During the recent interview, Musk talked about the "billionaire tax" again.
He made it clear that even if all CEOs gave the government all of their money, it may not make a difference. Why? Because Musk believes the government wouldn't necessarily know how to spend it wisely, or at least not as wisely as some billionaires are already allocating it themselves.
First of all, I pay a lot of tax. My marginal tax rate is like 53%. That’s not trivial. Obviously, there’s asset-based taxes, the sales tax, and everything else. There’s also the estate tax. Generally, I think the estate tax is a good tax.
He added that when it comes to a ridiculous level of assets, to the point that there would never be any way to appropriately spend it all, there comes a point that the excess taxing is just simple "capital allocation." Musk continued:
It does not make sense to take the job of capital allocation away from people who demonstrate great skill in capital allocation, and give it to an entity that has demonstrated very poor skill in capital allocation, which is the government.
It's not the first time Musk slams on billionaire tax. In October, he said taxing billionaires would only make a "small dent" toward paying off the U.S. national debt, arguing that the focus should be on government spending.
Read more: Elon Musk slams billionaire tax
Source: insideevs, WSJ

Welcome to Courses in Moo Community, we help you trade like a pro.