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Subject:  Re: Social Security COLA for 2020 Date:  11/1/2019  11:23 AM
Author:  NajdorfSicilian Number:  21427 of 22847

and tax shelters in the Cayman Islands, neither of which do anything to increase domestic US economic activity.

There's no tax shelters for US taxpayers in the Caymans, nor anywhere else. Your ignorant post shows a fundamental misunderstanding of the US tax code.

As amply demonstrated by the Panama Papers incident which caught foreign rich people in other, non-US countries, who can hide money offshore there but almost no US citizens did because they are taxed on worldwide income. 4 of the Americans named had already been convicted of tax fraud or ponzi schemes, so they got caught again I suppose. Most Americans who had accounts there were buying real estate in Panama and Colombia which is of course fine.

Liesel Pritzker, a famous rich American had this to say about her account there: 'My husband, Ian Simmons, and I are minority investors in Blue Valley Agroinvestment, a sustainable agriculture project in Colombia. Any income we earn is fully taxed. We are proud of the job creation and community development this project brings to an underserved part of Colombia.'

David Geffen was named for selling shares in a Delaware incorporate firm which owned a yacht he purchased, to a Panama offshore company. He himself did not have an offshore account.

Mossack Fonseca was shutting down their one US office before the leaks broke. They created no shell companies for US firms according to the ICIJ. No American banks appear among the list of the ten financial intermediaries that most often requested offshore companies for their clients. And owning shares in an overseas firm is perfectly legal of course - whether that be Sony or Vale or AliBaba or Hermes or Gucci or a private one.

Of course one may have an overseas checking account at RBS, or UBS, or HSBC but they're still paying taxes on it, and contributing to gov't spending, and thus to poor people.

This notion that very rich people don't consume is also hilarious, I can tell you don't have experience working with the billionaires you belittle. They may not spend more on food, but they certainly consume and in much larger gross dollar amounts. That $30 million plane they buy or $10m house or $5m painting pays for a lot more workers and taxes and GDP than an extra box of cheerios in North Philly.

The cash isn't buried in backyard somewhere, it's consumed or invested in firms that hire workers, build factories, pay dividends, create and innovate things from life-saving drugs to Teslas to whatever.
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