Let's raise Capital Gains to 50% for all gains above $250,000 (salary, economic, money)

[VTHokieFan]

For the middle class investors, capital gains will be lowered to 10%, the rich will have their capital gains raised to 50%. Thoughts?

[Mr. Mon]

How about just taxing capital gains at the same rate as actual earned income?

Why should my labor be taxed higher than than the return on my investments?

[pghquest]

Originally Posted by VTHokieFan

For the middle class investors, capital gains will be lowered to 10%, the rich will have their capital gains raised to 50%. Thoughts?

The thoughts is that we'd end up with a bunch of rich people not cashing in their gains and rolling them over, thus you'd get ZERO tax revenues

[hnsq]

So I open a company in Ireland, invest as an internationally held shell company, take capital gains abroad at a lower rate, then pay it to myself as a salary at a lower tax rate as well.

Good job driving private investment money out of America.

[summers73]

I believe in a progressive income tax system. The rich will pay more than the poor at 10% across the board.

See, progressive.

[VTHokieFan]

Originally Posted by hnsq

So I open a company in Ireland, invest as an internationally held shell company, take capital gains abroad at a lower rate, then pay it to myself as a salary at a lower tax rate as well.

Good job driving private investment money out of America.

I'm a libertarian, just trying to spur discussion.

[florida.bob]

Originally Posted by Mr. Mon

How about just taxing capital gains at the same rate as actual earned income?

Why should my labor be taxed higher than than the return on my investments?

Agreed. Not that hard to do. Also, eliminate a lot of exclusions, which is not so easy to do, but could be done, if there were Legislators willing to do so.

[Mr. Mon]

Originally Posted by florida.bob

Agreed. Not that hard to do. Also, eliminate a lot of exclusions, which is not so easy to do, but could be done, if there were Legislators willing to do so.

I like it. We could maintain a progressive tax system and probably lower rates across the board if we did that.

[subsound]

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?

[VTHokieFan]

Originally Posted by subsound

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?

It's an apple to oranges comparison, there were many ways you could avoid the top income tax bracket.