Samsung family pays off record $8bn inheritance tax bill
Posted by Tartan_Samurai@reddit | anime_titties | View on Reddit | 140 comments
Posted by Tartan_Samurai@reddit | anime_titties | View on Reddit | 140 comments
Adorable-Database187@reddit
Billionairs pay tax, this is good news.
eZ_Link@reddit
50% inheritance tax? That is heavenly
Adventurous_Salt@reddit
That's a good starting point, for people inheriting billions the marginal rates should push north of 90%.
Preyy@reddit
There should be no inheriting billions. Wealth cap somewhere below 100 million is as high as civil society can survive before wealth concentration destroys democratic institutions.
tennisanybody@reddit
50% of a billion is 500 million. Yeah that poor family needs food stamps now and tents to sleep in for sure!
FeeRemarkable886@reddit
Definitely not. But I have to admit a part of me thinks "taking half your money is fucked up". But I'm thinking about it from my perspective where taking half of $1000 would fuck my month up.
It's hard to imagine having half taken away yet still having hundreds of millions left.
MissingBothCufflinks@reddit
Taking half of the money you just got given for free for literally nothing except being born
CptHammer_@reddit
There's two problems with your logic. First this wasn't about 16Billion in cash that a simple bank transfer could take care of. This is about assets where the value is a moving target while the government is demanding half the value in cash.
16Billion in asset transfer is probably more expensive than the $68k asset transfer that I paid $1800 to complete. I couldn't sell anything I didn't already own to get the right to sell something "given to me for free".
There's likely an organic way to set up the legal stuff ahead of time to make it easier and prepaid by the estate, but then the transfer is still a smaller amount.
NekoCatSidhe@reddit
And if those assets were mainly Samsung, it might also mean the South Korean government taking over half the shares of the most powerful company in the country, which would amount to a partial nationalization of the company.
I do not think this is what happened here, the heirs probably sold half of their shares to cover the bill. But it still is something that would have a major impact on the economy, and that would deserve to have an important public debate that probably did not happen. And wealth taxes tend to have the same problem as inheritance taxes for the same reasons.
Saying "Tax the rich" sounds nice and fair so populists everywhere often love saying it, but it is never as simple to implement as saying "you rich kids just inherited, so wire half of the cash asap" or "those billionaires have too much money (and are kind of jerks), so let's implement a 2% wealth tax". That is always going to have some major impact on the wider economy of the country beyond what is in the bank accounts a handful of very rich people.
greeenappleee@reddit
Ya but its more important to punish rich people than to work on having a strong economy which benefits everyone. Why use nuance and actually understanding economic issues when we can just pretend these massive companies have zero impact on the economy. There are comments on this thread saying that having rich people and large companies leave is fine and not bad for the economy because they try to minimize their taxes so them leaving would be fine.
OGLikeablefellow@reddit
Yeah the impact will be that there will be more money for all the people who made those billions in the first place by creating all the surplus value due to their labor endeavors
r0thar@reddit
They also handed over a lot of very valuable art to the national gallery as part payment. Who doesn't like paying debts in Picassos and Dalis
MissingBothCufflinks@reddit
That's why they got to pay it over a payment plan with realised value adjustments? Its not rocket science
Yenkyy@reddit
And where does the State's claim to the money come from? Money that the deceased has already paid taxes on then chose to save instead of spend. You didn't get that money for free, someone chose to give it to you. Should people spend ALL their money before death since no one deserves it?
MissingBothCufflinks@reddit
Where all state power comes from; its posited and then enforced.
It would be wildly better for both economy and society if they did yes
greeenappleee@reddit
Given that the wealth isnt money in the bank but ownership of Samsung, I dont see how them having sold all of Samsung which would probably get bought at least partially by investors of another country would benefit South Korea. Yes velocity of money matters for society but when its actual assets, being forced to sell them in a global economy just moves that asset value overseas. The alternative is forcing a local sale but south Korea has like 3 main companies so all that would do is force down the valuation of the asset so also wouldn't benefit anyone (especially not anyone invested in Samsungs success which is all of south Korea since its one of their largest companies and a massive employer)
dNYG@reddit
Actually yeah there should be an incentive to not hoard wealth
greeenappleee@reddit
The wealth is ownership of their company. Why should someone have to sell off their company? It wouldn't really benefit society especially the local economy since the buyers would be at least partially overseas so thats basically just advocating that companies should be forced to sell portions to other countries.
