1,470 people who made more than $1 million in 2009 paid $0 in federal income tax.

[Sexyeccentric1]

1,470 people who made more than $1 million in 2009 paid $0 in federal income tax. The Buffett Rule will make sure that households making $1 million a year or more pay at least the same percentage of their income in taxes as middle class families.

The Buffett Rule will make sure that households making more than a $1 million dollars a year or more pay at least the same percentage of their income in taxes as middle class families

The Buffet Rule Explained

[CuteOldGuy]

I'd like more information on where their income came from, and what deductions they used before issuing an opinion. But on the surface, that just sounds ridiculous.

[Sexyeccentric1]

It is on the government website..just click the linky I provided.

A full 22,000 households that made more than $1 million in 2009 paid less than 15 percent of their income in income taxes — and 1,470 managed to pay no federal income taxes on their million-plus-dollar incomes, according to the IRS.

[CJ7]

yeah, but look at all the jobs they created.


ROTFFLMTAO

[Sexyeccentric1]

The Top 400 tax filers – the very richest Americans – do pay a lower rate of just 18.11 percent of their total income. Why? Many of them are hedge fund managers and people like Buffet — their income is pegged how much their investment fund grows. For some reason, this income is counted as so-called “carried interest” (even though it is not interest at all; it’s more like a performance bonus) and is taxed at the lower 15 percent capital gains rate.

[essence]

How do they manage to do this?

I understand that if you give a donation to a charity, then that reduces your taxable income, so it can partly offset tax. But if your tax rate is 20%, say, you only have a 20% benefit of the amount paid to the charity.

'Tax write-off' is a complete misnomer, it is a tax reduction.

But how do you get down to below 5% tax?

Somebody tell me so I can do the same.

Do they have enormous business expenses, which are only in the loosest terms benefits to the business?

Somebody please explain. Preferably not somebody whacko with a stupid agenda.

[Sexyeccentric1]

Essence just type in the very question: How do the rich avoid paying federal income tax? or some other questions.. you will be surprised at what you find and the answers are there.

[CuteOldGuy]

Are they talking gross income or adjusted gross income? Are there special deductions or is the income from municipal bonds, or where? Do they have large charitable deductions? There is a lot more info needed to really examine this issue.

This is what you get when you have an income tax that is not understandable.

[Sexyeccentric1]

I have an ex husband that should have been a tax attorney because he is one of the most creative men I know at doing taxes and finding loopholes and all kinds of things at getting out of paying taxes. It doesn't surprise me that so many of the rich have hired some very smart tax attorneys to help them get away with some of this shit. I think if you are wealthy the smartest thing to do is have a tax attorney do your taxes, don't do it yourself.. because they know the loopholes and the ins and outs of the tax laws.

[CJ7]

Originally Posted by CuteOldGuy

Are they talking gross income or adjusted gross income? Are there special deductions or is the income from municipal bonds, or where? Do they have large charitable deductions? There is a lot more info needed to really examine this issue.

This is what you get when you have an income tax that is not understandable.

or a million bucks to buy a tax lawyer that knows his shit

[Sexyeccentric1]

Originally Posted by CJ7

or a million bucks to buy a tax lawyer that knows his shit

Yep yep..

[Laz]

You can't look at this superficially and make the conclusion that this is horrible and we must have the Buffet rule. Without knowing the answers to many of the questions already asked this data is meaningless.

[Sexyeccentric1]

Well still trying to research this found another article:

http://blogs.laweekly.com/informer/2..._irs_calif.php

[Sexyeccentric1]

Here is the IRS report on this in PDF format
http://www.irs.gov/pub/irs-soi/09inalcr.pdf

Ok so wading through the PDF format IRS report if you scroll down it shows you the data on the filers and the taxes paid and the years that the taxes were paid

[CuteOldGuy]

Originally Posted by CJ7

or a million bucks to buy a tax lawyer that knows his shit

LIke I said, this is what you get when you have an income tax.