The 25 richest Americans paid a tax rate” of just 3.4% between 2014 and 2018 despite their net worth rising by more than $400 billion, according to ProPublica,
Revenue Service data showed that Amazon’s CEO Jeff Bezos paid no federal taxes in 2007, and even received a $4,000 tax credit for his children in 2011, when he net worth reached $18 billion, to top $200 billion in 2020.
According to Forbes, the top 25 richest worth rose a $401 billion from 2014 to 2018. They paid a total of $13.6 billion in federal income taxes, the IRS data shows, amounting to a tax rate of only 3.4%.
On the other hand, the average U.S. household paid 14% in federal taxes, while others pay an income tax rate of 37%.
Founder of Berkshire Hathaway Warren Buffett paid $23.7 million in taxes from in the same period, on a total income of $125 million, paying only 0.1%, yet, his wealth grew by $24.3 billion.
Bezos’s wealth grew by $99 billion over the four-year period, and paid a tax rate of 0.98%, while Elon Musk and Michael Bloomberg paid 3.27% and 1.3% respectively, according to ProPublica.
Meanwhile, US President Joe Biden has proposed raising the highest income tax rate, which may have little effect on the real tax rate of billionaires, and Senators Elizabeth Warren and Bernie Sanders push for a wealth tax that would impose a 3% tax on the net worth of the super rich.