Posted on 01/28/2019 5:08:43 PM PST by Sub-Driver
A Better Way to Tax the Rich
Raise the capital gains tax and treat investment earnings like ordinary income. Steven Rattner
By Steven Rattner
Mr. Rattner served as counselor to the Treasury secretary in the Obama administration.
Jan. 28, 2019
Kudos to our latest political supernova, Alexandria Ocasio-Cortez, for helpfully bringing taxes back into focus, with her call for a new top tax rate of 70 percent on incomes above $10 million a year.
That seemingly simple concept makes for a great headline, but it’s not great tax policy. While I’m all for raising taxes on the wealthy (in large part because we need to deal with our growing deficit), there are more sensible ways to do it.
For starters, Ms. Ocasio-Cortez seems to be ignoring the burden of state and local taxes, particularly for residents of places like her hometown. For us New Yorkers, the top rate for those levies is 12.7 percent. And thanks to the 2017 Republican tax cut, it is no longer deductible, bringing her proposed top rate to 82.7 percent.
There are other, better ways to raise revenue — in particular, by increasing the tax rate on capital gains and dividends and closing loopholes.
At present, a beneficiary of long-term capital gains or dividends pays 23.8 percent of the profit to Washington. That’s already a good bit less than the 37 percent top rate on so-called ordinary income.
Among the justifications for taxing profits on capital at a lower rate than income from work has historically been that companies pay taxes on their profits, so taxing shareholders on their gains represents a form of double taxation.
(Excerpt) Read more at nytimes.com ...
Stalin did it, and so what?
George Soros hit hardest. lol
100% of all retirement earnings come from capital gains.
You know, reducing spending on welfare and immigrants and everyone else who wants something fornothing, never gets mentioned.
These people are perfectly fine with government being peoples ATMs, husbanks, providers, etc. There is not one single social program they would ever eliminate, much less even do a significant cut in spending for.
Plank #2 of the Communist Manifesto: A heavy progressive or graduated income tax.
http://laissez-fairerepublic.com/tenplanks.html
“Among the justifications for taxing profits on capital at a lower rate than income from work has historically been that companies pay taxes on their profits, so taxing shareholders on their gains represents a form of double taxation.”
That is true but since when do liberals care how many times income is taxed? This is policy born out of emotion.
“Tax my boss! He gets all his money from my wotk!”
“OK!”
“Hey, he’s taking more money from me!”
“Well, yeah: that’s where he get’s all his money...”
Socialists.
Is there anything stupider than someone wanting more money for their work asking the government to take more money from people who work?
“Tax my boss! He gets all his money from my wotk!”
“OK!”
“Hey, he’s taking more money from me!”
“Well, yeah: that’s where he get’s all his money...”
Socialists.
Is there anything stupider than someone wanting more money for their work asking the government to take more money from people who work?
I’m waiting for a wealth tax. 50% on all of your life savings, after all its “for the children”
Served under Obama...all I need to know.
So much stupid in one article.
Tax the Wealth of known ‘Rats/Democratic Socialists/DomesticCommies/FellowTravelers at 10% a year, for The Children...
While I’m all for raising taxes on the wealthy (in large part because we need to deal with our growing deficit), there are more sensible ways to do it.
The best way is the Demagogic Party way -- ignore the deficit. What a lying dirtbag.
They all act as if the democrat socialist spenders have no culpability or responsibility for the deficit or debt.
Obama shot it sky high in 8 years 8 trilion to 16-17 trilion. No one puts ay blame on him or the dems who spent us into this mess.
Real Estate Taxes are, in practice, a Wealth Tax.
Shirley, you can't be serious.
AOC must know what she is doing, weighing all the economic and financial impacts, as she is an Economic Scholar, having majored in it at the prestigious Boston University. With a minor in Roof Dancing.
That will lower stock markets.
“...100% of all retirement earnings come from capital gains...”
-
That is simply not true.
Tax the poor at the same rate. Spread that white privilege out there!
I think there is Interest and Annual Dividend Income in the mix...
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