A bad idea who's time is probably coming

[Northwoods]

https://www.wsj.com/articles/top-democrat-proposes-annual-tax-on-unrealized-capital-gains-11554217383

Sorry for the WSJ link, but I was able to read it without subscription.  

Anyway, Oregon Senator Wyden is proposing taxing un-realized capital gains, not at current capital gains rates but at ordinary income tax rates.

What can possibly go wrong?

[Hawkmoon]

Does that mean we would also get to deduct unrealized capital losses?

[Ron]

I seem to recall that originally capital gains were one of the few things that were supposed to be taxed while labor wasn’t even on the radar as taxable.

This was early USA pre Marxism.

[brimic]

Does that mean we would also get to deduct unrealized capital losses?

...or even get rid of the stupid ‘wash sale’ rule?
If you buy a stock and it immediately starts to tumble, why shouldn’t you get a deduction for the loss if you sell, and buy it back at a lower price?

[Ben]

Does that mean we would also get to deduct unrealized capital losses?

I would almost be in favor (yes, I'm kidding) of them pushing the legislation if it absolutely stipulated that. If it didn't give the socialists heart attacks immediately, it would a few years after the bill passed and they found out that the IRS was getting less money. 

[MechAg94]

I am having a hard time imagining how one would keep up with all the ups and downs of stock values and values of other forms of capital.  I wonder what sort of auditing process would work for that.  How would you get agreement on what the top and bottom value was for a particular time period?

[RocketMan]

I'm sure that idiot Wyden has written in exemptions for current and former members of both houses of the legislature.

[grampster]

I am having a hard time imagining how one would keep up with all the ups and downs of stock values and values of other forms of capital.  I wonder what sort of auditing process would work for that.  How would you get agreement on what the top and bottom value was for a particular time period?

Oh, that's simple.  The IRS just figures out an average and the entire population who files an income tax has to pay a tax on the IRS figured average.

[HankB]

If they tax unrealized gains on stocks, then they can/will tax unrealized gains on real and personal property as well.

End game?

Government explicitly owns everything.

[Perd Hapley]

It seems the titular question goes unanswered. Who is time is probably coming?

[HankB]

It seems the titular question goes unanswered. Who is time is probably coming?

They'll be coming to get grammarians who obsess about proper use of contractions first . . .

[230RN]

...

[Ben]

They'll be coming to get grammarians who obsess about proper use of contractions first . . .

 

[Angel Eyes]

[Perd Hapley]

I apologize for my illiteracy-shaming. Eye was wrong. I sea that know.

[Jamisjockey]

Local municipalities already do this.  It’s called propert taxes.
Buy a home for $100,000.  Property value goes up.  You’re now being taxed on unrealized capital gains.

[Pb]

Local municipalities already do this.  It’s called propert taxes.
Buy a home for $100,000.  Property value goes up.  You’re now being taxed on unrealized capital gains.

Good point!

[Ron]

Property rights in the USA are in large part illusionary.

There isn’t much of value that you can hold or sell where you don’t have to “voluntarily share” a portion of the value with the state.

We are simply stewards of the Kings the States property who have no natural born right to own anything free and clear or sell without paying tribute.

[MechAg94]

Property rights in the USA are in large part illusionary.

There isn’t much of value that you can hold or sell where you don’t have to “voluntarily share” a portion of the value with the state.

We are simply stewards of the Kings the States property who have no natural born right to own anything free and clear or sell without paying tribute.

It is just one of many ways that modern BigGov has taken advantage.  You could almost say the same about income taxes.  Too few voters pay attention to who they are electing at all levels of government and don't recognize the consequences of what is happening.

[Ron]

I used to take solace in that our chains rested lightly upon us.

Now I realize that is illusionary also, I’ve never known anything else so the chains feel natural. Plus, everyone wears them so I comfortably fit in with all the rest of the herd.