[beethovenfan]

And the Dems will say “Tax breaks for the rich! Tax breaks for the rich!”
Just wait.

[arthurus]

Cap gains is a percentage. Raising it for inflation is raising it double as the price of the equity tends to rise with inflation, too. This is too sneaky to come from Ted Cruz. Who has he been seeing?

[Chauncey Gardiner]

Better yet, eliminate cap gains

[DoodleDawg]

According to the nonpartisan Tax Foundation, pegging the capital gains tax to inflation would add approximately $22 billion to the U.S. economy over the long run, boost after-tax incomes by 0.2 percent on average, and create an additional 21,800 full-time equivalent jobs.

Over the long run? How long? 10 years? Then this isn't growth, it's a rounding error. So who will this really be benefitting?

[econjack]

... it would unleash investment by incentivizing more Americans to buy stock in companies.

Well...maybe...maybe not. The economist's definition of investment is (capital) expenditures that increase the productive capacity of the economic system. Investing in stocks and bonds does not do that. In most cases, it's merely an exchange of paper assets. The only time such transactions are investments is when it's an IPO or issue earmarked for the purchase of capital assets.

[Paladin2]

"All taxpayers appreciate Senator Cruz’s leadership in the fight to stop the government from taxing inflation."

HEAR!, HEAR!!!

[null and void]

As long as we’re on the right hand side of the Laffer curve, I’m all for every possible tax cut!

[jmclemore]

Taxing inflation is wrong and unfair," Grover Norquist

I agree and add, Taxing an increase in the cost of living is worse.

We all have spent long periods of time stuck at the same salary or hourly wage. Our income taxes do not reflect an increase in the cost of living.

If the income tax stays flat - the cost of living will erode your lifestyle.

If the income tax increases - it creates an extra lay of erosion.

By the time we get a tax cut - it looks good on paper, feels good to see a little more than last week , but is already gone, due to the ever increasing cost of living.

[Ohioan]

See this relevant footnote:

"Capital Gains Taxes"

[Pining_4_TX]

Not really on topic, but I want to know when they will index property taxes to inflation? They are outrageous!