Warren Buffet on the inequities of us tax policy

[captainmcd]

blackhand, this one is for you
The Tourist

A tourist walked into a Chinese curio shop in San Francisco . While looking around at the exotic merchandise, he noticed a very lifelike, life-sized, bronze statue of a rat. It had no price tag, but was so incredibly striking the tourist decided he must have it. He took it to the old shop owner and asked, "How much for the bronze rat?"

"Ahhh, you have chosen wisely! It is $12 for the rat, $100 for the story." said the old Chinaman.

The tourist quickly pulled out twelve dollars. "I'll just take the rat, you can keep the story."

As he walked down the street carrying his bronze rat, the tourist noticed that a few real rats had crawled out of the alleys and sewers and had begun following him down the street. This was a bit disconcerting so he began walking faster.

A couple blocks later he looked behind him and saw to his horror the herd of rats behind him had grown to hundreds, and they began squealing.

Sweating now, the tourist began to trot toward the Bay. Again, after a couple blocks, he looked around only to discover that the rats now numbered in the MILLIONS, and were squealing and coming toward him faster and faster.

Terrified, he ran to the edge of the Bay and threw the bronze rat as far as he could into the Bay. Amazingly, the millions of rats all jumped into the Bay after the bronze rat, and were all drowned.

The man walked back to the curio shop in Chinatown . "Ahhh," said the owner, "You have come back for story?"



"No, sir," said the man "I came back to see if you have a bronze Democrat."

 

[captainmcd]

Let's just hope it's not a " minority " nursing home.

BTW, I didn't invent the term minority neighborhood, check out this website: UMN. I don't think I would be happy in any nursing home, regardless of race.

 

[scarface]

I can only hope. I am old already, but they will probably send me to a nursing home when I can no longer work

Well, maybe not as soon as you stop working. Suggest you stop while you still are the captain of your ship and can navigate a comfortable retirement. Seems like you deserve it. Those S Corp benefits including the IRA should help. But, ultimately, the kids will choose the nursing home you wind up in. There are big differences among them. Let's hope they appreciate the sacrifices you have made for them.

Let's just hope it's not a " minority " nursing home.

Your accusations of bigotry and racism are absurd. Nothing captainmcd has said even suggests that conclusion. On the contrary, one might conclude that by living in a minority neighborhood, he's anything but a racist or bigot. You really need to find an alternative to this forum because your thinking is so mudddled it only serves to interrupt those who want to have an intelligent discussion.
p.s.Problem solved?

 

[TheBlackHand]

lol. This made me laugh.

Your accusations of bigotry and racism are absurd. Nothing captainmcd has said even suggests that conclusion. On the contrary, one might conclude that by living in a minority neighborhood, he's anything but a racist or bigot. You really need to find an alternative to this forum because your thinking is so mudddled it only serves to interrupt those who want to have an intelligent discussion.
p.s.Problem solved?

 

[captainmcd]

As for the racism issue, I have spent six months of the last two years volunteering my professional services on the Africa Mercy, the world's largest non-governmental hospital ship working in Benin and Togo, West Africa. On my profile you can see a picture of me with Cherine and her mother. Cherine had surgery and needed blood, and I was proud to be a donor, my type B+ is much needed in Africa.

 

[scarface]

SINCE this article came out, it came to light that Buffet owes over 1 BILLION dollars in back taxes. Also, he changed his stance a few times saying that taxing the rich isn't a good idea and won't fix anything.

He also made his big push with Obama during this time so he could make more BILLIONS by investing in Bank of America.

All in all...a complete sham.

You were asked to substantiate this claim and you have failed to do so. So you are either misinformed or just plain full of shit. As mentioned above Buffet has donated a vast amount of money (85% of his wealth estimated to be about 34 billion) ot the Bill and Melinda Gates Foundation. Here is a link describing his charitable giving. http://www.cnbc.com/id/38046115/War...es_Foundation_Lifts_5_Year_Total_to_8_Billion

 

[JWB]

You were asked to substantiate this claim and you have failed to do so. So you are either misinformed or just plain full of shit. As mentioned above Buffet has donated a vast amount of money (85% of his wealth estimated to be about 34 billion) ot the Bill and Melinda Gates Foundation. Here is a link describing his charitable giving. http://www.cnbc.com/id/38046115/War...es_Foundation_Lifts_5_Year_Total_to_8_Billion

Look it up yourself. I don't have time to do research for idiots.

And what does his charitable donations have to do with anything? We are talking about Federal Taxes.

