funtimes32

I'm still not sure how the subjective taxation of risk would work. Nor do I understand how it would be better than the objective taxation of success (i.e., income), especially when it comes to reducing corruption.

How can you pay your tax bill with capital? Do I give the government shares in my corporation? Or, am I forced to sell shares every year to pay the bill? What happens if the corporation is private, and there is no liquid market for my shares? In that case, how can you even determine how much capital I have? What happens if the company I own shares in goes bankrupt at the start of the year? Do I still owe taxes on the capital from the year prior?

How does one tax capital?