Sources
Loading...
Additional media
Loading...
DeepNewz, mobile.
People-sourced. AI-powered. Unbiased News.
Taxing unrealized capital gains is like asking a company to pay taxes in advance on accounts receivable that may never get paid. Oh, you billed a million dollars? You owe $250,000, whether the vendor pays or not.
Let’s say a stock goes up massively in a year. A founder’s stake in the company rises $100M in value. He has to pay $25M in unrealized capital gains (25% currently proposed). The next year a global pandemic hits and he loses the gains, and more. He has never sold anything,…
Insert some tweet about taxing unrealized gains whilst not understanding that aggressive VAT taxes are coming for all of us.
The debate on taxing unrealized gains has sparked discussions among individuals, with concerns raised about the potential negative impact on businesses and individuals. Critics argue that such taxes could be impractical and unfair, leading to financial hardships and encouraging manipulation of valuations. The proposal has faced criticism for its potential consequences on wealth confiscation and its comparison to aggressive VAT taxes.