If there’s a legal way for a billionaire to avoid paying tax, of course they’re going to do it.
The problem is how can you protect honest charities and prevent these shenanigans?
The problem is how can you protect honest charities and prevent these shenanigans?
Wouldn't most genuine charities be a dollar in and a dollar out type situation, and any unused income/funds that year should be fairly minimal.
The large endowment funds that have billions like Harvard ($50bn) probably have massive excess but at that point I'd have no problem taxing them if they are not spending the excess.
There be some some scenarios where charities get large donation right at FY end and need some rollover function to push funds to the next year's spend before being taxed, or they have to make payment schedules for multiyear projects they are 'saving' for but generally it seems to make sense that charities are taxed.
Other scenarios not considered that would make this a bad thing?
Doctors Without Borders annual report says they have $400 million in net assets.
The problem is how can you protect honest charities and prevent these shenanigans?
Get rid of tax deductions.
So rectifying that means, among other things, being aware of ways in which billionaires can hide their taxes that aren't available to ordinary people.