if he gives it away to who he wants he can still somewhat control it, if he doesn't then when he dies the government will take it and spend it how they see fit.
the clintons use this to their advantage when collecting donations to their foundation, their motto is , "you can give it to us now, or to the government later"
the clintons use this to their advantage when collecting donations to their foundation, their motto is , "you can give it to us now, or to the government later"
heck yeah he is, when you donate stock you can claim the value of that stock at the time of the gift up to 30% of your agi.
he prob sat down, figured out his life expectancy and came up with an amount he could give each year to max out his deduction.
since he still owns those stocks he can use that value to borrow against to purchase other securities in his daughters name.
when it's all said and done, he will not pay capital gains tax on 99% of his wealth, transferred most of that wealth to his daughter tax free, and come out of it looking like he gave it all away.
he prob sat down, figured out his life expectancy and came up with an amount he could give each year to max out his deduction.
since he still owns those stocks he can use that value to borrow against to purchase other securities in his daughters name.
when it's all said and done, he will not pay capital gains tax on 99% of his wealth, transferred most of that wealth to his daughter tax free, and come out of it looking like he gave it all away.
that makes sense, if it's valued at 45B and he's gonna live another 50 years then 1B a year would put him on target.
if his AGI is 3B a year he can write of 1B making his taxes only 700M instead of +1B a savings of 300M
300 million in tax savings per year over 50 years is 15 Billion, and no doubt his daughter will play a major role in the charities the money was given to.
More likely is he - like most people who have deliberately created financial abundance - has learned that making money is not difficult so there is no logical reason to hoard his current assets.
Also, he is directing all the money into a charitable foundation of which he has full control.
nowadays the federal government will take 40% of everything a guy like zuckerberg was worth when he and his wife die.
40%
giving it to a charity is a FU to the government... the clintons go around and let people put their worth in the foundation where they still have some control on how it's spent, where the alternative is to give 40% to the government where it will be wasted.
40%
giving it to a charity is a FU to the government... the clintons go around and let people put their worth in the foundation where they still have some control on how it's spent, where the alternative is to give 40% to the government where it will be wasted.
Here is the real reason.
SAN FRANCISCO, Dec 2 (Reuters) - Mark Zuckerberg, who famously urged his company Facebook Inc to "move fast and break things," is taking a similar approach to the staid world of philanthropy, indicating his new venture will get directly involved with politics and may even turn a profit.The project, called the Chan Zuckerberg Initiative, is structured as a limited liability company. That means, unlike a traditional charitable or philanthropic foundation, it can make political donations, lobby lawmakers, invest in businesses and recoup any profits from those investments.
"They are not behaving like a traditional philanthropy," said Leslie Lenkowsky, professor of public affairs and philanthropy at Indiana University. "They are instead trying to achieve philanthropic purposes using a business model."
Philanthropic foundations such as the one set up by Microsoft Corp co-founder Bill Gates typically support non-profit organizations, and they are required to pay out at least 5 percent of their assets in grants each year, a restriction the Zuckerbergs will not face.
Non-profit foundations like Gates's do not pay tax, whereas the Facebook chief executive's vehicle would pay tax on any profit generated.
Chan and Zuckerberg announced Tuesday, in a Facebook post disclosing the birth of their daughter Maxima, that 99 percent of the stock they hold in Facebook would go toward the philanthropic project over their lifetime.
At the stock's current price that stake is worth $45 billion.
Zuckerberg said he will invest up to $1 billion of his shares each year over the next three years into the initiative.
But the limited liability company structure means the couple do not have to sell those shares under the same time restraints they would face if the initiative was structured as a foundation, giving them more flexibility in how long they can hang on to the stock.
Thirty-one year old Zuckerberg, who holds majority voting power in the company, said he would maintain a controlling interest for the "foreseeable future."
The stock sales, if any, over the next three years are not expected to affect Facebook's share price because they are well-telegraphed and just a small fraction of both the company's $300 billion market cap and daily trading volume.
"This sounds like one of those NFL contracts where you hear it's a $100 million deal over 10 years but in reality only the first three years are guaranteed," said Vince Rivers, a senior fund manager at Boston-based JOHCM Funds.
The couple has yet to outline specific organizations or causes they will fund but said the initial areas of focus will be curing disease, innovating education and expanding Internet connectivity.
Zuckerberg's Facebook posts and previous donations provide an indication of where the couple might focus their efforts.
He and Chan made their first high-profile donation in 2010 with $100 million to improve Newark public schools.
The money funded a plan aimed at transforming Newark's underperforming schools. But it ended up moving thousands of students to new schools while laying off teachers and support staff, and critics said the effort failed to involve the community.
Zuckerberg has acknowledged problems with that effort, and in announcing the new initiative, the couple emphasized the need to work with schools, parent groups and local governments.
"They acknowledged that it takes time to become good at something as difficult as effective philanthropy," said Phil Buchanan, president of the Center for Effective Philanthropy.
The couple's recent donations include $20 million to EducationSuperHighway, which helps connect classrooms to the Internet, and a new acute care and trauma center at San Francisco General Hospital, where 30-year old Chan works as a pediatrician.
They have also said they are passionate about personalized learning, or using technology to help kids aged from five to 18 to learn at different speeds.
