Re:Raise the capital gains tax and treat investment earnings...
by dragonwriter on Monday January 28, 2019 @06:43PM
(#19022265)
> Treating capital gains differently from general income is a policy move designed to increase investment by making the profits larger.
Surplus wealth is largely going to be invested unless you actively prevent it, you don't need to tax favor capital income to get that result. Tax favoring capital income (i.e., tax penalizing other, most notably labor, income) just means that those that already have significant capital accumulate more faster while other people have a drag force applied preventing them from accumulating signficant capital.
Surplus wealth is largely going to be invested unless you actively prevent it, you don't need to tax favor capital income to get that result. Tax favoring capital income (i.e., tax penalizing other, most notably labor, income) just means that those that already have significant capital accumulate more faster while other people have a drag force applied preventing them from accumulating signficant capital.