Ignore Social Media-- Harris' Unrealized Capital Gains Tax Proposal Only Impacts Ultra Wealthy

Monday, October 07, 2024

Many posts ignore the fact that the plan would only impact those whose net worth is more than $100 million, or less than 1% of taxpayers, and falsely suggest that all homeowners should fear a new massive tax bill. One TikTok user, for example, claimed that people will "lose their homes" and that "the IRS will bankrupt them."

Posted by retort at 10:10 AM | 21 COMMENTS | permalink

Comments

Right, as the Alternative Minimum Tax {AMT] was once meant just for the wealthy, yet nowadays the middle class is being impacted.

money.cnn.com

This is what I refer to as : MISSION CREEP

#1 | Posted by MSgt at 2024-10-07 11:55 AM

"April 7, 2015" - Really?

I'm surprised Congress hasn't addressed issues with the AMT .... Oh, they have addressed these issues?

While the AMT has gone through many revisions since its origination in 1969, for the most part, it still serves its original function of closing tax loopholes for the wealthiest taxpayers.

Alternative minimum tax and the 2017 Tax Cuts and Jobs Act

The TCJA significantly ... narrowed the scope of the alternative minimum tax in at least three important ways:

*It introduced higher alternative minimum tax exemptions. The AMT is indexed yearly for inflation. For the 2024 tax year, it's $85,700 for individuals and $133,300 for married couples filing jointly.

*It introduced higher income levels for exemption phaseout. Phaseout for the 2024 tax year starts at $609,350 for individuals and $1,218,700 for married couples filing jointly.

*It eliminated or reduced AMT's preference and adjustment items. It reduced state and local taxes (SALT), including the real estate tax deduction, adjusted to a maximum of $10,000. It eliminated miscellaneous itemized deductions, personal exemptions and home equity loan interest.

www.usbank.com

The truth on AMT, not the lies and fearmongering of Msgt. AMT was addressed by the Trump tax cuts in 2017 which are scheduled to sunset in 2025. However, there is no chance Congress will allow this to happen and reimpact erstwhile middle income taxpayers again.

#2 | Posted by tonyroma at 2024-10-07 02:36 PM

You couldn't creep past 100k if you lived 1000 years, you stupid old ----.

#3 | Posted by LegallyYourDead at 2024-10-07 03:54 PM

You couldn't creep past 100k if you lived 1000 years, you stupid old ----.

#3 | POSTED BY LEGALLYYOURDEAD AT 2024-10-07 03:54 PM | FLAG: FUNNY, as my portfolio is currently bringing in just a little over 30k annually from stock dividends and MLP distributions. Sitting pretty here being retired with my military retirement pay and SocSec plus my 10 years younger wife still bringing in earned income. Life is GOOD : )

#4 | Posted by MSgt at 2024-10-07 05:15 PM

#4 | Posted by MSgt

You don't actually think anybody believes that horse manure, do you?

#5 | Posted by Angrydad at 2024-10-07 07:20 PM

I think this is unconstitutional. I dont believe any American should be taxed more than another.

#6 | Posted by boaz at 2024-10-07 08:24 PM

I think this is unconstitutional. I dont believe any American should be taxed more than another.

#6 | Posted by boaz at t

You're a moron, no 2 Americans pay the same given the range of taxes and deductions, but you keep doing you,

#7 | Posted by truthhurts at 2024-10-07 08:27 PM

"if the platforms, facebook, twitter/X, tiktok whatever they are, if they don't moderate and monitor the content, we lose total control"- Hillary Clinton

#8 | Posted by THEBULL at 2024-10-07 09:27 PM

Would taxpayers get to deduct unrealized capital losses?

#9 | Posted by madbomber at 2024-10-08 01:47 AM

I didn't see that part.

#10 | Posted by madbomber at 2024-10-08 01:47 AM

Would taxpayers get to deduct unrealized capital losses?

I found this bit:

If the asset declined in value in a future year before being sold, it would produce an unrealized capital loss, reducing the taxpayer's tax liability. An unrealized loss would first reduce remaining installments of tax owed on previous unrealized gains before being refunded in cash.

taxfoundation.org

#11 | Posted by REDIAL at 2024-10-08 02:28 AM

The 1% have weaponized the stupidity of the least educated and poorest people in America to keep their taxes lower than the middle class.

#12 | Posted by Nixon at 2024-10-08 07:19 AM

I don't see a mechanism to enforce such a tax.

how do you calculate someone's net worth year after year? It's not as simple as many of you want to believe.

We formally attempt to measure someone's net worth only 1 time....when they die. Not at any time before. And why? because those assets are set to change ownership. Heirs are coming for the loot.

#13 | Posted by eberly at 2024-10-08 07:57 AM

I don't see a mechanism to enforce such a tax.

That seems to be a common complaint about the idea... it is, to say the least, unwieldy.

#14 | Posted by REDIAL at 2024-10-08 08:58 AM

30k annually from stock dividends and MLP distributions.

That's all?

----, the way you shill for the 1% I thought you might have been at least CLOSE to them.

#15 | Posted by Nixon at 2024-10-08 09:33 AM

Life is GOOD : )

#4 | POSTED BY MSGT

Thanks to the Harris Biden Administration that successfully brought America back from the crippling pandemic driven economic hole that Trumpy left us in.

#16 | Posted by donnerboy at 2024-10-08 01:16 PM

"how do you calculate someone's net worth year after year?"

Use the Trumpy Method.

You cheat. When you apply for loans you inflate your worth. When you file your taxes you deflate your worth.

Ez Pz.

#17 | Posted by donnerboy at 2024-10-08 01:21 PM

I think this is unconstitutional. I dont believe any American should be taxed more than another.
#6 | Posted by boaz

Sometimes I have to wonder if you're just pretending to be this clueless.

Warren Buffett says he's still paying lower tax rate than his secretary
"I'll be a fair amount higher, 8 or 9 points higher," Buffett said of his own tax rate in an appearance on CNBC Monday. "But the differential between me and the rest of the office, not just my secretary but the rest of the office, was greater than that. It'll be closer, but I'll probably be the lowest paying taxpayer in the office." money.cnn.com

#18 | Posted by censored at 2024-10-08 04:45 PM

#6
Looks like Bobby's brain worm is getting quite a workout.

#19 | Posted by Doc_Sarvis at 2024-10-09 07:09 AM

Here's one lib that is totally against this proposal.

#20 | Posted by crisisstills1 at 2024-10-09 05:22 PM

So...I'm still not totally clear on how this would generate higher revenues (outside of the increase in the tax rate) than it would be if the capital gains were taxes at the time of sale? In fact it seems like it might even be advantageous for the person who is paying the taxes if you could pay current-year taxes at future-year value.

#21 | Posted by madbomber at 2024-10-10 02:27 AM

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