EDIT: I figure idiots don't know how to do research so here you go:

http://www.huffingtonpost.com/2011/08/29/warren-buffett-taxes-berkshire-hathaway_n_941099.html (a leftist site so as not to bring out all the fox haters)

http://www.bloomberg.com/news/2011-...s-net-1-4-billion-in-profit-on-first-day.html

http://patdollard.com/2011/09/buffett-rejects-tax-policy-obama-named-after-him/ (just one of many)

Also, let's not forget that Obama and the Dems have completely backed away from the millionaire tax.

 

[scarface]

SINCE this article came out, it came to light that Buffet owes over 1 BILLION dollars in back taxes. Also, he changed his stance a few times saying that taxing the rich isn't a good idea and won't fix anything.

Buffet doesn't owe any back taxes. Berkshire Hathaway, the corporation of which he is a shareholder, has had a dispute with how much it owes and is in the midst of resolving that dispute. This is nothing more than a mundane dispute by corporate lawyers and IRS lawyers on how to treat certain corporate income or expenses. Do you have any further insight on the corporation's disagreement with the IRS that would support the claim that the corporation (or Buffet) tried to unlawfully evade taxes? No one has even suggested that. Like Rupert Murdoch's rightwing rag, the NY Post, from which you get this nonsense, do you seriously claim Buffet has some moral or ethical black mark as a result of this pending dispute between the corp and the IRS?

He also made his big push with Obama during this time so he could make more BILLIONS by investing in Bank of America.

What is the connection between Berkshire Hathaway's (or Buffet per se) rescue of B of A with Buffet's support of Obama's proposal to increase taxes on the super rich? Are you suggesting that Obama or the US gov was a player in the B of A deal? How so? B of A needed a cash infusion. It cut a deal with Berkshire Hathaway absent any role of the government. Buffet made a good deal and Berkshire profitted from it. Part of the reason he made a profit is because the B of A common stock price surged 26% in a day or so as the news of Berkshire's cash infusion hit the market back in August, 2011.
Incidentally, you have misstated the amount of profit Berkshire has made. The article you quoted indicated 1.3B was a paper profit based upon the value of 700 million warrants valued at 2.73B when the B of A stock price was 7.65. The current value of BAC common is 5.34 so that 1.3B has been devalued drastically.

All in all...a complete sham.

What's a sham? That Buffet is not for increasing the tax rate of those like himself who earn big amounts on cap gains? That's not a sham. He may be opposed to some parts of Obama's tax proposal, but he supports taxing himself and those megarich like him more.

Look it up yourself. I don't have time to do research for idiots.

As anticipated, you and your research have not proved your points. And that's because your claims are just not true. So who is the idiot?

And what does his charitable donations have to do with anything? We are talking about Federal Taxes.

I believe that a man who is willing to donate 85% of his accumulated wealth, around $3.4B, to charity during his lifetime is credible when he says that he and the other super rich who make their money from money ( cap gains) should pay more income tax.

EDIT: I figure idiots don't know how to do research so here you go:

http://www.huffingtonpost.com/2011/08/29/warren-buffett-taxes-berkshire-hathaway_n_941099.html (a leftist site so as not to bring out all the fox haters)

http://www.bloomberg.com/news/2011-...s-net-1-4-billion-in-profit-on-first-day.html

http://patdollard.com/2011/09/buffett-rejects-tax-policy-obama-named-after-him/ (just one of many)

Also, let's not forget that Obama and the Dems have completely backed away from the millionaire tax.

None of the material you cite proves your original premise that Buffet is a hypocrit or a scammer. I'm not sure where Obama and the Dems stand on taxes now, but I share Buffet's POV that the megarich should have their income tax and cap gains tax rates increased.

 

[JWB]

Buffet doesn't owe any back taxes. Berkshire Hathaway, the corporation of which he is a shareholder, has had a dispute with how much it owes and is in the midst of resolving that dispute. This is nothing more than a mundane dispute by corporate lawyers and IRS lawyers on how to treat certain corporate income or expenses. Do you have any further insight on the corporation's disagreement with the IRS that would support the claim that the corporation (or Buffet) tried to unlawfully evade taxes? No one has even suggested that. Like Rupert Murdoch's rightwing rag, the NY Post, from which you get this nonsense, do you seriously claim Buffet has some moral or ethical black mark as a result of this pending dispute between the corp and the IRS?
What is the connection between Berkshire Hathaway's (not Buffet per se) rescue of B of A with Buffet's support of Obama's proposal to increase taxes on the super rich? Are you suggesting that Obama or the US gov was a player in the B of A deal? How so? B of A needed a cash infusion. It cut a deal with Bershire Hathaway absent any role of the government. Buffet made a good deal and Berkshire profitted from it. Part of the reason he made a profit is because the B of A common stock price surged 26% in a day or so as the news of Berkshire's cash infusion hit the market back in August, 2011.
Incidentally, you have misstated the amount of profit Berkshire has made. The article you quoted indicated 1.3B was a paper profit based upon the value of 700 million warrants valued at 2.73B when the B of A stock price was 7.65. The current value of BAC common is 5.34 so that 1.3B has been devalued drastically.


