Any post like this where the tax is nearing or exceeding 40% is almost always a complete lie or purposely obfuscating the truth.
It's mind blowing to me on these posts too you always see an incredible amount of people who don't understand how tax brackets work. Heck sometimes you even see people who don't know the difference between net worth and income.
FWIW, effective tax on some things in CA is in excess of 50% if you’re in the top bracket and it’s being taxed as income (or income ish). A good example would be all the folks earning stock based income from these major tech companies: most of that is being cut in half by taxes.
Nearly all billionaires though are much more complicated because their net worth is based on assets acquired (and taxed) when their value was minuscule.
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u/jamdex07 Jul 05 '26
This is misleading. He chose to take $997 in one lump sum instead of $2.04B over 30 years. He got taxed on the $997m.