Biden proposes tax on unrealized gains

[George K]

@Mik said in Biden proposes tax on unrealized gains:

https://www.msn.com/en-us/news/politics/biden-proposes-twenty-five-percent-tax-on-unrealized-gains/ar-AA1o6Hi9?ocid=msedgdhp&pc=U531&cvid=75848da816294cab8e4bf8772723c3d4&ei=22

President Biden has emphasized that individuals earning less than $400,000 annually would not face tax hikes, ensuring that the new tax plan creates a more equitable balance between high-earning individuals from ordinary income and those from investment income.

But the Bush Trump tax hike comes this year as well. That'll affect just about everyone, won't it?

It's nice to see the President raising taxes so that those who earn $350K a year will have their student loans forgiven (at a cost of almost a trillion dollars) as well as continuing to fund higher education institutions like Harvard, Columbia.

Equity.

[Doctor Phibes]

this tax would only affect individual taxpayers with over $100 million in net assets

I honestly couldn't give less of a fuck about this even if you paid me $90 million dollars to give a fuck.

[Mik]

You’d still be 20 million short of being affected.

[Doctor Phibes]

@Mik said in Biden proposes tax on unrealized gains:

You’d still be 20 million short of being affected.

To be honest, if you gave me another 20 million I really wouldn't mind the extra tax either. I would probably give a fuck more by an amount so small as to almost be negligible. I certainly wouldn't be walking up and down in the street with a sandwich board saying 'FUCK JOE BIDEN' on it.

[Axtremus]

@Mik said in Biden proposes tax on unrealized gains:

https://www.msn.com/en-us/news/politics/biden-proposes-twenty-five-percent-tax-on-unrealized-gains/ar-AA1o6Hi9?ocid=msedgdhp&pc=U531&cvid=75848da816294cab8e4bf8772723c3d4&ei=22

On March 11, the Biden Administration presented its comprehensive budget plan, aiming to boost revenues and reduce spending by $4.3 trillion over the next decade.

1. It’s based on proposal made public since March 11, and the author is has just come around to react to it now?

2. Wow, it will reduce spending by $4.3 trillion!!! Don’t you just love reducing spending?

So how about unrealized losses? It's only fair.

Easy enough to handle, just sum up all the gains and losses and assess tax based on net gain or net loss.

[Mik]

But the problem is that if your stock goes up you’d have to sell off stock to get the money to pay the taxes, assuming like most people you don’t have huge cash reserves. That assures declining stock prices around April 15. It will be counter productive.

[taiwan_girl]

@Doctor-Phibes said in Biden proposes tax on unrealized gains:

this tax would only affect individual taxpayers with over $100 million in net assets

This is about 10,000 people in the US.

10000/330,000,000 * 100 = 0.002% of the population. I am with @Doctor-Phibes on this one.

[LuFins Dad]

@taiwan_girl said in Biden proposes tax on unrealized gains:

@Doctor-Phibes said in Biden proposes tax on unrealized gains:

this tax would only affect individual taxpayers with over $100 million in net assets

This is about 10,000 people in the US.

10000/330,000,000 * 100 = 0.002% of the population. I am with @Doctor-Phibes on this one.

So it’s okay since it doesn’t affect you? That always works so well.

[taiwan_girl]

@LuFins-Dad said in Biden proposes tax on unrealized gains:

@taiwan_girl said in Biden proposes tax on unrealized gains:

@Doctor-Phibes said in Biden proposes tax on unrealized gains:

this tax would only affect individual taxpayers with over $100 million in net assets

This is about 10,000 people in the US.

10000/330,000,000 * 100 = 0.002% of the population. I am with @Doctor-Phibes on this one.

So it’s okay since it doesn’t affect you? That always works so well.

But the converse is trying to make laws such that every 0.002% segment of the population is happy doesn't work either.

[LuFins Dad]

@taiwan_girl said in Biden proposes tax on unrealized gains:

@LuFins-Dad said in Biden proposes tax on unrealized gains:

@taiwan_girl said in Biden proposes tax on unrealized gains:

@Doctor-Phibes said in Biden proposes tax on unrealized gains:

this tax would only affect individual taxpayers with over $100 million in net assets

This is about 10,000 people in the US.

