The liberal Cato Institute says that there are 90 taxes going up. These are just a few.
“Over 90 proposals include a higher tax on stock buybacks, higher taxes on carried interest, new global minimum taxes, new limits on how much high-paid employees can deduct, the end of some like-kind exchanges, permanent loss limits for pass-through businesses, more taxes on gas, and coal production, limits on retirement contributions and faster minimum distributions for high-income people, a new 30% excise tax on the cost of electricity for digital mining, and a higher death tax.”
Adam Michel of Cato says, “However, put together, Harris’s tax increase plans would be the biggest in more than 40 years. They would raise tax rates to some of the highest in the world, lowering pay for American workers and slowing economic growth.”
People are most against Harris’s plan to tax “unrealized cash gains.” At the moment, taxes aren’t charged on land or stock until it is sold. Harris wants to tax stocks or real estate every year that you own them, called “unrealized” capital gains.
The tax would only be for those worth more than $100 million. We shouldn’t have to think about it, right? Rich people should pay more than their “fair share” because they are rich.
This “wealth tax” floor will always be $100 million. If you believe that, I can sell you a bridge over the Chicago River.
Of course, we should not support the idea of taxing people for money they don’t have because it is wrong to do so.
The Heritage Foundation:
“There are no unrealized cash gains. The Democrats in Congress tried to tax them directly, but you can’t. Biden also wants to reclassify them as “income,” but that won’t work either. When you sell a property for more than you paid for it, you make a cash gain. A tax lawyer would call it a “realized” capital gain when the sale is over and you have the money.”
The allocation clause (Section 2, 14th Amendment) says that the tax on “unrealized capital gains” is unfair and goes against the Constitution. There is no such thing as a “direct tax” on income.
“The Constitution says that Congress can’t impose any direct taxes unless the money is split evenly among the states based on their populations.” Heritage says, “A direct tax is a tax on any property, which includes money, or the income from property, which cannot be passed on to someone else.”
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