SpaceX president Gwynne Shotwell has pledged to give SpaceX stock to more than two million American children through Trump Accounts, with an estimated value of approximately $330 million. New Treasury rules, effective September 30, now allow wealthy donors to contribute publicly traded stock directly to these tax-advantaged investment accounts for children, with roughly 60 million accounts opened as of October 1. This method offers a major tax advantage: by first transferring shares to a charitable foundation, billionaires can deduct the full market value of their stock from their adjusted gross income without having to sell the shares and thus without paying capital gains taxes. The children targeted, aged 11 to 17 in lower-income areas, must hold these shares for five years, exposing them to risk of portfolio concentration in a single company.
Source: Read the original article
