Re:Modeling a Wealth Tax
by bhupy on Tuesday August 18, 2020 @01:15PM
(#24201355)
Yes, and when they do turn their wealth into money for whatever needs arise, they pay taxes on it. The tax rate they pay on it (20% federally, up to 37% depending on the state) is roughly equivalent to paying a compounding wealth tax after N number of years.
> The idea that billionaires can find money for multiple million dollar homes, but it's impossible for them to pay taxes is ridiculous.
It's not ridiculous at all, it's literally in the math. It's one thing to occasionally voluntarily liquidate tiny fractions of your holdings for one-off purchases (like a home or a yacht or to make an annual living), and another thing entirely to impose a yearly "cost to maintain ownership of your company" resulting in involuntary liquidation.
> The idea that billionaires can find money for multiple million dollar homes, but it's impossible for them to pay taxes is ridiculous.
It's not ridiculous at all, it's literally in the math. It's one thing to occasionally voluntarily liquidate tiny fractions of your holdings for one-off purchases (like a home or a yacht or to make an annual living), and another thing entirely to impose a yearly "cost to maintain ownership of your company" resulting in involuntary liquidation.