Like, if its collapsed, do I file? Do I even have to?

I am most certainly going to pay my state tax, but then what? What about stuff like my social security funds?

(I am asking for others because we’re at that point now I suppose)

  • SendMePhotos@lemmy.world
    23·
    12 hours ago

    https://americansfortaxfairness.org/musks-11-billion-tax-bill-big-news-just-10-wealth-increase-far-year/

    Musk may have paid little or no federal income taxes since at least 2014—despite his ballooning fortune—so the one-time payment of $8.3 billion (or even $11 billion) in essence covers multiple years. According to ProPublica’s analysis of IRS records, Musk paid no federal income taxes in 2018. Between 2014 and 2018 his wealth grew by $13.9 billion, yet he paid just $455 million in federal income taxes, a rate of only 3.27%.

    • BombOmOm@lemmy.worldEnglish
      22·
      5 hours ago

      Yep, that is how capital gains works for everyone, including you and me. You pay taxes on them when you sell, when you have income.

      • piccolo
        2·
        2 hours ago

        You and me cant use those unseen capital gains as collateral to buy a propaganda machine.

        • BombOmOm@lemmy.worldEnglish
          2·
          1 hour ago

          Put a percentage of every paycheck into an index fund (ex: VTI) and sit on them for a few years. You too will have capital gains.

          Average returns on index funds are 6%-8%/yr, compounding. They are a solid long-term investment.

        • BombOmOm@lemmy.worldEnglish
          11·
          2 hours ago

          Tesla is not Musk, yes companies are taxed differently than individuals. Notably by profit, not income.

          Musk paid $11b in capital gains tax when he sold, that is how capital gains taxes work for everyone. Same as you and me.