Jeff Bezos and Lauren Sanchez were seen walking through the Paddock before the final practice before the F1 Grand Prix of Miami at Miami International Autodrome on May 06, 2023 in Miami, Florida. The billionaire recently sold $2 billion in stocks and chose to do so from his new home in Miami, which is convenient since Florida does not have a state income tax or a tax on capital gains. This means that Bezos saved $140 million in taxes on his recent $2 billion sale, and is expected to save at least $610 million on the sale of 50 million shares over the next year if Amazon shares remain flat, with his tax savings increasing if shares continue to rise.
In 2022, Washington state imposed a 7% capital gains tax on stock and bond sales of more than $250,000, marking the first time Bezos would have to face state taxes on his stock sales. This prompted Bezos to stop selling shares at that time, choosing to wait until he moved to Florida to resume selling again. Bezos’ timing is key, since he scheduled a plan to sell 50 million shares before Jan. 31, 2025, which is expected to total over $8.7 billion at current prices. The move to Miami won’t just increase Bezos’ luck when it comes to tax savings – he has also purchased two mansions in Indian Creek and is reported to be looking at three other properties on the island, planning to tear down and build a new estate at the total cost of $200 million.
Bezos is no stranger to selling Amazon shares, having sold billions of dollars worth almost every year for more than two decades to fund his space company, Blue Origin, among other expenses. Since moving to Miami, Bezos has finally been able to take advantage of the state’s tax laws to further capitalize on his stock sales and grow his luxury real estate collection in the area.
