But I'll give you credit for something (really). You are badly outnumbered here. But you're holding your ground as best you can. In a way, you're in the same position as this guy.
Posted on 08/01/2018 12:06:00 PM PDT by Brian Griffin
To pay off the ~$21 trillion dollar federal debt, which amounts to about $60,000 per American, it is probably necessary to have annual federal wealth taxation.
It is best to introduce the federal wealth tax when asset values are high, so a smaller percentage of rich people's assets have to get taxed to pay off the national debt.
The tax might be levied upon the total of net personal property financial holdings and the equity in real property.
The rates might be:
1% on the equity in real property habitually resided in by the filer(s),
2% on the equity in agricultural land, less .05% for each year owned & habitually worked personally, up to 20,
2% on the equity in other real property not habitually resided in by the filer(s),
2% on the net worth in personal property financial holdings, other than common stock, and
4% on the net worth in common stock.
The rate is higher on common stock because most of modern great wealth is in the form of common stock.
Joint returns might be permitted that include children, parents, and the spouse/domestic partner of one specified filer. Joint returns would reduce the artificial shuffling of assets between related persons to reduce taxation.
There might be exemptions, from the tax due, of $100 for each year of a filer's age up to age 65, less $100 for each year of a filer's age above age 65, as of January 1 of the tax year. Age-based exemption amounts adjust moderately well for adult wealth accumulation and old age spending.
Example 1:
Mary, age 62, and Bob, age 63, own a $700,000 personal residence outright and $100,000 in common stock.
The tax on the residence would be $7,000 and the tax on their common stock $4,000,
with an exemption of $6,200 for Mary and $6,300 for Bob,
so they would not owe any federal wealth tax.
Example 2:
Jean, age 56, and Jim, age 58, own a $450,000 personal residence and a $150,000 rental apartment outright.
The tax on the residence would be $4,500 and the tax on the rental apartment $3,000,
with an exemption of $5,600 for Jean and $5,800 for Jim,
so they would not owe any federal wealth tax.
Example 3:
Anne, age 42, and Peter, age 45, own a $1,000,000 personal residence outright and $200,000 in common stock.
They had no children and Peter's parents are dead.
Anne's mother, age 63, and father, age 69, own a $300,000 house outright and $150,000 in common stock.
Anne and Peter would file a joint return with her parents.
The tax on the residences would be $13,000 and the tax on the common stock $14,000,
and after their exemptions of $4,200, $4,500, $6,300, and $6,100 for a total exemption of $20,100,
they would owe a federal wealth tax of $6,900.
Example 4:
Terry, age 50, and Paul, age 49, own $300,000 personal residence together with a $100,000 mortgage.
Terry has a teacher pension right worth $700,000.
Paul has a city police pension right worth $800,000.
Terry and Paul would file separate returns, with their respective parents.
Terry's mother, age 73, and father, age 75, own their $200,000 house outright and $20,000 in Treasury bonds.
Paul's mother, age 70, and father, age 71, own their $250,000 house outright and $50,000 in common stock.
Terry and Paul have two children, Patty, aged 26, and Debbie, age 28, each with $2,000 saving accounts.
Paul's return would take the children since his side is better off financially.
Terry's and her parents' return would have a tax on her housing equity of $1,000, on her pension right of $14,000, on her parent's house of $2,000, on her parents' Treasury bonds of $400, for a total of $17,400,
with exemptions for Terry and her parents of $5,000, $5,700 and $5,500 for a total exemption of $16,200,
so Terry and her parents would owe a federal wealth tax of $1,200.
Paul's and his parents' and children's return would have a tax on his housing equity of $1,000, on his pension right of $16,000, on his parent's house of $2,500, on his parents' common stock of $400, on his children’s saving accounts of $80, for a total of $19,980,
with exemptions for Paul and his parents and his children of $4,900, $6,000, $5,900, $2,600 and $2,800 for a total exemption of $21,200,
so Paul and his parents and children would not owe a federal wealth tax.
Example 5:
Mark Sugarhill, age 38, owns $10 billion in common stock and a $16 million mansion outright. He bought and gave multi-million mansions to all his direct relatives years ago.
The tax on Mark's stock would be $400,000,000 and the tax on his mansion would be $160,000,
and after his exemption of $3,800, Mark would owe a federal wealth tax of $400,156,200.
What’s the point if DC gets us heavily into debt again, which they will.
“all of you’re liberal buddies can write a check to the US Treasury to help pay off the debt.”
They sort of think they are immune from biting taxation, which is why really rich people tend to be left-leaning, but this was written for the purpose of showing that a wealth tax is actually quite possible.
I would like a country as our Founding Fathers intended, but if not, I’d like the tax bite to be felt broadly.
I’ve known tax bite pain, especially as a retail clerk.
At a bare minimum, I’d be happy if the wealthy wrote campaign contribution checks more carefully.
Senator Mitch McConnell, please hold that spending beast in check.
Very bad idea as it fails to take into account income. As a retiree, a portion of my annual spending is supported by asset liquidation. I am already penalized by the government when I sell assets and have to pay taxes on long term profits. Add an annual wealth tax to this and my assets and lifestyle quickly disappear. So, in return for 50+ years of sacrifices in order to save for the future, you want to destroy what I have achieved in a few years. No thank you, I pass on the idea of a wealth tax. If you want to get real about the national debt, let’s adopt the oft proposed 1% reduction in government spending and add a national sales tax on a basis to be determined (i.e., excluded items, graduated scale for big ticket items).
But I'll give you credit for something (really). You are badly outnumbered here. But you're holding your ground as best you can. In a way, you're in the same position as this guy.
“I think that a hard cap of 10% totally of the GDP being sent to Washington would be a good start.”
The borrowing is a problem too. It distorts the economy because a deeply in debt government wants low-interest rate money.
I was planning on getting 5% on average at least on my money.
To be honest, I was expecting Terry and Paul to be a gay marriage. That’s how normalized this mess has become.
Taxing income means you tax productivity. Fixed it for you.
Is this that damn dog on Family Guy?
That's the point isn't it? I'd rather do that that tax the sweat off of someones back which is what the income tax is all about
The interest on the debt is 6% of the budget. Using $3T as a baseline that is $180B not $450B.
“It’s too complicated”
We had an intangible wealth tax here in Florida from 1931 until Jeb Bush got rid of it.
I don’t know if Pennsylvania still has intangibles tax.
Yeah, that’ll encourage people to save more to take care of their own kids’ educations, health needs and old age - just what we need - when we become convinced that all wealth really belongs to the government......
Say... You do have a good bead on this thing don't you.. :)
“how and when is the value calculated? Is it the last trade price on a certain day?”
When Florida had the intangible wealth tax, we used the values in the S&P stock guide.
I believe it was the closing price on the last trading day of the prior year.
“Under $1 million, most wealth is equity in the primary residence.”
People don’t get out of college until about age 22. They probably can’t buy until at least age 24. The house won’t be paid off until age 54, by which time the exemption for the couple that owns it outright would exempt a paid up $1 million house.
I gave five examples, each showing how the exemption system would function.
Why are you here?
“That Picasso painting, what is it worth on today’s market? And what about that rare coin? And what about that autographed cowboy hat once worn by Tom Mix?”
I listed no rate for chattels.
You seem to think you know everything.
You don't know squat.
Your name is not Brian Griffin, it is Karl Marx. Take your communist suggestion and shove it up your ass.
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