Buffet calls for taxing the rich while he sues IRS to avoid paying taxes
EXCERPT:
Billionaire Warren Buffett knows how to separate his social activism from his business management. Over the past several months, as advisor to President Obama, Buffett has been calling for additional taxes on the rich, and telling Americans he also would like to pay more to the government.
However, on November 19th, the true side of Warren Buffett, that of the business mogul, came to light as he is now suing the IRS to avoid paying more than $600 million in taxes levied upon Berkshire subsidiary NetJets.
Warren Buffett, who has been running around complaining that the government should “stop coddling the super-rich” and should raise taxes, is reportedly suing the IRS to avoid $643 million in taxes that the government says Berkshire Hathaway’s NetJets subsidiary owes the government for failing to collect ticket taxes from NetJets customers (who include Mr. Buffett himself). The suit against the IRS is filed by NetJets Large Aircraft Inc., not by Mr. Buffett himself, but Mr. Buffett is CEO of NetJet parent Berkshire and its largest individual shareholder.
They say that actions speak louder than words, and if Warren Buffett’s actions regarding taxation of himself, and his company are any indication, then his words prove him a hypocrite. Just as another Obama administration advisor Jeffrey Immelt worked the system to ensure GE paid no taxes in 2010, the rich play by different taxation laws that contridict the notion that there is a system in place to tax them, or the corporations they run, accordingly to their true earnings.
Maybe Warren is hoping for a settlement with the IRS that is favorable, if he continues to run an advertising campaign for them.
How is it that none of these geniuses that shoot their mouths off about Buffet get around to mentioning that Buffet makes a large portion of his income from TAX EXEMPT municipal bonds. It’s HIS BUSINESS. He’s the largest buyer in the country for buying municipal bond issues, frequently buying the whole issue but immediately passing along part of it to spread the risk. He sells INSURANCE which has it’s own set of tax-favorable rules. The man is IN THE BUSINESS of avoiding taxes, it’s all legal and I don’t blame him in the slightest for pushing on the rules as hard as he can. Everyone with a few bucks to save ought to be studying what he does-—I do. But then I take exception to the ignorant mouth-shooters who whine about him without knowing what he does——as well as Buffet himself moaning about wanting to pay higher taxes. As with everything else just watch what he does, not what he says. You’ll be able to believe his “more taxes” mumblings if he advocates killing tax exempt muni’s.