Shasla@reddit
Large gifts are typically taxed, inheritance or not.
privattboi@reddit
On the other hand, if the government took half of the money my father left me when he died, I would need to work and go into debt to get myself through college.
We dont have generational wealth. He just saved enough to give his children a better chance at life. It also wasnt free, he worked for every single cent with his kid's future in mind.
MissingBothCufflinks@reddit
There arent many countries in the world without a generous (arguably far too generous) de minimis inheritance tax free, so your example doesnt fly.
MrSpiffenhimer@reddit
The fact that people don’t know that is why arguments against wealth and inheritance taxes are so powerful. If you make the average or even most of the above average in terms of wealth people believe, wrongly, that the tax would apply to them, they will fight you tooth and nail. It doesn’t matter that they would never come close to ever needing to pay those taxes, they don’t understand the scale at which they apply so they are against it.
Sufficient-Quail9994@reddit
In South Korea one would need to inherit over 3 billion Won to get into the 50% inheritance tax bracket, thats a bit over 2 million USD or 1.8 million Euro. Quite a bit over your example.
source: https://askkorealaw.com/2025/05/19/korean-inheritance-tax-2/#Who_Must_Pay_the_Inheritance_Tax_in_Korea
FeeRemarkable886@reddit
I would agree, if it wasn't hundreds of millions we were talking about.
Like yeah sure I lose half which sucks because it was money taken from me. On the other hand I have money left over that will give financial security to me and my family for generations to come.
I
MissingBothCufflinks@reddit
Pretty sure the remaining 14 trillion won will mean they are fine
r0thar@reddit
*68 trillion won now
The Lee family has a combined net worth of more than $45bn, ..their wealth has more than doubled in the last year as demand for computer chips from the global artificial intelligence (AI) industry
Pikkuraila@reddit
Exactly, the value of money is very relative. 50 dollars isnt anything to you but its the world to a homeless person. Losing hundreds of millions does not affect the material well being of a billionaire in any way, but you losing 500 dollars fucks you up.
We dont need the billionaire-class.
thisSILLYsite@reddit
$50 is still a lot dude
Pikkuraila@reddit
And aint that the saddest thing when epic memelord Musk wants his net worth to be 10 trillion.
bhmnscmm@reddit
I have $50 for you if you do something for me...
mrdevlar@reddit
That's because you see wealth as a line when it's a really an exponential curve.
TrueBigorna@reddit
Should've been 100%
VeeTeeF@reddit
I would assume it's bracketed like income taxes. A flat 50% inheritance tax would be insane.
PerforatedPie@reddit
It is. The tax rate starts at 10%, then goes up 10% until a maximum of 50% - although I did see some things saying it can also go up to 60% in some circumstances.
Link explaining it, see section 3.
It sounds like the Samsung family didn't have to pay the 60% rate, even though if anyone should pay that it probably should be them.
PerforatedPie@reddit
They wouldn't take half your money. They didn't even take half the money of the Samsung family.
The tax rate is progressive. It starts at 10% for for assets up to about $70k USD, then 20% up to around $275k USD, scaling through 30%, 40%, and finally 50% only for assets above $2 million USD.
Even when you're subject to the higher rates, you still only pay lower tax rates on the first portions of assets. So the Samsung family will have paid all the different rates, only paying the higher rates on amounts above the level below.
Link explaining it, see section 3.
jajanaklar@reddit
If you have so much money, it only will get more. It was half of it in 2020, now the Samsung family owns 45 billion.
cancerBronzeV@reddit
That money was stolen from exploited workers anyways, they should be glad they got to keep half of it.
Inadover@reddit
hey now, not being able to afford a third yacht must be devastating for them.
byyhmz@reddit
The Revenue Act of 1935 saw a 75% tax placed on anything made over 1million. 50% reasonable.