Zuckerberg has also been a supporter of immigration reform, including efforts to ease the pathway to citizenship for undocumented immigrants. That stance drew criticism from conservatives, but it is not clear if immigration will be a focus of his new effort.
In addition to the unusual structure of their initiative, Zuckerberg and Chan are distinguished by their youth, a rarity in high-end philanthropy, which they think will give them advantages in what they called the "very long time horizons" of their project.
"By starting at a young age, we hope to see compounding benefits throughout our lives," Zuckerberg and Chan wrote in a letter announcing the initiative.
SAN FRANCISCO, Dec 2 (Reuters) - Mark Zuckerberg, who famously urged his company Facebook Inc to "move fast and break things," is taking a similar approach to the staid world of philanthropy, indicating his new venture will get directly involved with politics and may even turn a profit.The project, called the Chan Zuckerberg Initiative, is structured as a limited liability company. That means, unlike a traditional charitable or philanthropic foundation, it can make political donations, lobby lawmakers, invest in businesses and recoup any profits from those investments.
"They are not behaving like a traditional philanthropy," said Leslie Lenkowsky, professor of public affairs and philanthropy at Indiana University. "They are instead trying to achieve philanthropic purposes using a business model."
Philanthropic foundations such as the one set up by Microsoft Corp co-founder Bill Gates typically support non-profit organizations, and they are required to pay out at least 5 percent of their assets in grants each year, a restriction the Zuckerbergs will not face.
Non-profit foundations like Gates's do not pay tax, whereas the Facebook chief executive's vehicle would pay tax on any profit generated.
Chan and Zuckerberg announced Tuesday, in a Facebook post disclosing the birth of their daughter Maxima, that 99 percent of the stock they hold in Facebook would go toward the philanthropic project over their lifetime.
At the stock's current price that stake is worth $45 billion.
Zuckerberg said he will invest up to $1 billion of his shares each year over the next three years into the initiative.
But the limited liability company structure means the couple do not have to sell those shares under the same time restraints they would face if the initiative was structured as a foundation, giving them more flexibility in how long they can hang on to the stock.
Thirty-one year old Zuckerberg, who holds majority voting power in the company, said he would maintain a controlling interest for the "foreseeable future."
The stock sales, if any, over the next three years are not expected to affect Facebook's share price because they are well-telegraphed and just a small fraction of both the company's $300 billion market cap and daily trading volume.
"This sounds like one of those NFL contracts where you hear it's a $100 million deal over 10 years but in reality only the first three years are guaranteed," said Vince Rivers, a senior fund manager at Boston-based JOHCM Funds.
The couple has yet to outline specific organizations or causes they will fund but said the initial areas of focus will be curing disease, innovating education and expanding Internet connectivity.
Zuckerberg's Facebook posts and previous donations provide an indication of where the couple might focus their efforts.
He and Chan made their first high-profile donation in 2010 with $100 million to improve Newark public schools.
The money funded a plan aimed at transforming Newark's underperforming schools. But it ended up moving thousands of students to new schools while laying off teachers and support staff, and critics said the effort failed to involve the community.
Zuckerberg has acknowledged problems with that effort, and in announcing the new initiative, the couple emphasized the need to work with schools, parent groups and local governments.
"They acknowledged that it takes time to become good at something as difficult as effective philanthropy," said Phil Buchanan, president of the Center for Effective Philanthropy.
The couple's recent donations include $20 million to EducationSuperHighway, which helps connect classrooms to the Internet, and a new acute care and trauma center at San Francisco General Hospital, where 30-year old Chan works as a pediatrician.
They have also said they are passionate about personalized learning, or using technology to help kids aged from five to 18 to learn at different speeds.
Zuckerberg has also been a supporter of immigration reform, including efforts to ease the pathway to citizenship for undocumented immigrants. That stance drew criticism from conservatives, but it is not clear if immigration will be a focus of his new effort.
In addition to the unusual structure of their initiative, Zuckerberg and Chan are distinguished by their youth, a rarity in high-end philanthropy, which they think will give them advantages in what they called the "very long time horizons" of their project.
"By starting at a young age, we hope to see compounding benefits throughout our lives," Zuckerberg and Chan wrote in a letter announcing the initiative.
Tax his land, tax his wage,
Tax his bed in which he lays.
Tax his tractor, tax his mule,
Teach him taxes is the rule.
Tax his cow, tax his goat,
Tax his pants, tax his coat.
Tax his ties, tax his shirts,
Tax his work, tax his dirt.
Tax his chew, tax his smoke,
Teach him taxes are no joke.
Tax his car, tax his grass,
Tax the roads he must pass.
Tax his food, tax his drink,
Tax him if he tries to think.
Tax his sodas, tax his beers,
If he cries, tax his tears.
Tax his bills, tax his gas,
Tax his notes, tax his cash.
Tax him good and let him know
That after taxes, he has no dough.
If he hollers, tax him more,
Tax him until he's good and sore.
Tax his coffin, tax his grave,
Tax the sod in which he lays.
Put these words upon his tomb,
"Taxes drove me to my doom!"
And when he's gone, we won't relax,
We'll still be after the inheritance tax.
Lol......these billionaires NEVER give shit away or donate anything w/o ever making out in the end. These billionaires know all the loopholes & make out like bandits.......
