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But what is Gatess own tax history, and how does he compare to other billionaires?
And what exactly does he propose tochange about the tax system?
This is one of the edges that billionaires have over everyday working folks in America.
Salaried employees and wage earners have to pay ordinary income taxes on their earnings.
Billionaires, on the other hand, tend to generate wealth through investments and inheritances.
How Much Do Billionaires Really Pay in Taxes?
In some cases, its really true that billionaires end up paying $0 in federal income taxes.
A 2021 analysis byProPublicapointed out how this level of tax avoidance isnt restricted to just a few individuals.
Bloombergs rate was 1.3%, while Bezoss was less than 1%.
How About Gatess Tax History?
The ProPublica data shows that Gates pays an effective tax rate of 18.4%.
He also believes that capital gains should not have a special tax rate.
Gates says that thesetypes of tax breaks disproportionately benefit the wealthy.
They also dont have to pay the 15% self-employment tax on those profits.
Gates, along with many other economists and legislators, would like to see that benefit go away.
Yet, he is far from the worst tax avoider among the elite club of billionaires in America.
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