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To: Freee-dame
[Warren pays less than his secretary.

His speechwriters knew full well that the way they worded this, saying “Ask a billionnaire to pay AS MUCH as his secretary” implies that his secretary paid more dollars, not paid at a higher rate. Buffet's income is probably mostly on investments anyway. ]

This is a Democrat's lie. Buffet's tax rate is not less than his secretary. He pays at least 45%.

He ignores the fact that the corporation pays the owner's income tax and whatever is left, can be distributed as dividends/capital gains which are taxed again at 15%.

A sole proprietor pays the income tax, and money leftover is not taxed - he is free to spend it or save it. The tax on dividends is double taxation.

1,578 posted on 01/24/2012 8:15:59 PM PST by greeneyes (Moderation in defense of your country is NO virtue. Let Freedom Ring.)
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To: greeneyes

Buffett is a deliberately misleading example used by the Dems.

Buffett’s wealth is largely in Berkshire Hathaway stock, which does not pay a dividend. He only gets about $100K in wage income. Most of his income is from dividends and interest from his non-Berkshire assets. It’s likely that his assistant makes more in wage income from Berkshire than he does.

So he pays 15% on his dividend income (of course, the companies paying the dividends already paid taxes on the payout twice), and interest is treated as ordinary income.

I don’t know what Buffett’s actual income was last year, but I wouldn’t be surprised if it’s much lower than the typical robber-baron’s. Many of the perks he enjoys can be written off as business expenses for Berkshire.


1,695 posted on 01/25/2012 3:08:48 AM PST by oblomov
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