00:00A luxury skyscraper generates 50 million in cash profit while claiming a massive multi-million
00:05dollar loss. The tax code allows wealthy owners to pretend a solid building is physically rotting
00:10away every year. They call this phantom depreciation, a magic trick turning massive gains into official
00:17taxable paper losses. While your home value goes up and your taxes rise, their rising assets create
00:23tax-free wealth. The IRS treats every single brick like it is decaying while the actual market value
00:29skyrockets. High-end investors use these fake paper losses to wipe out the taxes on their corporate
00:35salaries. You pay taxes on every hard dollar earned, but they spend their untaxed earnings to buy more.
00:42This allows a billionaire to own a city block without paying a single cent in income tax.
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