How to pronounce “capital gains tax” in English

You can buy a position today and then build that position as you get to know the company better.There's no capital gains tax so your money compounds faster.And then there is the psychological benefit-- the pride of discovery, the joy of ownership, sort of thing.

He had a very savvy tax adviser who helped him design a series of special dividends that were characterized as return of capital.So they were shielded from any capital gains tax so that he was able to distribute a lot of proceeds directly out to shareholders in a tax advantaged fashion.And he used the balance of the excess cash to repurchase 30% of shares.

Now I say that advisedly because the Bush tax cuts really did make the income tax system more regressive.And as you know if we have a 15 percent capital gains tax and a lot of people at the top aregaming their income so that more and more of it appears as capital gains, so obviously Warren Buffett says truthfully he's paying 17 percent tax.