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
Unrealized gains taxes is an extractive and totalitarian tax. Someone is always risking 100% loss until they realize those gains. It's an affront to entrepreneurial risk-taking and it's capricious. It would be just as ridiculous to allow someone to write-off unrealized losses.

>>chrisc+fX
If it goes through I bet you are going to have all sorts of people trying to claim unrealized losses for a tax break, that is gonna be a fun time for the courts.

>>ssalka+Xb2
The way realized gains work is that if you sell at a loss, you don't get a tax deduction, but you can claim a loss against future gains in the next three years (if you ever have any). I'd imagine it would work the same: if you had $1000 worth of stock in January that went down to $750 in December, you'd have a $250 carry-forward "credit" for the next year, so if the stock went up to $1250 you could sell it with no tax implication. That's more or less how it works now, it just makes for some complicated tax forms, but aren't really a problem for the courts.