Silicon Valley spends a check after Trump’s support

the The cost of living It is increasing, Workers ’wages are stagnantPeople are looking for a break. Silicon Valley gets one instead. According to BloombergAn unknown tax benefit known as QSBS shares, which has become a favorite transfer of start -up companies, will be expanded under a spending bill proposed by Republicans in the Senate, and can restore more than $ 17 billion in CEOs in Silicon Valley.

QSBS is a tax exemption that applies to the shares of qualified small companies such as some technical startups. The base allows shareholders in one of these companies to sell or exchange their shares while exempting them from some or all the tax tax that they have to pay on those sales. The details are somewhat complicated, but for the time being prepared to allow investors in the early stage to benefit if they stick to their shares for five years.

Suggested changes to the base, for each Bloomberg, would significantly expand the benefit. The item has declined to the so -called “one beautiful draft law” will allow investors to come later, criticism earlier, and still record a large part of the income -free income from their investments.

According to to Data From the Ministry of Treasury, About 33,000 people claimed QSBS in the past decade. They set $ 51 billion in 2021 alone, which was a record year. It is worth noting that the Treasury was also found that 90 % of the income demanded through QSBS came from the taxpayers who were reporting more than a million dollars of gains – visually, people who are traveling a lot without paying anywhere near what the average person should hand over to the federal government.

Treasury Ministry Projects QSBS will prevent about $ 44.6 billion from imposing taxes from 2025 to 2030. If Republicans’ proposal advances forward, this would add the last $ 17.2 billion of revenues that do not return to the government during that period, according to Data provided by the Joint Tax Committee Congress.

According to the guardianExecutive managers and employees of the Silicon Valley poured about 394 million dollars in the Donald Trump’s 2024 campaign. Therefore, it is certain that the registration of $ 7.2 billion of tax exemptions deserves spending. This is a great return of 4,265 % on investment! What deserves, democratic lawmakers Proposal QSBS rules dramatically decreased in 2021, in a way that had reduced the amount of income that could be excluded from taxes to half. Instead, the wealthy becomes richer.