Tax Deferral Quotes

Congress has all sorts of rules, hedge fund managers, private equity managers, executives, movie stars, fall into that allow them to escape or defer into the future not paying their taxes. And if you can defer your tax into the future, it's the best deal in the world, because you don't just get to eat your cake and have it too. You get to eat your cake and have a bigger cake.

An optimised tax structure gives us the possibility of flexibility in using our assets that have already been taxed in one market. They can be used in new markets for further business development without the additional burden of double taxation.

It is simply unfair for the Internal Revenue Service to lay claim to the bulk of a small business or farm when a death occurs. Federal tax policy should instead be geared toward helping the next generation keep these family-owned operations alive.

Accelerated depreciation helps companies bring forward capital-intensive investments by reducing payback time. It's not a hand out. Companies still have to pay the tax, but they simply get to defer it.

Why do we fully tax some kinds of income from capital, like interest and dividends; partially tax other kinds like capital gains; defer tax on other kinds, like IRAs; and impose no tax at all on still other types of capital income, like interest on municipal bonds? This simply is not rational. These distinctions don't have any inherent logic.

A tax loophole is something that benefits the other guy. If it benefits you, it is tax reform.

Each and every year, the United States loses an estimated $100 billion a year in tax revenues due to offshore tax abuses by the wealthy and large corporations.

People can also change the timing of when they earn and receive their income in response to government policies.

Today, if you're an American business, you actually get a benefit for going overseas. You get to defer your taxes. So if you're looking at a competitive world, you say to yourself, "Hey, I do better overseas than I do here in America".

A one-time tax does not get figured into people's investment decisions.

When you say the tax system benefits the rich, there are a lot of people who respond, "That can't be true, look at the rate of tax. The people who are rich pay a higher rate than you or I." Well, yeah, but if you don't have to pay taxes on a lot of your income, then your real tax rate is a lot lower. And if you're allowed to pay your taxes thirty years from now instead of today then you're a lot better off. People need to have a sophisticated understanding of how the system works to appreciate that the posted tax rate really has very little to do with the taxes people pay.

If no estate tax is imposed, capital gains taxes can be avoided indefinitely.

It's time to stop the raid on the Social Security trust fund and start allowing Americans to invest their Social Security taxes in personal savings accounts.

Various justifications for lower capital-gains rates have been proffered over the years, none of them self-evident. But even conceding the wisdom of lower capital-gains rates, why should they never be taxed at all, even as they are passed from generation to generation?

It's really American to avoid paying taxes, legally.

Senior executives can, after a fashion, get a portion of their pay tax-free. You defer part of your income and not have to pay taxes on it, and then when you retire you have the company buy a life insurance policy on you using that money. The company can deduct that money because it is a business expense, and the money will get paid out to your children or grandchildren when you die, so you have effectively given them your money and it's never been taxed.

In those countries where income taxes are lower than in the United States, the ability to defer the payment of U.S. tax by retaining income in the subsidiary companies provides a tax advantage for companies operating through overseas subsidiaries that is not available to companies operating solely in the United States. Many American investors properly made use of this deferral in the conduct of their foreign investment.

You, as a wage earner have to pay your taxes every year on your income for that year. So if you have a one-time windfall that makes you a lot money you could end up in the top tax bracket. But if you're a corporation you are allowed to reach forward with deferrals for years. Over a 45 to 50 year period, you can balance out the winning years and the losing years in such a way that you pay very little tax, especially considering the time-value of the money.