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I keep hearing people say "tax the rich" but how do the rich not pay taxes? (sorry for the dumb question, I don't know much about this)

but yeah,

I'm really uneducated with this type of stuff, but am trying to learn 👀

plz b gentle
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Elessar · 26-30, M
That's a question that could be answered exhaustively perhaps by a book, let alone a post. Anyway, most common routes on top of my mind:

1) hiding assets out of the govt's jurisdiction
2) moving businesses headquarters in tax havens, taking advantage of trade agreements between differently taxed jurisdictions (fiscal optimization, kind of)
3) declaring less than they actually make, or even straight out faking/omitting invoices
4) selling or transferring possessions to a trusted person, so it no longer appears as yours, while actually you still own that possession. Most trustable person would of course be a dead person
Fishy · 36-40, F
@Elessar

That's a question that could be answered exhaustively perhaps by a book

You got any good book recommendations? 👀

I'm legit trying to get educated about this because I don't remember much from school all those years ago 😬