TPC says Clinton would raise, Trump would reduce revenue
Oct 14 2016 by Kathy Alvarado
"Warren Buffett took a massive deduction", Trump said during the debate.
Buffett released data after Trump essentially called him out during the second presidential debate on Sunday night.
Trump, who has departed from roughly 40 years of tradition for presidential nominees by declining to release his returns or any tax information, has said he'll make them public once the audit is complete and that returns wouldn't give voters very much information.
What Buffett's returns show, however, is that although he may not have had any losses to carry forward, he did use the loopholes in the current tax law to significantly reduce his tax liability.
"I have been audited by the IRS multiple times and am now being audited", Buffett said in a statement issued overnight "I have no problem in releasing my tax information while under audit".
"Trump says he knows more about taxes than any other human".
Berkshire Hathaway Inc., the business Buffett runs as chairman and chief executive, paid income taxes a year ago totaling $10.5 billion.
Buffett also shared some details of his most recent tax return: "My 2015 return shows adjusted gross income of $11,563,931". The analysisfound that some of the cuts in the plan - including a doubling of the child tax credit the Clinton campaign announced Tuesday morning - could lead to a 1 percent increase in income for the poorest 20 percent of USA households.
Buffett said he paid $1,845,557 in federal income taxes a year ago.
Cooper's question stemmed from an October 2 New York Times story that revealed the billionaire businessman may have avoided paying taxes for almost the past 20 years because of that large loss.
Buffett, 86, has said that when he dies 99 percent of his wealth will go to charitable foundations, a transfer would also would exempt the gain in value of the Berkshire shares from income taxes. "My tax plan is going to cost me a fortune", he bragged previous year.
The Trump campaign has said his tax cuts would be deficit-neutral, which would mean those spending cuts would have to come from somewhere. His secretary paid taxes at a 20 percent rate at the time.
"And so did [billionaires] Warren Buffett and George Soros, and numerous other people that Hillary [Clinton] is getting money from".
"The more transparency we have, the better", he says, adding that disclosures like Buffett's should "absolutely" be encouraged.
The Trump tax returns from 1995 published by the Times will raise new misconceived issues, this time with respect to the tax treatment of business losses. They pass their earnings to their owners, who then pay tax at their individual income-tax rates. "And none uses a carryforward".
Meanwhile, Clinton has released her 2015 tax return, showing that she and her husband and former President Bill Clinton paid a 34 per cent rate of federal tax and a 9 per cent rate of state tax on a total income of $10.5 million. Instead, they may be encouraging more elaborate but also more harmful tax policy in the future.
Under current law, with no loopholes or deduction, s a person with an income of $42 million would pay about $16 million in taxes or nearly 40 percent.
To put the $7.2 trillion price tag for Trump's tax cuts in perspective: The Bush tax cuts cost about $2.8 trillion over their first decade (elements of them remain in place under deals Obama cut with the GOP Congress).