A top senator wants to tax the cash piles the wealthy are sitting on - and Biden agrees with him

Business Insider via MSN ^ | Sept. 2, 2021 | Ayelet Sheffey, Juliana Kaplan

[libstripper]

Senate Finance Chair Ron Wyden wants to tax billionaires' unrealized wealth gains annually.

Biden said he supports the proposal as a potential method to fund Democrats' social-spending bill.

"I come from the corporate state of America," Biden said. "I just think it's about just paying your fair share, for Lord's sake."

House Democrats have proposed a whole host of options to pay for their $3.5 trillion social-spending bill which includes measures like universal pre-K, tuition-free community college, and paid leave for workers.

One of those options, proposed by Senate Finance Chair Ron Wyden, is a change to the way the government taxes earnings on assets like stocks and bonds. It would mainly affect the wealthy, because their wealth usually derives from investments more than salaries. The gains on those assets - which are called capital gains - are taxed at a far loewer rate than income brought in through wages. The top marginal tax rate on income is 37%; capital gains for the wealthiest Americans are taxed just up to 20%.

[Pontiac]

Middle class, say goodbye to your hard earned retirement accounts, which are mostly made of appreciated assets.

Most of the appreciation in these assets can be attributed to inflation.

Inflation caused by unrestrained spending by the Federal Government.

The 17th amendment states:

The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration.

There is no income on the appreciation of a stock until it is sold.

[CatOwner]

So, they’re going to eliminate capital gains tax rates and go straight to ordinary income tax rates.

[Ann Archy]

Pretty sure JOKE owes $500 000.00 in UNPAID TAXES.
TYPICAL DEMOCRAT...CHEATER!

[tet68]

Juvenile indeed!
This is what I call the $chrooge McDuck syndrome.
As though they slept on piles of green backs.
It’s kind of like when you have a degree in economics but work as a bartender.

[precisionshootist]

Go get um tiger! Tax those billionaires to poverty. They didn’t build it and nobody needs more than 10 mil ever. It’s what they wanted right?

[logi_cal869]

Biden comes from “WHERE”???

[DoughtyOne]

Smile...

Thanks for the note of agreement, and I agree with your
thoughts also.

[libh8er]

I love this . They all vote Democrat ..from Wall Street to Hollywood to Big Tech. I hope they are made to pay 5% of their wealth in taxes every year on top of all the other taxes they pay.

[libstripper]

You’re missing the point. The reported tax is on unrealized capital gains, which also exist in IRAs and 401(k)s. Also lots of people fund their retirements through ordinary investment accounts that, when well managed, accumulate large amounts of unrealized capital gains.

[laconic]

Senile and the “doctor” need to pay their own back taxes, some $ 600,000 that we know of, before yelling about the need for others to pay higher taxes. And this doesn’t include the bribes his corrupt son paid to him which were 10 percent of the dirty money. The more I see of the representatives of Oregon, California and Washington, the more glad I would be if the coastal regions of those leftist preserves left the nation and took NY City with them.

[Pearls Before Swine]

If you mark to market, you have to allow paper losses to be deducted as well as taxing paper profits.

That’s still a bad deal for investors on average, but no one has remarked on the other side of the mark to market issue.

[jughandle]

I was afraid of that..

[SkyDancer]

The wealthy(?) don’t sit on mattresses filled with cash, they’re all in investments.

[Thank You Rush]

“I come from the corporate state of America,” Biden said.”

CORPORATE state of America? That’s a new one. The man has never done an honest day’s work in his life and certainly never had to meet a “Corporate” payroll....

[E. Pluribus Unum]

Just put an expiration date on all money.

If you don’t spend it by a date certain it expires and reverts to the government.

Don’t laugh.

It’s coming.

[lastchance]

But the planet will dieeeeeeeee if we don’t sacrifice our future wealth!!!!!!

[God luvs America]

“I come from the corporate state of America,”

As well as a state where credit card and other financial companies fled to in order to flee from paying taxes: Why Delaware Is Considered a Tax Shelter

https://www.investopedia.com/articles/personal-finance/092515/4-reasons-why-delaware-considered-tax-shelter.asp

[MRadtke]

And if your investment has an unrealized loss, does the government reimburse you?

[fhayek]

Politicians produce nothing but hot air. (with the possible exception of total chaos, mayhem, infanticide, racial strife, disharmony between employer and employee, debt and taxation of Biblical proportions, endless warfare, useless meddling in day to day affairs, and bureaucratic red tape that would choke Cerberus). But they know all about how to spend your money.

[Reno89519]

Why not just seize half the assets over a billion dollars of billionaires? That seems to be in line with what they want—let’s see how Soros, Gates, etc. like that.