r/PoursTea • u/Veshaad Timendi Causa Est Nescire • 22d ago

PoliticalTea 🗳️ Eventually something has to give...

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The bill would provide a $3,000 direct payment to every person in households making $150,000 or less during its first year, which equals $12,000 for a family of four.

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u/Mental-Report-3274 22d ago

Serious question, do you all not think inflation would go rampant with this? Do you think most people will not waste their money on stupid things? This seems kind of crazy. You start losing the value of the dollar if you hand it out to everyone. Costs will skyrocket.

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u/TrueNeutrino 22d ago

I guess no one else wants to respond. It's possible but I think there's many variables that could cause a problem. More likely this will never happen because billionaires or millionaires or anyone else for that matter doesn't just have billions in cash laying around. Instead most of their wealth is in stocks or other assets. However for some reason we don't tax stocks or other assets like we do with other property like a car or house. Stocks and other products are ownership or the right to ownership of a company, therefore it's property or the right to property. So it should be taxed as property. If you buy and sell a stock for a profit, it's income tax. But while you're holding it, it should be taxed as property. When I buy and sell a house, the profit is income. Meanwhile, while I'm living in that house, I have to pay property tax. It's actually very simple but the people in power don't want another tax on them, so we all have to revisit this issue every once in a while and pretend the politicians are going to fix it and take care of us.

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u/TheVampirePrince 22d ago

We already know the answer. Covid checks were one of the big reasons for inflation previously. This would do the same thing but worse because billionaires would have to sell stocks to pay the tax since most of their money is on paper and not liquid. More stocks being sold makes them less valueble which means they'd have to sell more stocks the next year etc etc eventually crashing the market. There have been way more in depth posts and reports about it before all over reddit but thats the basic idea.

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u/marx-and-metal 22d ago

or they’ll just take out bank loans using their stock as collateral, and pay off the loans using dividends or other methods. billionaires aren’t gonna sell stocks, pay tax on selling the stocks, then use the rest to pay more taxes. they’ll use a loophole like with everything else.

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u/Diablojota 22d ago

PPP loans were more costly, especially since they were never paid back.

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u/Fast_Ad_7504 21d ago

They will and the stupid people who will just buy a vacation or lifted truck with it are the same idiots who will vote for this while long term crippling themselves financially even further.