Kwamei: Buying a car with cash is the stupidest. Rich people use cars to get tax deductions and avoid taxes by buying cars & aircraft & rooms

Jordan owns two private jets

Recently, Kwame Brown talked about some operations about taxation in his podcast channel "Kwame Brown's Parallel Life".

"I thought buying a car directly with cash was the best way until someone told me the truth. I remember walking into the store with $88,000 in cash and trying to buy a truck right away. A white man laughed at me and thought that he might not have money as much as me. However, some people around me later told me that buying a car directly with cash was the stupidest way. Later someone gave me some useful advice, saying that if you put your brand logo on the car, it could be considered an advertisement and you could enjoy different tax treatments. I also learned that it is possible to buy a vehicle through a business and use it as a commercial expense. Tax deduction, or treat it as agricultural equipment to deduct tax. Many people suffer losses because they don’t understand these methods. For example, I bought a 2015 Denali with $88,000 in cash in 2014. Later, I bought a Mercedes-Benz with a credit card, and although I got a lot of points, it was still not the best way to buy a car. Real rich people avoid taxes by buying assets in businesses. They don’t pay huge taxes directly, but reduce tax payable by buying aircraft or real estate. In contrast, we black people are often afraid of tax issues, which leads to the restriction of our wealth accumulation,” Kwamei said.