Democrats' emerging tax idea:
Look beyond income, target wealth
Wall Street Journal,
by
Richard Rubin
Original Article
Posted By: NorthernDog,
8/27/2019 1:41:15 PM
The income tax is the Swiss Army Knife of the U.S. tax system, an all-purpose policy tool for raising revenue, rewarding and punishing activities and redistributing money between rich and poor. (Snip) Democrats are eager to tap that mountain of wealth to finance priorities such as expanding health-insurance coverage, combating climate change and aiding low-income households. Their ideas range from new rules on inherited assets, to a plan by Sen. Ron Wyden for annual taxes on unrealized gains, to a proposal from Sen. Elizabeth Warren’s to tax wealth itself. These come atop more conventional proposals to raise income taxes and
Still lusting after everyone's 401k, I see...
6 people like this.
Reply 2 - Posted by:
bamboozle 8/27/2019 1:49:15 PM (No. 163819)
A Communist takeover in slow motion...remember, boil the frog slowly.
9 people like this.
Reply 3 - Posted by:
Ida Lou Pino 8/27/2019 1:53:35 PM (No. 163822)
Nothing original here.
The demonrats stole this idea from Pol Pot.
7 people like this.
Reply 4 - Posted by:
VAPMAN 8/27/2019 2:07:00 PM (No. 163833)
From my cold dead hands. Take the assets people have worked and saved for all their lives and you just may start a revolution you could have never imagined.
9 people like this.
Reply 5 - Posted by:
chance_232 8/27/2019 2:09:42 PM (No. 163837)
To make it palatable, they will exempt the first X amount. That X amount being the average wealth of your average congress critter.
2 people like this.
Reply 6 - Posted by:
Proud Texan 8/27/2019 2:12:29 PM (No. 163843)
What an original idea! Property taxes!
1 person likes this.
Reply 7 - Posted by:
LC Chihuahua 8/27/2019 2:16:13 PM (No. 163845)
They want everything. How is government different from a gang of thieves?
7 people like this.
And if they got this, every bit of what they want, guess what? It STILL wouldn't be enough. They would quickly spend every penny and more, and they would have to come up with another bright idea to get more out of us.
7 people like this.
Reply 9 - Posted by:
Kazaland 8/27/2019 2:29:46 PM (No. 163858)
"annual taxes on unrealized gains". So, if I sell at a loss, do I get my money back?
4 people like this.
Reply 10 - Posted by:
ARKfamily 8/27/2019 2:30:33 PM (No. 163859)
Faithless and greedy.
1 person likes this.
Reply 11 - Posted by:
Plex 8/27/2019 2:38:29 PM (No. 163864)
The 16th amendment only allows taxes on income. It is profoundly disturbing that candidates for public office don't wish to follow the Constitution... or don't know what is in it.
7 people like this.
Reply 12 - Posted by:
Gnana1 8/27/2019 2:40:46 PM (No. 163865)
This is not a new tactic. Nancy Pelosi even proposed a House bill in the BHO years to tax all the 401ks, savings, and other "wealth" accumulations as well as the usual tax burdens we carry.
Going after your private retirement and any amount you have managed to accrue is the work of the evil socialist party of the USA, aka: the democratic party et al.
4 people like this.
Reply 13 - Posted by:
davew 8/27/2019 2:52:57 PM (No. 163874)
All these proposals are targeted at the ultimate enemy of totalitarian dictatorships, private property. "From each according to his ability, to each according to his needs". The lines for the next election couldn't be clearer.
2 people like this.
Reply 14 - Posted by:
Clinger 8/27/2019 2:55:07 PM (No. 163876)
The federal government already taxes beyond the maximization point. By cutting taxes they got record tax collections. But low and behold our debt continued to rise and the democrats blame it on tax cuts.
The democrats and much of the GOP only have one answer, raise taxes. When higher taxes result in less revenue they will respond by raising taxes again. They can't admit that they cannot continue to get elected by taking more from the "makers" and handing it to the "takers." They can get elected by promising to do so but reality has a funny way of interceding. When attempts do do so result in the inevitable lower collections, the answer is to blame the "makers."
The federal government is the biggest and best armed mob in history. Our government has become what we rebelled against and our forefathers warned us about. Is it any wonder they want us disarmed?
5 people like this.
Reply 15 - Posted by:
caljeepgirl 8/27/2019 3:02:12 PM (No. 163884)
Well, that didn't do my blood pressure any good!
3 people like this.
Reply 16 - Posted by:
Mass Minority 8/27/2019 4:45:30 PM (No. 163996)
All of these pundits desperately searching for a way to siphon off more of our money ignore a fundamental economic theory, one I ve often seen described as the inverse laffer curve. This theory doesn't even involve individuals, or the myriad inczlculable number of decidions made in any given tax scheme situation. It simply looks at the economy as a whole.
The first point of this inverse laffer curve is that government will ALWAYS try to maximize its share of the nations GDP. Always.
Secondly it invokes the laffer curve which declares that above a certain point increased taxation will adecrease economic output and in effect decrease tax revenues.
The outcome is that if you add up all of the taxes, fees, licensing costs, etc paid to government and compare it to the total economic output of the nation there will come a point after which any additional tax, fee or cost to individuals or business' will have a negative impact on the economy and end up providing negative returns, ie the economy will shrink to offset the increased tax burden.
Because of point one above, in a system that has had over a century to equilabrate, at any given moment in history the government is balancing at or very near that "optimal" point where tax revenue is absolutely maxed out and any increase will begin to have negative effects on the economy. In this state (which most first world economies already operate) the only way to generate mor tax money is to increase the size of the economy.
In other words, without economic growth there is NO MORE MONEY to get. No creative economic magic is going to shake any more money out of the economy. Toying with tax policy, adding a point here, shaving a fee there, will do absolutely nothing to increase tax revenue. Its just rearranging the deck chairs on the Titanic. Every increased tax on one part of the economic pie will cause an equal or worse decrease in another part of the economic pie resulting in no net gain in tax revenue.
This is why socialiust countries economies are always stagnant. They operate on the wrong side of the inverse laffer curve where most jerking around of the tax system results in stagnated economic growth and ever decreasing tax revenues.
3 people like this.
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Dems are licking their chops to get their hands on investments, property, and other assets.