My comment is very specific about the ultra rich who use tax sheltering to reduce taxable burden on passive income from bonds: In the US, there is (was?) a special class of municipal (state/local) bonds call "triple tax-free"/TTF, where the owner can receive interest, but pay no federal, state, or local taxes. Of course, there are limits, but it is a big business, and the buyers are almost always ultra rich. To be clear, under the Alternative Minimum Tax (AMT) rules in the US, I doubt you can pay zero taxes, but you can certainly greatly reduce your taxable burden using TTF muni bonds.