Actually, there are already excise taxes on property (in Massachusetts, registered cars) as well as property taxes. One argument against capital “gains” taxes is that they are largely taxes on inflation. If I own a candy store which I purchased for $50,000 in 1970 and sell it for $1,050,000 in Januart 2011, guess what? I “made” a million dollars in “capital gains” even though the $50,000 in 1970 could buy over 1400 ounces of gold, while the $1,050,000 in 2011 would only buy about 750 ounces of the yellow metal. In other words, the value of my asset relative to gold was half as much, but I would wind up forking over a big share of it to the government as “capital gains”.