Jonathan Ganz wrote:
In article , Martin Baxter wrote:
"Capt. JG" wrote:

You figure Gates worth $65 billion, that's still a pretty good number, one
percent, I'd certainly take it, however, our tax rates have never been nor
had to be that high (well, not until Bush created a deficit from a surplus
maybe).
I think you'll find that the marginal tax on the very rich in the early
60s was about 85%, resulting in an effective rate of nearly 50%. Now
the marginal is something like 35% and the effective rate is less than
15%, zero for some. See http://www.truthandpolitics.org/top-rates.php
(in 1944 it was as 94%!!!!)

Yup... of course, people didn't have even close to the equivalent of
$65 billion.


And consider how much tax will actually get paid on that fortune.
First of all, its impossible to spend it, so the bulk of it will go to
the trust tax free. In return for that honor, Bill gets to decide how
it is doled out.

Then, anything Bill sells to cover his personal expense will be taxed
as long term capital gains at 15%. But actually, many of his personal
expenses are probably paid by the company or the trust - certainly his
private jet and first class accommodations are covered.

The bottom line is that the actual tax received by this accumulation
of wealth is relatively small. Of course, you can argue that Bill's
work has facilitated much of the world's economic growth over the last
20 years, but that' another thread.