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Gerri Willis: Warren Buffett says he supports tax hikes, yet he takes steps to reduce what he and his company owe in taxes.
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What -- saying do is I'd say not as I do.
That's how teenagers get one out on their parents it's only not detection -- -- you do it so -- when it comes to taxes.
It's worth your while to take a look at what Warren Buffett does rather than what he says.
Buffett the highly -- investor whose folksy demeanor has earned him loads of fans in the heartland.
He says he believes that the government requires too little love them when it comes to paying taxes.
Here's -- wrote in an editorial in the New York Times not too long ago he said this.
Last year my federal tax bill the income tax I paid as well as payroll taxes paid by me on my back half.
With 6938000.
Dollar 744.
That sounds like a lot of money but what I paid was only seventeen point 4%.
But my taxable income seventeen point 4%.
And that's actually a lower percentage -- was paid by any of the other twenty people working in my office their tax burdens range.
From 33% to 41%.
An average 36%.
That's Warren Buffett.
Now Buffett could just struck a check to Uncle Sam but instead he's gone on a crusade for higher taxes.
He's been a big supporter of president Obama's tax plants which in turn led the president's name is millionaire's tax after billionaire Buffett.
But if you examine how the Oracle from Omaha conducts its financial business.
-- a guy sure does a lot to avoid paying higher taxes.
Consider for example his move to invest in Bank of America at the -- of the mortgage meltdown.
Buffett came across -- something about white -- hero but in fact his five billion dollar investment in the bank in preferred shares not common stock.
Erred -- not just 300 million in dividend every year but also a tidy tax benefit.
The dividends received deduction it allows corporations to exclude most of the interest their paid when calculating taxes thereby.
Reducing his company's effective tax rate to ten point 5% now that's according to the Wall Street Journal.
Pretty nice DO RA.
Well now look to be clear I'm not saying the Warren Buffett and his company shouldn't do everything they can't to reduce their tax burden.
I expect that and I'd do it myself.
But to then lectured taxpayers on their need to pay more -- That's talking out of both sides of your mouth -- Warren.
There's another example Warren zeal for low taxes according to Americans for limited government.
Buffett's company has a nearly one billion dollar outstanding bill to the federal government the IRS a result of the dispute over -- -- what.
Taxes experts say the bill as a result of a protracted battle with the IRS soon.
A debate in which he Oracle is pushing back on a higher tax stab from the IRS looks like another opportunity could've taken to pay higher taxes and then decided not to hypocritical.
I think so.
And these are the only two cases apparently there was a fourteen year battle over another situation.
With the dividends received deduction that the Oracle went to battle with the IRS over.
But you get the picture -- doesn't roll -- and pay more than the nose sometimes even fights over what the iris CEOs.
And frankly that is the example you should follow what he does rather than what he advocates that the rest of -- do.
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