The Secret IRS Files: Trove of Records Reveal How Wealthiest Avoid Income Tax

https://www.propublica.org/article/the-secret-irs-files-trove-of-never-before-seen-records-reveal-how-the-wealthiest-avoid-income-tax

by archagon • 1 year ago

20 7 1 year ago

propublica.org

llacb47• 1 year ago

(2021)

plagiarist• 1 year ago

What I don't understand is how they pay off the loans without triggering a tax event from liquidating capital to do so. Like the loans are always small enough to be paid using the low amounts of taxed income?

litoE• 1 year ago

I would either renegotiate the loan or, almost equivalent, get a second loan to pay off the first one.

don_neufeld2• 1 year ago

Interest accrues, it's not paid.

Then the debt is rolled over into a new loan for a larger amount.

As long as the collateral increases in value faster than the interest rate, this can continue indefinitely.

rohan_• 1 year ago

what bank would finance this? this is such insane risk. as soon as the stock market hits a recession, the bank will call the loan, and the borrower will be bankrupt.

The Secret IRS Files: Trove of Records Reveal How Wealthiest Avoid Income Tax

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