Billionaire Jeff Bezos, who recently moved to Miami, will sell more than 50 million Amazon shares over the next year, potentially saving him more than $600 million in taxes.
Bezos, the world’s second-richest man, according to the Bloomberg Billionaire Index, last year ditched his longtime digs in Seattle for a glittering estate on the ultra-luxury island of Indian Creek, also known as the “Billionaire Bunker.” I got it.
Besides the nice weather, proximity to her parents, and access to rocket launches from space company Blue Origin, the move had another big perk. That meant no state income tax or capital gains tax.
Last week, Bezos sold 12 million Amazon shares worth about $2 billion, saving him about $140 million in capital gains taxes he would have paid to the state of Washington. CNBC report.
Washington state imposed a tax on sales of stocks and bonds over $250,000 in 2022.
The 60-year-old plans to sell 50 million shares of the e-commerce giant’s stock by January 31, 2025, according to a filing with the Securities and Exchange Commission.
CNBC calculates that the total stock sale would save Bezos at least $610 million, at current prices, at more than $8.7 billion.
This nine-digit total assumes Amazon’s stock price remains unchanged.
The stock price has risen more than 15% this year. If stock prices continue to rise, the value of Mr. Bezos’ stock will likely increase along with the tax savings.
By 2025, Bezos’ tax savings alone will cover the cost of the Col. The $500 million superyacht he bought last year features a helicopter landing pad and a pool spread over three decks.
Ever since Bezos announced his move to Miami, onlookers have debated whether he was trying to avoid paying high taxes.
The Sunshine State’s property tax rate is 0.89%, which is lower than Washington state’s property tax rate of 0.98%. rocket mortgagewho has lived in a house less than 10 miles from Amazon’s Seattle headquarters for the past 30 years.
And in Washington, wealthy residents with assets of $2,193,000 or more are also liable to pay estate taxes of 10% to 20% upon death.
If Bezos were to keep Seattle as his primary residence and maintain his current net worth of $200 billion, he would have to pay $40 billion in inheritance taxes after his death.
On the other hand, Florida does not impose inheritance taxes on residents regardless of the size of their assets, nor does it tax capital gains.
Bezos bought a seven-bedroom, 14-bathroom home in Miami in October for $79 million. Two months later, he bought the three-bedroom, three-bathroom house next door for $68 million.
After snapping up two of just 40 waterfront properties reported to be on the ultra-luxury island of Indian Creek, Bezos bulldozed the $68 million property and sold an adjacent eight-figure property. is reportedly planning to build a single mega-mansion along with an enclave of
It wasn’t immediately clear whether he plans to demolish his $79 million, 19,064-square-foot home, but he will certainly pay less in property taxes than his previous main residence in Seattle. A similar demolition project followed the construction of a 5.3-acre property in Washington state’s affluent Medina neighborhood.
It is also unclear whether Mr. Bezos will sell his vast Washington estate. The estate combined two lots worth a combined $60 million to create a 25,000-square-foot Tudor-style mansion. The mansion is reportedly Bezos’ second home that will function fully as an indoor office. Outdoor pool and waterfront access to Lake Washington.
