Is Buffett's 99% of his wealth flowing to his family's charity fund a real act of public welfare or a sophisticated tax avoidance scheme?

Berkshire Hathaway released a new statement this week detailing Buffett's plans for a huge fortune after his death. But the truth may not be as simple as we think? (Synopsis: Buffett's public estate plan "99.5% donated to the family charitable fund" advises all parents to do one thing before they die) (Background supplement: Buffett: BTC "is gambling" delusional to get rich; Banks may continue to fail) Berkshire Hathaway, the 94-year-old chairman, released an updated statement to shareholders this week detailing his wealth plans after his death, and Buffett has arranged his posthumous affair The filing shows that Buffett again converted 1,600 Class A shares into 2,400,000 Class B shares and donated them to four family foundations: 1,500,000 of them to Susan A. The Susan Thompson Buffett Foundation, with the remaining 300,000 shares donated to The Sherwood Foundation, The Howard G. Buffett Foundation, and the NoVo Foundation. He said the bequest reflected the couple's belief that extremely wealthy parents should give their children enough resources to achieve anything, but not so much that they would have nothing to do. Extended reading: Buffett's public estate plan "99.5% donated to the family charitable fund", advising all parents to do one thing before they die Buffett calls on other rich people to donate In fact, as early as 2006, Buffett and Microsoft (Microsoft) founders Bill Gates and his wife jointly launched "The Giving Pledge", calling on the world's rich to do charity and donate together, and many of them have promised to donate more than half of their net worth to charity, Buffett even boasted that he would "donate all his property" after his death. To avoid taxes? All control over your children? But can rich people like Warren Buffett really be so selfless and give away the wealth they have spent their entire lives gaining? Things may not be as simple as we think. One might ask, if Buffett really wants to leave money to his children, why not give them directly, but do it by doing charity? If we look at the U.S. estate tax system, it seems to understand why Buffett did this. The United States has been collecting inheritance taxes since the 18th century, and in the mid-90s, the rate reached a staggering 77%. Although today, estate tax rates for estates greater than $2.5 million are still as high as 50%, making charitable donations a mainstream legal tax avoidance. According to U.S. tax law, charitable foundations must use 5% of their total assets each year, but it doesn't matter where they are used, and the gains are not subject to tax. So if you invest the foundation's money, you might make more money... Of course, it is a good thing if you donate to a general charity, but the Buffett family's charitable fund will receive almost most of his wealth and his three children will become the trustees of the fund. Since these huge funds do not stipulate how much to pay each year for charity, they can only give a small part of it to charity every year, and use the expenses of activities to reimburse their children's living expenses, whether it is the personnel expenses of running a foundation, wanting to take a plane commute, running a party to rent a space, acquiring art... All can be reimbursed in the name of the foundation. In this way, Buffett can reap good reputation while avoiding taxes, pass on wealth to his children, and prevent individual children from losing their family property by getting too much money at one time, which can be said to kill many birds with one stone. (Other uses may also include donations to prestigious schools, but holding the right of future children to enroll; Influencing politics through the Foundation's think tanks, for example, the Rockefeller Foundation has produced three US secretaries of state... After understanding this, you hear these rich people say that money is not important to me, I want to give back to the society... Doesn't that sound ironic? Related stories Japanese stock market hits 33-year high! Why can it continue to soar, and Buffett has also increased his investment? Buffett smashed 10 billion to invest in Japan's five major trading companies, Monger: A century-old opportunity, money is too good to earn! Buffett laughed! Berkshire's investment performance has outperformed BTC in the past 5 years (Buffett's 99% of his wealth has gone to family charitable funds, is it really a public welfare or a superb tax avoidance calculation? This article was first published in BlockTempo "Dynamic Trend - The Most Influential Block Chain News Media".