Heistdur@reddit
There’s a 50% inheritance tax in the US as well.
MylesVE@reddit
And it’s much easier to circumvent these taxes in the USA
Heistdur@reddit
Explain to me how, in detail, if you know it’s so easy?
Extremely interested in hearing the average Reddit take on this.
SophiaofPrussia@reddit
Look up “private trust companies” and family offices and you’ll get a rough idea of how it works. It’s not “easy” because it requires hiring a lot of professionals with a lot of specialized expertise and that costs quite a bit of money but it’s “easy” enough for billionaires that they all do it. There are entire industries built around providing inter-generational tax strategy and wealth planning and estate planning and corporate trust services to the ultra-wealthy.
MylesVE@reddit
Trusts held in s corps held in LLCs, FLPs, retained annuity trusts, etc. “Buy, borrow, die.”
Also I don’t have to explain shit to you. Extremely interested in you learning how to look shit up yourself, in detail, instead of bark back with some sense of knowledge and authority on the matter when you add jack shit.
YZJay@reddit
Ah, what a way to teach people to never ask questions.
MylesVE@reddit
I don’t have a problem answering questions. The tone and intent of the question was what garnered the reply.
Nobody owes you anything, especially if you start off by being a sarcastic little prat. The burden to teach isn’t on me.
thisSILLYsite@reddit
No, but when you make brazen claims with nothing to back it up, then don't be surprised when people call you out.
Flowzyy@reddit
Trusts, more specifically GRAT
PerforatedPie@reddit
A quick search tells me the highest inheritance tax in the US is the Federal estates tax, which tops out at 40%.
hereditydrift@reddit
There's an estate tax. Multiple loopholes and exemptions allow for the wealthy to pay much less than the 40% estate tax rate. A handful of states have an inheritance tax, but those are also full of exemptions.
We need to remove loopholes and tax anything over $5m at close to 100%.
TheGalator@reddit
Until you realize the consequences
It works for korea because its all family owned and they gove chaebols so much power its worth it.
For Most other countries it would backfire and result in more family offices in countries like Singapore
MissingBothCufflinks@reddit
All of those tax structuring exercises only work because our system is designed to let them
TheGalator@reddit
Well duh. And if we change it they just leave
Which for me personally is fine but for lawmakers is not
MissingBothCufflinks@reddit
I suspect you dont know what some of the policies I mentioned do, as several of them ensure you can't "just leave".
TheGalator@reddit
I replied before you added everything behind the first sentence
MissingBothCufflinks@reddit
OK? The EU could change that
TheGalator@reddit
Sure and trump could not be an idiot sadly some things just are the way they are
MissingBothCufflinks@reddit
Except, apparantly, in South Korea
TheGalator@reddit
And now we come full circle to my explanation on why that is the case
FeijoadaAceitavel@reddit
Still not enough. Even capitalists can't defend inheritance on a moral/ethical basis. It should increase with the total inheritance received and be more than 95% for things over a billion.
handlesdumplings@reddit
Very good reason to tax billionaires.
throwawayifyoureugly@reddit
MAGAHATESTHEUSA@reddit
They just hit $trillion value. They living it up right now. Stocks soaring like crazy
Adorable-Database187@reddit
Good for them, pay your taxes and prosper!
Kimikohiei@reddit
*cries in American
ibrown39@reddit
Good. They're basically SK's masters and get away with gross negligence -- to the point of even child casualties. Also you know, paying appropriate in general.
DateMasamusubi@reddit
Your statement is contradictory. If the billionaires were masters, then why pay taxes? It would be like America with dodgy accounting practices and $1 salaries.
ibrown39@reddit
Ok corporatist
Accurate_Reality_618@reddit
The inheritance tax is the strangest tax I've ever heard of. Are there any legal justifications that allow the government to take money from heirs without any logical right?
