A special report out Tuesday from the New York Times shines a light on the so-called “income-defense industry,” which exploits “a dizzying array of tax maneuvers” so that the uber-wealthy can shield their fortunes.
“Operating largely out of public view — in tax court, through arcane legislative provisions, and in private negotiations with the Internal Revenue Service — the wealthy have used their influence to steadily whittle away at the government’s ability to tax them,” write Times reporters Patricia Cohen and Noam Scheiber. “The effect has been to create a kind of private tax system, catering to only several thousand Americans.”
That elite group, the Times points out, is also “providing much of the early cash for the 2016 presidential campaign,” in the hopes of influencing tax policy and keeping large loopholes in place.
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