zlacker

>>southe+(OP)
I wonder if this is coming up just before the election because of the Harris campaign’s suggested policy of capital gains tax on unrealised gains for people who have over $100m in assets? I think this is a great idea personally given what these people are doing to avoid paying tax including taking out loans against their own share portfolios. Worth thinking about what people are willing to do to not pay billions of dollars worth of taxes.

>>andy_p+ex
I feel an exchange tax that included loans would probably be a much better approach. Taxing seated/parked assets, especially on the very wealthy seems like a recipe for disaster. So you have to sell, or leverage the property to pay taxes. What would trying to sell billions in stock at once, or leverage hundreds of thousands of rental properties look like to the larger economy, and what would the effect be? Also, who is going to be able to even buy the stuff, if everyone with enough money/credit is scrambling to make huge tax layouts. Will you be able to deduct the interest on loans taken out to pay these taxes?

It's not like the money is just sitting, liquid in a vault like Scrooge McDuck.

>>tracke+PP
I love your consideration for the financial problems of some of the most privileged people in all of human history. I just don’t really care that much if they get a big tax bill (I’m sure they’ll find a way to pay) and for a variety of reasons it will be good for society.

>>andy_p+XT
A large part of the United States' economic leadership is specifically concentrated in the tech startup sector.

Whether or not you think any of the companies funded by YCombinator[0] are actually worth their valuation, you have to realize that there will be fewer such startups if a tax on unrealized capital gains is passed, and that VC activity, along with the future startups chasing their money, absolutely will move to countries without such a tax.

Again, maybe you actually believe the startup scene in the US is worthless, in which case, go ahead and advocate for an unrealized gains tax Just be honest with yourself that it will entirely shut down sectors that others view as critical to the country's future dominance.

[0] https://www.ycombinator.com/companies