SpinningHead@reddit
So we don’t build monarchies like your country
Accurate_Reality_618@reddit
Bro your leaders are protecting child molesters.
big_cock_lach@reddit
I was going to say, I get the sentiment, but it’s incredibly ironic that it’s coming from an American. Even ignoring that they’re led by child molesters, they have more inequality than a lot of countries with royals and nobles (Saudi included I believe). It’s looking more and more likely that they’re going to end up with the most powerful oligarchy sooner rather than later too.
I completely understand the sentiment, but the US is one of the countries that are worse than Saudi on this front.
SpinningHead@reddit
Ah, yes, the equality of bone saws.
big_cock_lach@reddit
Saudi Arabia has a Gini index of 0.456 whereas the US is 0.485. Saudi Arabia has, financially speaking, less inequality than the US.
SpinningHead@reddit
SA is 46.3. US is 39.8 to 41
Weird for a hereditary monarchy, I know.
Accurate_Reality_618@reddit
I'm not saying we're perfect, and we have rich people who cause problems and control the state, but as the saying goes, don't throw stones if you live in a glass house.🙃
big_cock_lach@reddit
Yeah, it’s a bit ironic and rich coming from an American. Not saying they’re wrong, but it’s a bit like Elon Musk criticising Gina Rinehart for being too rich. Sure, you’ve got a point etc, but you’re also 20x richer lol.
Accurate_Reality_618@reddit
lool We're not rich, it's just a stereotype. And some people live on social security.
big_cock_lach@reddit
I’m not saying you are? I think there’s been an accidental miscommunication somewhere.
CreativeGPX@reddit
Not really. Most people (Americans and non-Americans) make this mistake of stereotyping national populations based on outcomes which not only reduces 49:51 splits into 0:100, but also ignores that sometimes sentiments take time to translate into actions and sometimes the ways they translate are not 1 to 1.
It's a very common viewpoint in America. Trump/conservatives ran on "drain the swamp" and by telling lower and lower middle class people that he was going to bring back jobs to America. Liberals have been campaigning on income inequality (taxes on the wealthy, debt forgiveness for the poor and middle class). The overall sentiment against income inequality is very popular here across the board. The negative attitude toward those who just inherit money is very popular here. Both parties succeed by saying they are going to unseat the most powerful and give the poor a leg up. It's just that both parties have failed to actually do that and their debates between each other about how to do that often lead to gridlock. Arguably the wealthy have succeeded in getting people to nitpick about the way to solve the problem in a way that often avoids anything getting done.
That's not a measure of the topic at hand though. With inheritance, we're talking about wealth that continues indefinitely despite the person receiving the wealth perhaps doing nothing to actually create it. That's a viewpoint that's compatible with a person doing something today that makes them very wealthy relative to the population. A large reason why the US has the wealth inequality that it does isn't the dynasties, it's that we generate a lot of the wealthiest people in the world. The top 8 richest people in the world are all in the US and all created that wealth over the past few decades as adults rather than inheriting it. And I'm sure you are aware that as you go down the list there are more like Buffet, Ballmer, Gates, etc. that are the same. Not to mention other major non-hereditary creators of wealth like Hollywood or our music industry. That's completely compatible with the viewpoint in the comment that you are referring to. In other words the viewpoint isn't "wealth is bad" or even "wealth inequality is bad". It's "generational wealth so big that it creates virtual monarchies is bad". That's a view that's compatible with thinking it's good for billionaires to be emerging every day, which is a view some Americans have and others don't. It's a view that compatible with thinking that it's okay for some people to get very very rich based on what they do in their life.
It also is a viewpoint that can exist along with a strong belief in an inheritance tax or even just with a general moral support of things like the giving pledge in which billionaires like Bill Gates, Warren Buffet, Elon Musk, Sam Altman, Larry Ellison, Jeff & Marieke Rothschild, Sheryl Sandberg, Michael Bloomberg, Paul Allen, Melinda Gates, Barron Hilton, Carl Icahn, etc. pledge to give "the majority of their wealth to charitable causes in their lifetime or wills."
It is indeed a careful time to watch for that. But that's all the more reason why it's NOT ironic that it's a value that many Americans are pointing to and elevating right now. BECAUSE of our current situation, it's all the more common that people are pointing to this as a fundamental American value to protect which has and should separate us from turning into the kinds of monarchies we separated ourselves from.
