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How to become a billionaire by dodging taxes

There's a foolproof way to become a billionaire. It's fast and tax-free!

Did you know billionaires can dodge taxes and then give most of their wealth tax-free to their heirs. Exploit this tax loophole to become a billionaire. Simply get a billionaire to adopt you and then you too can get billions tax free!

"It’s Not Just Income Taxes. Billionaires Don’t Pay Inheritance Taxes Either. As a Trump adviser once said, “only morons pay the estate tax,” would do that... America’s ultrawealthy already get away with murder by structuring their finances to avoid income, and therefore income taxes. It’s not rocket science. Anybody with a large trove of invested assets can use those assets as collateral for low-interest loans to fund their lavish lifestyles. Voila! No income." - Mother Jones

Learn more about how to become a billionaire with this tax loophole with this infographic. Remember when you're a billionaire to donate to Republicans so they cut your taxes further and defund the IRS so they can't catch you.

Billionaire tax dodgers

Walton GRATs

Have your lawyer set up the trust and assign a bunch of assets to it—that could be stocks, a Picasso painting, a stud racehorse, whatever. The initial value of the assets, plus interest calculated at the outset using that month’s 7520 interest rate, gets disbursed back to the trust’s creator in annual installments (annuities) over the lifetime of the trust, which can range from two years to much longer—that’s up to you.

If the assets in your Walton GRAT increase in value faster than the 7520 rate would have predicted, there will be assets left over at the end of the trust’s lifetime. Those assets go to your beneficiaries—your princelings—tax free. Better yet, they don’t count against that lifetime gift/estate tax exemption. Walton GRATs were deemed legit in 2000, when Covey successfully defended Audrey Walton, the sister-in-law of Walmart founder Sam Walton, against a challenge by the IRS. (He’d used the same strategy with other clients, he told me, but Walton was the one who got called out by the tax commissioner.) Since then, Walton GRATs have saved America’s dynasties untold billions. - Mother Jones

Billionaire Income Tax Bill forces the super rich to pay their fair share of taxes

Facebook billionaire tax dodgers

To play this game effectively, you need an asset that’s not worth very much now, but is likely to explode in value—like an initial stake in a private equity partnership or shares of a pre-IPO stock. In 2008, Facebook co-founders Mark Zuckerberg and Dustin Moskovitz set up annuity trusts, presumably for the benefit of generations not yet born. Before Facebook went public at $38 a share, its SEC prospectus reveals Zuckerberg transferred more than 3.4 million shares (some purchased for as little as 6 cents apiece) into the Mark Zuckerberg 2008 Annuity Trust. Dustin Moskovitz did the same with 14.4 million shares Sheryl Sandberg, Facebook’s former chief operating officer, socked away 1.9 million shares in her annuity trust.

Heirs get hundreds of millions of dollars tax free. The value of Facebook’s stock took off sometime after its IPO in 2012. Had those executives created GRATs with 10-year terms (that detail is not publicly available), their heirs stood to receive hundreds of millions of dollars—perhaps billions—without paying a dime in federal taxes. - Mother Jones

TakeAway: Vote for Democrats to fix the tax system which makes you pay more taxes than some billionaires, while Republicans howl for defunding the IRS to protect their billionaire donors.

DISCLAIMER: ALTHOUGH THE DATA FOUND IN THIS BLOG AND INFOGRAPHIC HAS BEEN PRODUCED AND PROCESSED FROM SOURCES BELIEVED TO BE RELIABLE, NO WARRANTY EXPRESSED OR IMPLIED CAN BE MADE REGARDING THE ACCURACY, COMPLETENESS, LEGALITY OR RELIABILITY OF ANY SUCH INFORMATION. THIS DISCLAIMER APPLIES TO ANY USES OF THE INFORMATION WHETHER ISOLATED OR AGGREGATE USES THEREOF.

How to become a billionaire. Use this tax loophole.

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