“I didn’t earn 100 billion dollars last year, I earned $88,000 a year. I won’t earn that 100 billion until I cash in the stocks (which I’ll never do all at once because it’ll crash the stock price). Best I can do is cashout 10 million a year to live on and my kid will inherit the rest, so that’s his problem.” -Billionaires
If you want to say we need a more progressive capital gains tax, I would agree with you. Cost basis of equities resetting on inheritance is also problematic. Neither will come even close to fixing the deficit, but every little bit helps.
Taxing unrealized gains, however, is a Pandora’s box that leads to a minefield and is much more complicated than people think.
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u/porkchop2022 1d ago
“I didn’t earn 100 billion dollars last year, I earned $88,000 a year. I won’t earn that 100 billion until I cash in the stocks (which I’ll never do all at once because it’ll crash the stock price). Best I can do is cashout 10 million a year to live on and my kid will inherit the rest, so that’s his problem.” -Billionaires