American rich people donate billions at a time, which makes people sigh that foreigners are really rich and kind! But is this just for charity? I'm afraid it's not that simple. In the United States, the proportion of inheritance tax is as high as 50%, and it should be taxed whether it is given before death or inherited after death. Therefore, avoiding high estate tax may be another deep purpose behind charity. The rich set up a charitable trust fund, which was managed by their children, and then donated the money to this foundation. The IRS stipulates that as long as charitable donations are not taxed, only 5% of charitable donations are used every year, and the remaining 95% can be used for investment. Investment profits are not taxed, and there is no need to publish specific operational details. In this way, the snowball of charitable donations will get bigger and bigger. Their children can also benefit for life. Charitable donations not only get a good reputation, but also prevent half of their hard-earned money from being taken away by the government.