SpinningHead@reddit
Oh, so you see how consolidated generational wealth facilitates corruption. Good.
CreativeGPX@reddit
We have one leader that protects child abusers. He ran on doing the opposite. Since that became clear he has acquired the literal record for lowest ever approval rating and will therefore likely lose support in the mid terms. He is term limited to not be re-elected anyways. So, it's not a good faith generalization to say that "our leaders" protect child abusers. Nor is it related to the topic at hand.
They are generally not particularly rich. Biden, Obama, Bush and Clinton were worth $8m, $1.3m, $20m and $1.3m respectively when they became president. 65% of Americans own a home that is worth on average $0.5m. So, the gap there exists, but is not nearly as large as what the other comment is talking about which is orders of magnitude larger.
Also, I think you're missing the point. The point isn't that rich people shouldn't be in charge. It's often hard to not become wealthy along the path to becoming in charge because obviously we want to have our president to have a good resume and a good resume is going to have increasingly better paying jobs. Even somebody who just is a senator a bit before becoming president will be making more than double the income of the typical American because that's a high level job. The point is that people should be in charge based on what they themselves do and create. Doing and creating big things will tend to make them at least somewhat wealthy and that's totally fine.
The point is that "we" generally believe that a person who does nothing and creates nothing shouldn't be just handed the massive amount of power that corresponds to inheriting all of the money, land, businesses and titles and governmental powers. A person should have to earn those things to an extent. FWIW, though, we do allow an inheritance, so it's not a total rejection of what you're saying. It's just a slight dialing back.
Accurate_Reality_618@reddit
Thank you for your time
crazycatchdude@reddit
The irony coming from a shit hole country like SA 😂
Accurate_Reality_618@reddit
Good luck with Epstein
crazycatchdude@reddit
He's dead brother.
Good luck with MBS for the next 40+ years, imported slave labor, and declining oil revenue.
Accurate_Reality_618@reddit
Aru you sure?
timbomcchoi@reddit
The rationale is that it reinforces class differences. It's an attempt at evening out the starting line, so that competition would hopefully better reward your merits on your parents'
Silver_Middle_7240@reddit
Problem being that if your upper class you can give your kids a leg up regardless of inheritance through nepotism. It's the people lower down for who inheritance is the way to retire, own a home, or just pay down debts.
eomertherider@reddit
Of course being raised upper class gives an upper hand. However taxing inheritance is a way to fund schools, subsidies, public service, etc. that can help people climb the social ladder.
A smart country would also implement a strategy that only $ above a certain threshold is taxed. Like only inheritance above 100k is taxed. This is also a way to force the sale of land and ensure its not completely held by one old family that amassed wealth through generations.
Silver_Middle_7240@reddit
Oh, wealthy people hold their real estates through corporate persons anyway. So it doesn't even do that.
TheRealHanzo@reddit
Just the fact that there is such a thing as a corporate person should be illegal. A person should be a human being by definition and no corporation should be treated like a person or a human being legally.
eomertherider@reddit
I said a smart country. One that was engineered to have a ton of loopholes and slap on the wrist punishments that encourage "optimizing" would not be smart in my mind. And no, I don't have a list of smart countries, they seem to be quite rare nowadays...
JorgiEagle@reddit
There are always exemptions for inheritance tax, even South Korea.
Small estates very rarely pay inheritance tax.
I think here in the UK, only the top 5% of estates pay any inheritance tax. The majority 95% don’t pay any
CreativeGPX@reddit
Yes, just because you fix one problem doesn't mean other problems don't exist.
The thing is, it's extremely hard to prevent successful people from helping those they care about without just forming an autocracy because it gets into basic freedoms about how they choose to act in life. Inheritance on the other hand is a very objective and easy rule to apply.
Sure but inheritance tax doesn't even exist for those people. In the US the cutoff is $15m for an individual and $30m for a married couple.
TuringTestDropout@reddit
In the US, the federal estate tax only applies to transfers more than $13M (top ~1% of households' net worth); it is not affecting 99% of Americans.
