Welcome to DU!
The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards.
Join the community:
Create a free account
Support DU (and get rid of ads!):
Become a Star Member
Latest Breaking News
General Discussion
The DU Lounge
All Forums
Issue Forums
Culture Forums
Alliance Forums
Region Forums
Support Forums
Help & Search
General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsCEOs off-loaded millions of dollars in stock in december to avoid higher taxes
http://www.nationofchange.org/ceos-loaded-millions-dollars-stock-december-avoid-higher-taxes-1357835181As the possibility of increased tax rates approached at the end of 2012, dozens of executives sold stock and took advantage of lower tax rates. According to the Wall Street Journals analysis, executives off-loaded millions of dollars in stock in December, avoiding the higher tax rates Congress approved at the beginning of 2013. And because Congress raised rates on capital gains income, executives who sold well-performing stocks saved the most, the Journal reports:
A Wall Street Journal review of securities filings found that 58 executives sold stock valued at $10 million or more in December as talks intensified over raising tax rates.
Capital gains were hit more than other types of income, according to David Kautter, the managing director of the Kogod Tax Center at American University in Washington, D.C. So if you could move that into 2012, you saved the most of anyone.
Many of the executives who sold stock in December said they did not do so for tax purposes, and according to the Journal, their selling patterns mirrored those in previous months. Others, however, admitted that the sales occurred for tax planning purposes. Cablevision CEO James Dolan, who also manages Madison Square Garden and the New York Knicks, gained $26 million from stock sales in December. He had not previously sold stock since 2009. And Robert Kauffman, co-founder of an investment firm, retired and sold $180 million in stock after citing tax concerns as a main reason.
InfoView thread info, including edit history
TrashPut this thread in your Trash Can (My DU » Trash Can)
BookmarkAdd this thread to your Bookmarks (My DU » Bookmarks)
7 replies, 1333 views
ShareGet links to this post and/or share on social media
AlertAlert this post for a rule violation
PowersThere are no powers you can use on this post
EditCannot edit other people's posts
ReplyReply to this post
EditCannot edit other people's posts
Rec (2)
ReplyReply to this post
7 replies
= new reply since forum marked as read
Highlight:
NoneDon't highlight anything
5 newestHighlight 5 most recent replies
CEOs off-loaded millions of dollars in stock in december to avoid higher taxes (Original Post)
xchrom
Jan 2013
OP
Egalitariat
(1,631 posts)1. One of them was Al Gore
It was the smart thing to do.
If given the choice between $1.0 million and $1.2 million, I'm pretty sure I would take the higher figure myself.
customerserviceguy
(25,183 posts)2. Imagine that
You change tax law, and it changes people's behavior. Who'da thunk it?
Travis_0004
(5,417 posts)3. i don't see how its a big deal.
They sold the money in 2012, to pay 2012 rates. The one benefit to the government is that they get the revenue sooner, even if it is less.
aristocles
(594 posts)4. Simple financial responsibility
What else should they have done?
Kolesar
(31,182 posts)5. Big sales after the capital gains tax cut deflated the stock market indicies
At least that is how I recalled it. Did not see that this time. We're jammin'.
CBGLuthier
(12,723 posts)6. I do not expect the wealthy elite to be STUPID for my entertainment
What they did was within the law and only an idiot would have done otherwise.
Earth_First
(14,910 posts)7. First world problems of plutocrats...