$Trump Media & Technology (DJT.US)$ How would a tax on "un...
How would a tax on "unrealized gains" work.... this is absolute madness why would anyone even wanna own assets...
A tax on unrealized gains would involve taxing the increase in value of an asset that has not been sold. This means that if you own an asset, such as stocks or real estate, and its value increases over time but you haven't sold it yet, you would still be required to pay taxes on the paper gain.
The practical implementation of a tax on unrealized gains could be complex and controversial. It may require regular valuation of assets which can be challenging for illiquid assets like private businesses or certain types of investments. Additionally, determining when and how often these valuations should occur poses logistical challenges.
Proponents argue that taxing unrealized gains could help address wealth inequality by ensuring that individuals with significant holdings contribute their fair share to government revenue even without selling their assets. However, opponents raise concerns about potential negative impacts on investment incentives and liquidity issues for taxpayers who might have difficulty paying taxes based solely on paper profits.
It's important to note that implementing a tax policy is subject to various economic considerations as well as legal and administrative feasibility within each specific jurisdiction.
The practical implementation of a tax on unrealized gains could be complex and controversial. It may require regular valuation of assets which can be challenging for illiquid assets like private businesses or certain types of investments. Additionally, determining when and how often these valuations should occur poses logistical challenges.
Proponents argue that taxing unrealized gains could help address wealth inequality by ensuring that individuals with significant holdings contribute their fair share to government revenue even without selling their assets. However, opponents raise concerns about potential negative impacts on investment incentives and liquidity issues for taxpayers who might have difficulty paying taxes based solely on paper profits.
It's important to note that implementing a tax policy is subject to various economic considerations as well as legal and administrative feasibility within each specific jurisdiction.
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Harold of the Rocks : Not supposed to make sense, honestly think they’re trying to make people snap.
Piggy Bank Trader : Kamala at her best!!