10000/330,000,000 * 100 = 0.002% of the population. I am with @Doctor-Phibes on this one.

So it’s okay since it doesn’t affect you? That always works so well.

But the converse is trying to make laws such that every 0.002% segment of the population is happy doesn't work either.
It’s not about making people happy or unhappy. It’s about equality under the law. Taxing unrealized gains on some people and not on others? That’s immoral, unjust, and definitely unequal treatment under the law.

[taiwan_girl]

@LuFins-Dad I understand what you are saying, but in the US, tax laws are rarely (maybe never) the same for everybody.

Make USD $10K/year - pay X% in taxes.
Make USD $100K/year - X+% in taxes.

Own a home and have a mortgage - get a tax break on mortgage interest
Dont own a home or already pay off your home - no tax break

etc.

In a perfect world, everybody would be subject to the same tax rules. But it doesn't happen.

[Mik]

@LuFins-Dad said in Biden proposes tax on unrealized gains:

@taiwan_girl said in Biden proposes tax on unrealized gains:

@LuFins-Dad said in Biden proposes tax on unrealized gains:

@taiwan_girl said in Biden proposes tax on unrealized gains:

@Doctor-Phibes said in Biden proposes tax on unrealized gains:

this tax would only affect individual taxpayers with over $100 million in net assets

This is about 10,000 people in the US.

10000/330,000,000 * 100 = 0.002% of the population. I am with @Doctor-Phibes on this one.

So it’s okay since it doesn’t affect you? That always works so well.

But the converse is trying to make laws such that every 0.002% segment of the population is happy doesn't work either.
It’s not about making people happy or unhappy. It’s about equality under the law. Taxing unrealized gains on some people and not on others? That’s immoral, unjust, and definitely unequal treatment under the law.

Exactly.

[Mik]

@taiwan_girl said in Biden proposes tax on unrealized gains:

@LuFins-Dad I understand what you are saying, but in the US, tax laws are rarely (maybe never) the same for everybody.

Make USD $10K/year - pay X% in taxes.
Make USD $100K/year - X+% in taxes.

Own a home and have a mortgage - get a tax break on mortgage interest
Dont own a home or already pay off your home - no tax break

etc.

In a perfect world, everybody would be subject to the same tax rules. But it doesn't happen.

Everyone is subject to taxes on income. Unrealized gains are not income until you sell the asset.

[Jolly]

Either flat tax or a VAT and call it a day.

[George K]

@Jolly said in Biden proposes tax on unrealized gains:

Either flat tax or a VAT and call it a day.

[Doctor Phibes]

@LuFins-Dad said in Biden proposes tax on unrealized gains:

That’s immoral, unjust, and definitely unequal treatment under the law.

If we're going to start basing everything on morality, people making 100's of millions whilst others struggle to make ends meet can be considered immoral and unjust too, depending of course on your own particular world-view. As far as the rich getting unequal treatment under the law? Yes, that's almost certainly true. Generally they do much better.

It's an imperfect world. Very rich people giving me their money would make it slightly less imperfect.

[Jolly]

Don't equate morality and wealth. It doesn't work. Not for individuals or for society.

[Doctor Phibes]

@Jolly said in Biden proposes tax on unrealized gains:

Don't equate morality and wealth. It doesn't work. Not for individuals or for society.

It doesn't work for taxation either. That was my admittedly rather snarky point.

As far as taxing the rich more being unjust. Says who?

[Jolly]

@Doctor-Phibes said in Biden proposes tax on unrealized gains:

@Jolly said in Biden proposes tax on unrealized gains:

Don't equate morality and wealth. It doesn't work. Not for individuals or for society.

It doesn't work for taxation either. That was my admittedly rather snarky point.

As far as taxing the rich more being unjust. Says who?

I do. Progressive tax systems are inherently immoral.

[Doctor Phibes]

@Jolly said in Biden proposes tax on unrealized gains:

I do. Progressive tax systems are inherently immoral.

So, I can't equate morality and wealth, but you can equate, albeit indirectly?

I believe that a flat tax rate would be immoral. The less money you make, the higher proportion of your total earnings you are required to spend on essentials such as food and shelter. So taking the same amount from somebody who has little or none to spare is not 'fair' or 'equitable' or 'moral'.