets.
I’m not taking a position on whether property taxes are good. I think they are. I’m just pointing out the discrepancy.
Actually, there are a large number of billionaires whose primary assets are literally property.
https://www.forbes.com/sites/giacomotognini/2023/10/04/the-richest-real-estate-billionaires-in-america-2023/
But the real question is, do you think they should be? 'Cause I’m with you if you say no. Unrealized gains should not be taxed at all, it makes no sense.
You’re misunderstanding how their wealth is distributed. By and large, they’re not directly owning the land and paying taxes. They just own significant stakes in the actual companies holding property. I’m sure they own a house or three, but it’s not significant compared to their other assets.
I’m not taking a position on whether property taxes are good. I think they are. I’m just pointing out the discrepancy.