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Old 11-24-2011, 09:25 PM
 
Location: Columbus
4,879 posts, read 3,775,992 times
Reputation: 1442

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Quote:
Originally Posted by subsound View Post
The top income tax rate was 50% or above from WW2 to 1986.

Wasn't the post war period when we paid off all that debt and had massive economic expansion?
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Old 10-19-2013, 05:51 AM
 
Location: United States
5,888 posts, read 4,475,860 times
Reputation: 1905
Quote:
Originally Posted by Lahaina Lopaka View Post
Stupid idea. Revenue from Cap Gains will drop as the wealthy will find other investments for their income. Even worse, the capital markets will dry up.

Instead of working feverishly in attempting to screw the rich, why don't you focus your efforts on the novel notion of HELPING AMERICA!!!!!!!
In the 1930s, the wealthy paid far higher tax rates and the country did fine.
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Old 10-19-2013, 08:26 AM
 
Location: Billings, MT
8,994 posts, read 7,086,859 times
Reputation: 12448
Let's just have a FLAT RATE income tax for ALL income, regardless of source!
Wages, salaries, "capital gains", interest income, dividends, ALL income, same rate, no matter how much!
I see NO reason to penalize someone for being wealthy!

NO, not a "national sales tax"! That would give the wealthy a partial free ride on their income. those of us who spend ALL our income would pay tax on it, while those who are wealthy would spend only part of their income, and what they saved would not be taxed.
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Old 10-19-2013, 08:49 AM
 
62,419 posts, read 27,779,745 times
Reputation: 7868
Quote:
Originally Posted by subsound View Post
The top income tax rate was 50% or above from WW2 to 1986.

Wasn't the post war period when we paid off all that debt and had massive economic expansion?
There were a lot more deductions allowed back then resulting in actual effective tax rates being significantly lower than 50%.

Historically, tax revenue as a percent of GDP has been relatively consistent regardless of tax rate fluctuations:

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Old 10-19-2013, 08:57 AM
 
9,964 posts, read 11,818,682 times
Reputation: 13278
Quote:
Originally Posted by VTHokieFan View Post
For the middle class investors, capital gains will be lowered to 10%, the rich will have their capital gains raised to 50%. Thoughts?
Stupid idea.

Really stupid, stupid, stupid idea.

You really think the rich got rich by being stupid?

In 1960 we had some really high tax rates



and you can see here where the total amount of all taxes (from all taxable activity) was 153 billion or 29.08% of GDP. It tax rates were 70, 80 and 90 percent on the rich why wasn't more money dumped into the treasury?

Kennedy knew the problem so he campaigned for a tax cut to spur the economy


Income Tax Cut, JFK Hopes To Spur Economy 1962/8/13 - YouTube

When he got his tax cut passed look what happened in 1965




After the tax cut a little the total amount into the treasury increased from $153 billion to 193 billion.

All that happens when you tax an activity is the activity goes away and you get nothing.

I own a piece of property I purchased 40 years ago for $15,000 and today I can sell it for $400,000 for a capital gain of $385,000.

I really don't need the money, most people in my position and age don't, but I may consider selling it if I pay a low tax rate on the gain but what do you think I will do if you get your way and raise the rate to 50%?

The answer is simple, I won't sell it and instead of getting 15% of $385,000 you'll get 50% of nothing which is nothing.

The only thing higher tax rates achieve is a change in behavior because it NEVER has achieved substantially higher revenue but it does kill economic activity.

Seriously, compare the % of the GNP to the federal treasury between 1960 when we had tax rates above 90% to today.

Tax Facts Historical Source of Revenue as Share of GDP

In 1960 the total % to the treasury was 17.8% of GNP while today it is was 18.5% 2007 before Obama.
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Old 10-19-2013, 09:09 AM
 
Location: Chandler, AZ
5,798 posts, read 5,239,486 times
Reputation: 3108
And watch revenue for Obama & Co. PLUNGE???

Works for me.

Raising the capital gains tax rate never increases revenue, but Democrats have never learned that after several decades of trying.
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Old 10-19-2013, 10:40 AM
 
14,253 posts, read 14,745,676 times
Reputation: 13611
In 2009 I and a bunch of others invested in a small company that was going bust. They had run out of cash due to the crash. We thought it was a good business opportunity if recapitalized and run properly. Thanks to our investment a bunch of jobs were saved, new jobs created and taxes paid.

Our expectation is that we should be able to either take this company to the market or sell it to a bigger competitor in a couple of years. We hope to make a serious profit on our investment. Our reward for putting up the money and taking the risk.

But, if I am looking at a 50% tax on my profit then no way will I invest in these kind of situations. People can just lose their jobs and the IRS can whistle for any money owed.
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Old 10-19-2013, 01:36 PM
 
1,917 posts, read 1,147,680 times
Reputation: 654
Quote:
Originally Posted by VTHokieFan View Post
For the middle class investors, capital gains will be lowered to 10%, the rich will have their capital gains raised to 50%. Thoughts?
Bad idea. Immediate flight of capital takes place. Capital in this day and age is moveable within an instance.
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Old 10-19-2013, 03:49 PM
 
47,576 posts, read 58,722,338 times
Reputation: 22159
Quote:
Originally Posted by VTHokieFan View Post
For the middle class investors, capital gains will be lowered to 10%, the rich will have their capital gains raised to 50%. Thoughts?
The filthy rich liberal elites (Oprah for example is worth $3 billion!!!!, Chelsea Clinton lives in a $10,000,000 luxury apartment ) would never allow something like this.
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Old 10-19-2013, 03:56 PM
 
Location: DFW
2,262 posts, read 2,692,086 times
Reputation: 1288
Quote:
Originally Posted by VTHokieFan View Post
For the middle class investors, capital gains will be lowered to 10%, the rich will have their capital gains raised to 50%. Thoughts?
Completely ridiculous!
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