Dec 02, 2012 7:30 AM
Buffet doesn't pay income taxes on dividends. All of his companies pay dividends to Berkshire. Berkshire doesn't pay dividends to Buffet. When one is as rich as Buffet or Soros they don't pay capital gains taxes either. They can match winners with losers, borrow on margin, or as Buffet does, invest in good companies and never sell them. His wealth just grows. If we wanted him to pay taxes we'd eliminate corporate taxes and treat all corporate profits as income of the holder of record. That would hurt so much he'd be crying for lower rates.