How they don't pay.
"Some of us are investment managers who earn billions from our daily labors but are allowed to classify our income as "carried interest", thereby getting a bargain 15 percent tax rate. Others own stock index futures for 10 minutes and have 60 percent of their gain taxed at 15 percent, as if they'd been long-term investors."
I understand the "carried interest" bargain but not the second. Is there a tax avoidance by buying "stock index futures". How does that work? Don't get it.
Buffet's point is not that raising taxes on the rich will raise huge sums. That's not the point. The point is fairness. Fairness has always had a firm position in our whole legal/ social structure. Current tax law has thrown fairness out the window.
"Some of us are investment managers who earn billions from our daily labors but are allowed to classify our income as "carried interest", thereby getting a bargain 15 percent tax rate. Others own stock index futures for 10 minutes and have 60 percent of their gain taxed at 15 percent, as if they'd been long-term investors."
I understand the "carried interest" bargain but not the second. Is there a tax avoidance by buying "stock index futures". How does that work? Don't get it.
Buffet's point is not that raising taxes on the rich will raise huge sums. That's not the point. The point is fairness. Fairness has always had a firm position in our whole legal/ social structure. Current tax law has thrown fairness out the window.