What's a sham? That Bufet is no for increasing the tax rate of those like himself who earn big amounts on cap gains? He may be opposed to some parts of Obama's tax proposal, but he supports taxing himself and those megarich like him more.


You have not proved your point.


I believe that a man who is willing to donate 85% of his accumulated wealth, around $3.4B, to charity during his lifetime is credible when he says that he and the other super rich who make their money from money ( cap gains) should pay more income tax.


None of the material you cite proves your original premise that Buffet is a hypocrit or a scammer. I'm not sure where Obama and the Dems stand on taxes now, but I share Buffet's POV that the megarich should have their income tax and cap gains tax rates increased.

Oh great news! I guess since MY corporation owes taxes but not me personally, I don't have to pay...STUPID LOGIC and a another pathetic excuse to try and ignore the FACTS.

As for BoA. Buffet invested in BoA to make sure Obama saved face. He shorted the stock so he was able to make the BILLION + in 1 day. Cronie Capitalism at it's best. And absolutely Obama was involved. I guess the meeting with Obama and Buffet 3 days before he invested 5 BILLION dollars was just to chat about the weather. Wake up.

Again, I NEVER stated he was a bad person or not charitable (why do you keep bringing that up) I think it's great that he DONATES (key word) 1/2 his wealth to charities. But it is not accurate to say he still supports the "Buffet Plan".

And as always, if he or any of the other super rich want to pay more taxes, there is a line on the tax forms that allow them to do so...no need to force them.

 

[scarface]

Oh great news! I guess since MY corporation owes taxes but not me personally, I don't have to pay...STUPID LOGIC and a another pathetic excuse to try and ignore the FACTS.

You cannot ignor the separate id of the corporation. Your facts are wrong. Buffet is not the sole shareholder of Berkshire Hathaway. It is a publicly traded corporation. The corporation is a separate legal entity. To argue -as you do - that Buffet and the corp don't have a separate tax identity and don't file separate tax returns is ...idiotic. What is pathetic and stupid are your silly arguments.

As for BoA. Buffet invested in BoA to make sure Obama saved face. He shorted the stock so he was able to make the BILLION + in 1 day. Cronie Capitalism at it's best.

Where do you get this crap? Buffet/Berkshire Hathaway shorted BAC 3 days before the deal? It wasn't even BAC that was bought by Berkshire. They bought preferred shares. Moreover, to short a stock means to profit when the price falls. When Berkshire buys a stock it invariably gets bounced up. This is exactly what happened to BAC when the Berkshire deal was announced. The price went up about 26 % in a few days. No one who knew a deal was in the works would short the stock. They would lose money when the price went up! Besides, if what you infer is true (Buffet was guilty of illegaly trading on insider info), the SEC would have been all over Buffet like stink on shit. Got any more NY Post. Rupert Murdoch, Fox News innuendo to support these claims?

And absolutely Obama was involved. I guess the meeting with Obama and Buffet 3 days before he invested 5 BILLION dollars was just to chat about the weather. Wake up.

Can you expand on this? What does such a meeting have to do with the terms of any deal Berkshire cut with B of A? If anything, what you suggest is that the Pres urged Buffet to do something Buffet might not have otherwise done. The inference is that Buffet was called upon to be patriotic, not to make a quick buck as Rupert Murdoch and Fox would suggest.

Again, I NEVER stated he was a bad person or not charitable (why do you keep bringing that up) I think it's great that he DONATES (key word) 1/2 his wealth to charities. But it is not accurate to say he still supports the "Buffet Plan".
And as always, if he or any of the other super rich want to pay more taxes, there is a line on the tax forms that allow them to do so...no need to force them.

In fact, you have indicated he was a bad person by trying to argue that he is a hypocrit and tax dodger so please don't feign bewilderment if I point out that his charitable giving of 85% (not 50) of his many billions is a sound counterpoint to such nonsense.
The original post was an op-ed piece by Buffet arguing that the rates for those megarich that made money on money (i.e., cap gains) should be increased. He still holds that opinion. That he may disagree with other parts of the Obaba tax proposals is neither here nor there for purposes of this discussion. I don't know what you mean by any other Buffet plan than the one which was the subject of the original op-ed piece. Can you identify such a plan?
You appear to be against raising the taxes on those earning more than a million or 10 million per year or even more (as Buffet recommended in the op-ed). Why? Cap rates were decreased in 2003 and rates on ordinary income are considerably lower than what they used to be. Are you one of those earning more than a million/year? Or have you just swallowed the Rupert Murdoch / Fox News propaganda that to restore rates on the wealthy to where they used to be is unAmerican?