Warren Buffett urges Congress to raise taxes on wealthy
OMAHA, Neb. (AP) — Billionaire Warren Buffett is again calling for higher taxes on the "ultrarich" and he's urging Congress to compromise on spending cuts and tax increases.
Buffett expressed his views on fiscal policy Monday in an opinion article that appeared in The New York Times on the same day Congress returned from the Thanksgiving holiday.
In the article, Buffett mocked the idea that investors would pull back if capital gains taxes increase. Buffett said he's never seen that happen even when capital gains taxes above 25 percent early in his investing career.
"Let's forget about the rich and ultrarich going on strike and stuffing their ample funds under their mattresses if — gasp — capital gains rates and ordinary income rates are increased," Buffett said. "The ultrarich, including me, will forever pursue investment opportunities."
Buffett, who is chairman and CEO of Omaha-based Berkshire Hathaway Inc., has complained for several years that Congress has been coddling the wealthy, and President Barack Obama even called one of his tax reform proposals the "Buffett Rule."
He did not immediately respond to a message from The Associated Press on Monday morning.
Buffett said the current tax system has contributed to the growing gap between rich and poor. He said he supports Obama's proposal to end the Bush tax cuts for the wealthy, but he'd prefer setting the point where taxes increase at $500,000 income instead of the $250,000 the White House proposed.
Buffett reiterated his call for a minimum tax of 30 percent on income between $1 million and $10 million, and a 35 percent rate for income above that.
He said both Republicans and Democrats will have to make major concessions to deal with the nation's fiscal problems. Congress is trying to address the so-called fiscal cliff of automatic tax increases and spending cuts that could be triggered at the start of the new year.
"All of America is waiting for Congress to offer a realistic and concrete plan for getting back to this fiscally sound path," Buffett said. "Nothing less is acceptable."
Berkshire Hathaway owns more than 80 companies; including insurance, utility, railroad, furniture, jewelry, manufacturing, restaurant and apparel companies. Berkshire's insurance and utility businesses typically account for more than half of his company's net income.
Buffett expressed his views on fiscal policy Monday in an opinion article that appeared in The New York Times on the same day Congress returned from the Thanksgiving holiday.
In the article, Buffett mocked the idea that investors would pull back if capital gains taxes increase. Buffett said he's never seen that happen even when capital gains taxes above 25 percent early in his investing career.
"Let's forget about the rich and ultrarich going on strike and stuffing their ample funds under their mattresses if — gasp — capital gains rates and ordinary income rates are increased," Buffett said. "The ultrarich, including me, will forever pursue investment opportunities."
Buffett, who is chairman and CEO of Omaha-based Berkshire Hathaway Inc., has complained for several years that Congress has been coddling the wealthy, and President Barack Obama even called one of his tax reform proposals the "Buffett Rule."
He did not immediately respond to a message from The Associated Press on Monday morning.
Buffett said the current tax system has contributed to the growing gap between rich and poor. He said he supports Obama's proposal to end the Bush tax cuts for the wealthy, but he'd prefer setting the point where taxes increase at $500,000 income instead of the $250,000 the White House proposed.
Buffett reiterated his call for a minimum tax of 30 percent on income between $1 million and $10 million, and a 35 percent rate for income above that.
He said both Republicans and Democrats will have to make major concessions to deal with the nation's fiscal problems. Congress is trying to address the so-called fiscal cliff of automatic tax increases and spending cuts that could be triggered at the start of the new year.
"All of America is waiting for Congress to offer a realistic and concrete plan for getting back to this fiscally sound path," Buffett said. "Nothing less is acceptable."
Berkshire Hathaway owns more than 80 companies; including insurance, utility, railroad, furniture, jewelry, manufacturing, restaurant and apparel companies. Berkshire's insurance and utility businesses typically account for more than half of his company's net income.
If they taxed the 1% at 99% of their income they'd just have the bought and paid for pols on Capitol Hill find them more ways to hide their income.
Raising taxes will affect the middle class just as it always has in the past. There isn't enough money in that top 1% to pay the bills and the bottom 50% doesn't pay enough in income taxes to cover the daily expenses of Congress.
Unless Congress is willing to cut spending theyâll never make a dent in our national debt and so far spending cuts arenât even being considered at the Congressional or Executive levels.
What happens when thereâs no more wealth to redistribute?
Let's just have people like Warren Buffett pay his back taxes of ONE BILLION DOLLARS.
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Warren stopped paying his taxes in 2009 and the media won't pick up on that. No one will ask this creep about just paying what you owe. Google it. But then, we have 18-people in the WHITE HOUSE that owe one million dollars or more in back taxes.
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Just enforce the lasw we have folks. We don't need new ones
Well the limit increase is a nice possibility... however, it will not matter if they continue to allow the ultra rich to use tax shelters that reduce their overall income seems more like there is a loophole for almost everything to keep those making millions to make those millions become $25,000 so they pay a lower tax than their secretary... *cough* Mitt Romney!
It they (rich people) think they have lots money and willing to pay more to Uncle Sam,
why don't they hire more workers ? They will pay more taxes back to the system !
If you feel you are not paying enough please feel free to write a check to the govt instead of hiding it in the gates foundation.
stop fighting the IRS over the billions in taxes your company owes
and stop spending other peoples money
@armor The IRS strictly watches for anyone using any foundation as a tax shelter. You make it sound so easy. You must be an expert on tax code.
 @robmo  @armor ok so when he dies how will they tax it it has already been given away a few years ago they will not
@armor I could be wrong but it was my understanding that he was donating 1.5B per year as long as a certain agreement between himself and the gates foundation is met. He should be declaring his donation on an annual basis but this is just all speculation.
@armor Except that the Gates Foundation is a non-profit that spends their revenue on developing countries and research and cures for disease and other related contributing factors. I fail to see where your arguement is going, and what it has to do with spending other people's money.
 @northwestsurfer  @armor he put 40 billion in their to avoid taxes ie the estate tax.  wanting to raise the taxes of someone else is saying you know how to spend their money better than they do. cut the spending, control the fraud and waste in d.c. then worry about taxes
@armor @northwestsurfer Foundation is code for " Tax shelter". Mr. Buffet is evidently trying to feed us a big crap sandwich. Simply stealing money from the ultra rich won't solve the fiscal problem in this country. A complete overhaul of our worn-out , corrupt and incompetent Federal Gov. will.