Hey
@cv5
What the Snopes article verifies is that VP Harris has put forth an effort to tax unrealized capital gains on taxpayers with a wealth of over 100 million. That person's likely got 6 homes that he's getting unrealized capital gains and only one can be their principle residence for tax purposes. Whether it would get passed or not is up for grabs. But I'm not particularly bothered by it in my tax bracket.
If a person is worth over 100 million it is not from their homes or cars. It is their investments and perhaps because they own their own company. If you had 100 million in unrealized capital gain on your investments there is no way to pay the tax bill without selling. This will crush every fortune 500 companies stock price. How are the owners to pay these taxes? Consider a billionaire like Gates who owns a certain percentage of Microsoft or Facebook or some other company. They have probably owned the stock since inception and so their holding is almost 100% unrealized capital gain. Investors are like vultures. They'll see who is in trouble, circle around and want to pick up the stock at the lowest possible price. But that creates a whole new problem, if stock prices crash then your "unrealized capital gain" evaporates with the falling stock price.
But we also have a second problem, what if the person is not a US citizen? Can the US impose this tax on non citizens? If so the foreigners will flee our stock market and that will crash it. If not, then all these multimillionaires and billionaires will change their citizenship and flee.
This is not a tax, it is theft. The only possible way to claim this is not theft is if the "capital gains" is adjusted for inflation. In the last four years the cumulative inflation has been over 20%. So if you had 100 million worth of investments and it is up 25%, that is not a capital gain, that is simply inflation which is itself a hidden tax.
The day of the Lord comes as a thief in the night and everyone involved in investing in the US understands this "tax" is simply theft.
As far as not impacting those who are worth less than 100 million, that is foolish. You can't steal 25% of the countries assets without causing a great depression and massive unemployment.
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