Lumpy-Valuable-8050@reddit
Bro the samsung family has probably done more than enough to get south korea rolling
trxarc@reddit
Look from the other side, many koreans helped Samsung accumulate wealth on their back.
timbomcchoi@reddit
✊
SmurfsNeverDie@reddit
Im skeptical and think they work just like the usa. Usually the money ends up going to the lobster and waguy steak state dinners anyways. Some golf trips too. Maybe a nice present for trump. Idk much about south korean politics but id assume most of that money doesnt go where it needs to.
timbomcchoi@reddit
Once it's paid it just goes in the general tax accounts (i.e., gov budgets) so I guess it goes as far as any other form of non-earmarked taxes go haha
Win32error@reddit
If you want to prevent dynasties from hoarding wealth, especially in the form of enduring assets like property, you're gonna have to do something.
Look at it from the other side, what exactly do heirs do that make them deserving of the wealth of a previous generation? Nothing.
Accurate_Reality_618@reddit
I understand that, but it's still their inheritance, and no one has the right to judge how they should spend it.
SourcerorSoupreme@reddit
Have you read their constitution and their laws?
PeterStKing@reddit
When you receive new income, such as salary, you pay a tax. Therefore, it makes sense that, if you receive new income through an inheritance, you also pay a tax on it.
It also contributes to less concentration of wealth in the hands of a few families, while providing funds for the State to redistribute and provide opportunities to people from lower income households, so they can study and access other public services.
Win32error@reddit
That's sort of what we've decided in most countries, but what happens to the things a person leaves behind after their death really isn't set in stone. Inheritance is not some natural right, it's just something most societies find the most useful way to treat the matter.
We could all decide together that when you die, your stuff goes on a pile and we burn it with you, it wouldn't be any more or less fair than what we do now.
buttsnuggles@reddit
South Korea disagrees with you
Accurate_Reality_618@reddit
Well, that's one point of view.
SourcerorSoupreme@reddit
Your question is more confusing, are you looking for a legal, logical, or moral justification?
If you're asking for a legal one, then clearly you just have to look at what the law says.
If you're asking for a logical one, then it being required by law is your answer.
NavyDean@reddit
America has one as well.
Canada does not, hence the rich families in BC/Toronto.
Antique-Quail-6489@reddit
It’s only in name that Canada doesn’t have an inheritance tax
“The Canada Revenue Agency (CRA) treats the deceased’s estate as a sale and — unless the estate is inherited by the surviving spouse or common-law partner, in which cases exceptions apply — taxes it accordingly. That means you, the recipient, will not pay taxes on the amount you inherit, but because the estate is taxed before it’s distributed, you will not inherit as much.”
From Wealthsimple because they had the most concise explanation: https://www.wealthsimple.com/en-ca/learn/does-inheritance-tax-exist-in-canada
And that is not the only reason there are rich familiars in Vancouver and Toronto, otherwise you’d have a ton of rich families concentrated all over the country.
agentchuck@reddit
Even if the spouse inherits the estate there are tax implications. For example if you own a house then the capital gains are settled for the deceased person's lifetime in the estate as they are transferred to the new owner on the date of settlement.
Adorable-Database187@reddit
Its quite normal I believe, we have it around here as well.
DjuriWarface@reddit
It's a progressive tax that usually only affects the wealthy. As opposed to something like sales tax, a regressive tax, that disproportionately impacts the poor.
trxarc@reddit
The heir did nothing for that money.
BigFatKi6@reddit
I mean yeah. They write laws that make it legal.
Politicians in most countries don't really get scrutinised and can propose laws and they get passed but if you would poll the population they'd objec. Once law has been passed things get even more passive and they don't get overruled.
Especially since any ruling coalition won't want to lose tax revenue as it would require raising money somewhere else and psychologically people are used to this tax but not a hypothetical new one.
Radiant-Fly9738@reddit
so they paid almost half of what he left to the government? lol if this isn't theft then I don't know what is. no, I'm not defending billionaires. regular citizens also shouldn't have to pay such an absurd amount.
