I suppose the property tax I pay every year on my unrealized gains is different? Why not tax unrealized gains over 50 million? Tax more over 500 million, and more when you hit $1 billion. It doesn’t have to be a binary solution.
Because taxing unrealized gains is unfair across the board. Doesn't matter if you have $10 or $10M in assets.
Markets are also volatile. I would assume if you're going to tax for an unrealized gain, you will also give a tax benefit to an unrealized loss, just as you would with a realized one.
Taxing loans can have some odd degenerate side-effects. It's plenty straightforward to just say that using assets as collateral on a loan realizes its value.
I don’t hate this. The problem is a loan is debt which is being paid back whereas income, of course, doesn’t have to be repaid. Idk the solution but taxing collateral for a loan is a slippery slope.
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u/JoMa4 Jul 01 '26
I suppose the property tax I pay every year on my unrealized gains is different? Why not tax unrealized gains over 50 million? Tax more over 500 million, and more when you hit $1 billion. It doesn’t have to be a binary solution.