Here's a great idea from a brainiac in NYC.

[NTOP]

Other areas are looking at different methods of increasing revenue, such as wealth taxes. A New York state senator from Queens said in May that “the only people who actually have money right now are billionaires,” and introduced a bill that would treat capital gains as income and would tax unrealized capital gains.

That money would not be used for existing programs, however. The funds raised by the increased taxes on billionaires would go to a new “worker bailout fund” that would provide monthly payments of $3,300 for people who do not qualify for unemployment benefits or CARES Act payments.

 

[SomewhereInTheMiddle]

That would be a brilliant strategy taxing unrealized gains, but don’t worry you wouldn’t have any for very long if they do. Think about this, if you tax unrealized gains like you do interest income, where are you going to get the money to pay the taxes every year? If you do, I guess their is no longer a need for the long term gains rate and no longer a need for capital investment.

This idea is one of the stupidest ideas ever and will hurt the middle class more than the billionaires.

I don’t even care what they are using the money for, they won’t have any for very long so it doesn’t matter.

 

[NTOP]

That would be a brilliant strategy taxing unrealized gains, but don’t worry you wouldn’t have any for very long if they do. Think about this, if you tax unrealized gains like you do interest income, where are you going to get the money to pay the taxes every year? If you do, I guess their is no longer a need for the long term gains rate and no longer a need for capital investment.

This idea is one of the stupidest ideas ever and will hurt the middle class more than the billionaires.

I don’t even care what they are using the money for, they won’t have any for very long so it doesn’t matter.

Would the investor who was taxed on an unrealized gain in year A get a refund if he finally sold it at a lower price in year B?? These local politicians are total morons, almost as dumb as Congress.

 

[SomewhereInTheMiddle]

I guess it would be like OID tax on zero coupons except the gains on realized are taxed at long term rates and unrealized is annually so it would be ordinary income. I guess you would only be able to write off 3,000 of long term realized losses against you unrealized gain.

It’s about as dumb a proposal as getting rid of the long term gains rate. People don’t realize the enormous benefits of incentivizing people to hold their securities and investments.