News

Unrealized Capital Gains Being Targeted for Next Round of Leftist Taxation

Vitalii Vodolazskyi/shutterstock.com
Vitalii Vodolazskyi/shutterstock.com

The 3.5 trillion dollar agenda proposed by Biden has a new and unlikely funding source; unrealized capital gains. This idea is not only idiotic, but it also has a high likelihood of being unconstitutional and thus would be illegal. That still didn’t stop Biden’s Treasury Secretary Janet Yellen from proposing this idea from the Senate Finance Committee.

With the idea being that it would only be levied against the ‘extraordinarily wealthy’ for their ‘liquid assets’ let us look at what they are talking about here. This would put taxes on just holding things of great value. Things like real estate, stocks, artwork, and other tangible goods would be taxed. Just for owning them.

Given the amount this portion of the population is spending on attorneys and tax advisors as it is, this would amount to a whole lot of spending for no real revenue. Given how fluid the value of these items can be, who’s to assess the value? Does a real estate expert from DC really know how the value changed on a house in Atlanta? How is it assessed? If upgrades are made, is the cost of the upgrades being deducted from the unrealized capital gains tax?

While the idea of ‘tax the rich’ is something Yellen pushed away from being the point, it certainly seems that way. By pushing more taxes on people for the ‘profit’ from something that has yet to sell, they are trying to strip away the hard-earned wealth from those who have it. This idea should scare everyone. No matter how large or small your bank account is.

There is also the challenge of when an asset depreciates in value. Who wants to be President when someone like Jeff Besos, Bill Gates, or Warren Buffet gets a 4 billion dollar refund from the government because a recession hit and stocks plummeted as they did in 2008? Who is going to cut a check for a yacht that got destroyed by a hurricane and is not even worth pennies on the dollar?

Insane ideas like these keep flowing from the Biden administration and their people. The concept of paying things correctly is lost on them entirely. Instead of pushing more taxes on the wealthy, perhaps they need to tighten some of the tax loopholes that so many of our elected officials slip funding through. Maybe they need to ask how people enter a job with a $140,000 salary, stay 10 years, and leave with a $20 million net worth. Certainly, their DC condo didn’t appreciate that much in 10 years.

For now, this crockpot idea remains just that; an idea. With any luck, the Republicans will continue to be our saviors from such horrible ideas, and the people will be free to chase the American dream. Given the high tax bracket the wealthy find themselves in, the charitable donations many give, and the instability of our economy the left needs to shift their focus on how to adequately fix the problems in our countries…and not play Robin Hood with our incomes.

One of the most concerning ideas is that this would be only on the ‘extremely wealthy’. Considering there is no benchmark for what is ‘extremely wealthy’ and how subjective it is, who will decide the cutoff? Will it only be decided by total asset worth at the time of purchase, or at time of audit? Considering the IRS already wants to look into any account that has or receives over $600, this could become a very broad investigation. These ideas are the pathway to socialism, and that is a very dangerous path for Americans to find themselves. If allowed unchecked, these new ideas will completely bankrupt America and leave us all flat broke, begging for a scrap of food, and with nothing.