President Barack Hussein Obama has made Warren Buffett and his secretary the centerpiece of his class warfare strategy to woo voters by constantly repeating to the American people that Warren Buffett�s secretary pays a higher tax rate than Warren Buffett.
President Obama in a typical Democrat distortion scheme is misrepresenting the facts.
The reason Buffett pays less than his secretary is BECAUSE HE DOES�T PAY HIMSELF A SALARY! He earns his money through selling stocks that is taxed at a 15% capital gains rate. Buffett pays his secretary a six figure income that is tax at a 35% personal income rate. It�s like trying to argue that property tax, sales tax and cigarette taxes are all the same thing when they are totally different creatures.
Yet another factoid that is conveniently not mentioned is that all of Buffett�s companies are taxed at a 35% corporate tax rate. So in essence Buffett is technically paying at least 50% on generate income (35% corporate plus 15% capital gains) which is the most likely reason (and I don�t blame him) he doesn�t pay himself a salary in the first place. So the rich pay more in taxes than anybody else-end of story!
However, it�s been reported that Mr. Warren �My secretary pays a higher tax rate than I do� Buffett has a PROBLEM PAYING TAXES-PERIOD.
Bloomberg repots NetJets Inc., the private-plane company owned by Warren Buffett�s Berkshire Hathaway Inc. (BRK/A), was countersued by the U.S. over $366 million in taxes and penalties.
NetJets in November sued the U.S., saying the federal government had wrongly imposed taxes, interest and penalties totaling more than $642.7 million.
Claiming the federal Internal Revenue Service wrongfully assessed a so-called ticket tax -- an excise tax on payments made in exchange for air transportation -- to private aircraft owners maintaining their own planes, the Columbus, Ohio-based company demanded refunds and abatements.
It�s really laughable that Obama�s strategy of using Buffett as a paragon of virtue is falling apart. But, what�s not so funny is how Obama thinks the majority of the American people are as stupid as his base of support.
Story also reported at Weasel Zippers.
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