Not too long ago Berkshire Hathaway’s Warren Buffett called into question a Republican drive to slash the U.S. corporate rate. Buffet was quoted as saying, “Any politician that can’t pass a tax cut is probably in the wrong line of business” while poking fun at President Trump and Republicans in Congress over doubts that they could come together on taxes.
As the third-richest man in the world with a net worth of nearly $86 billion, Buffetts’ Berkshire stands to gain $37 billion from Trumps tax plan.
Buffett previously hit out at the tax reform plan put forward by President Donald Trump and congressional Republicans, saying, “I don’t need a tax cut.”
How about the rest of us Mr. Buffett?
The rich keep getting richer, apparently whether they “like it” or not. How terrible for them.
Berkshire Hathaway could also benefit from tax reform because its biggest investments are in the financial sector.
For years, U.S. companies like Berkshire have parked money overseas to avoid the higher U.S. corporate tax rate.
The new corporate tax rate could increase earnings power for Buffets’ Berkshire by as much as 12 percent in 2018 and beyond as well as allow the company to repatriate some foreign profits and use it for investment.
Let’s hope Buffett and his company will invest in the American businessman and worker.
Warren Buffett is a major shareholder in Apple, and he believes that buybacks are the way to go when the company has excess cash and the stock is attractively valued.
Remember, the absolute truth is this, while Warren Buffett goes around and destroys Trump’s economic policy plan, making comments such as, the Trump tax plan would be a “terrible mistake”, he is actually financially benefiting from it in a way most of us cannot even imagine.