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As I understand it...
Warren Buffet wasn't telling the whole truth.
He makes the lions share of his money off of CAPITAL GAINS. In other words...he earns his money, it gets taxed. THEN he invests that money in the stock market. Now the money he earned from that gets taxed again as CAPITAL GAINS.
And Capital Gains tax rate is justifiably lower than income tax. If not, then there would be no incentive for people to invest that money since it was already taxes once before.
So yes, he earns a LOT of money through Capital Gains revenue (he's a wiz at the market...so he deserves to make that money). But NO, his actual INCOME TAX rate isn't lower than his secretary.
And you better believe he pays BILLIONS in taxes each year.
His secretary probably gets a tax REFUND at the end of the year.
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