Originally Posted by TheMikeIsHot
Maybe at some point money in investor accounts was earned by working. But for the most part, they do this for a living, no? They move from one investment to another, or continue to earn income via the initial investment?
If that's the case, this would be considered a man's job... and similar to a salesman, he will have good months and bad months. Yet the investor pays a significant'y lower tax rate because he's making his money differently.
He paid more tax on his investment then the salesman. To give you an example if Warren Buffetts job is to own 50% of Berkshire Hathaway and the company is being taxed at 35% which comes right off the top of his corporate earnings and in addition he pays 15% cap gains tax, how in the world is he paying less then his secretary paying at a rate of 17%?