Ambitious-Pirate-505@reddit
You've never been to Korea. They dont operate like the west where they worship money.
Radiant-Fly9738@reddit
what does that have to do with this? someone earns something than he dies and the government takes 40%.
PerforatedPie@reddit
He earned something by being a member of the governed society.
Also it's not a straight 40%. The government takes 10% of the first 100 million KRW. Then, 20% of the next 400M KWR, and 30% of the next 500M, 40% of the next 1 billion, and 50% of anything else.
Radiant-Fly9738@reddit
and he earned it by providing something to the governed society. 500m krw isn't some outrageous number. I understand taxing USD bilionares, that's fine as that's an absurd amount of money, but having 50% tax on less than a million of USD (less than 700k to be precise) is wrong. That's nothing outrageous in today's world.
PerforatedPie@reddit
500M KWR (30% bracket) is about $350k. The next level is 1B (40% bracket), which is $700k, and then the 50% rate is only for assets above 3B KWR, which is $2M.
So, you would pay:
[Note: I rounded the hell out of those numbers after the currency conversion]
If you inhereted a $500k house, you would probably pay roughly 20% tax overall. You would have the full tax liability for the 10% and 20% brackets, then the remaining ~$155k would be taxed at 30%. The tax on $500k would thus be roughly $108.5k, or 21.7%.
TheCraxo@reddit
If you are rich enough yes, this prevents top 1% from being even more richer than they are already.
Ofc this on regular citizens makes no sense
PerforatedPie@reddit
Which is why the tax rate is progressive and starts at 10% for assets up to about $70k USD, then 20% up to around $275k USD, scaling through 30%, 40%, and finally 50% only for assets above $2 million USD.
Even when you're subject to the higher rates, you still only pay lower tax rates on the first portions of assets.
Link explaining it, see section 3.
Radiant-Fly9738@reddit
that's how you end up with middle income trap and the rich getting richer.
PerforatedPie@reddit
Are you saying progressive tax rates are a bad thing?? Ronald Reagan called, he said he wants to make a movie with you...
Radiant-Fly9738@reddit
I'm saying what I wrote, taking half of his money from his inheritors is wrong.
PerforatedPie@reddit
They didn't take half the money. The tax rate is progressive, so you take lower percentages of the first batch of money.
The total fortune was 26T, they paid 12T of tax. Less than 50%, even though the 50% tax rate was applied.
The point is you can pass on enough to set your children up for a decent life, so the tax rate starts fairly low, then goes up with excess wealth.
TheCraxo@reddit
What is wrong is taking that much money from workers but whatever, keep defending billionaries
Chance-Plantain8314@reddit
Are you implying the Samsung family are regular citizens?
TheCraxo@reddit
no
SophiaofPrussia@reddit
He’s dead. He was done using it. You can’t take it with you.
mnmkdc@reddit
I mean reasonably they’re just paying back a fraction of what they owed to society, and they only have to do it after they died. It’s not like they’re is going to struggle to make ends meet now. That family is so rich that they can pay something like this without it having any tangible effect on their lives whatsoever.
markbadly@reddit
You went to North Korea or something?
thegodfather0504@reddit
Billionaire wealth is result of theft
TrueBigorna@reddit
It Should've been a 100%
BrooklynLivesMatter@reddit
They paid half to the government of the country that let them develop that wealth. Seems reasonable to me
PerforatedPie@reddit
They probably don't.
JorgiEagle@reddit
> im not defending billionaires
That’s exactly what you’re doing
Regular citizens don’t pay this. Only 5% of estates pay inheritance tax, because there are usually an exemption limit to the value of an estate before any tax needs to be paid.
Also the Samsung family value has doubled in the past several years due to the chip shortage. So they’ve basically made it all back again
LinxESP@reddit
Regular citizens don't inherete number so big two continents use different notations.
Note than in this kind of taxes usually/sometimes/(expression of frequency) is per steps or whatever translation. Maybe is 50% above 500k€ but since they are talking about billions I don't think that lower tiers/steps are going to make much difference.