ilmscore | Prediction Details
"Let's assume that you made $2 million this year from your business. This is the profit, this is the cash in your bank account. Now, if you were to go out and buy, let's just say a $20 million plane. Well, now what are you going to do? You're going to put down $2 million to buy this $20 million plane and you're going to finance the other $18 million. So this is $18 million worth of debt. And now the IRS has some special tax provisions on planes which will allow you to deduct pretty much the entire plane this year. Which means now you get to tell the IRS, 'Hey, I made $2 million minus these deductions, which is this $20 million plane that I just bought,' even though you only put down $2 million. So that means you have $18 million in taxable income... Now next year, if you made $4 million, you just carry forward this loss. And the year after that, you can carry forward the loss again. And you do that again and again and again."
By Minority Mindset | November 12, 2023 | Pending
From video
How The Wealthy Pay No Taxes (And How You Can Too) | Jaspreet Singh 00:19:39 - 00:20:42
Interpreted Prediction
Purchasing very large assets like a private jet, financed with a significant down payment and debt, can result in a substantial deduction that can offset current and future income, potentially creating large tax losses that can be carried forward for years.

Prediction Details

Topic
Deducting Large Asset Purchases (Planes)

Comments

0 comments

Be the first to share your thoughts.

Like this prediction?

Join to make your opinion count.