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If there is, it doesn't matter. They obtained their fortunes under the same conditions as the rest of us. They deserve to pay into society just as much as we do.
As a reminder: Taxing the rich is STILL just a band-aid fix.
I'm actually thinking that maybe, a higher wealth tax can only be implemented with a simultaneous restriction of free trade.
Like, you could always easily evade a wealth tax if you can just push your things out of the country, and into another country where they aren't taxed (assuming that these things are movable). So, the only way to effectively implement a wealth tax is to restrict the free movement of objects around?
Or alternatively, if only company shares are taxed, then they should be taxed independently of whether the person owning them is on the inside or outside of the country.
Aussie wealth is pegged to house prices. Add a land value tax to make it less profitable to hold without renting.
Tax the worth of a person, all assets. If the asset can be used for financial leverage then it's a taxable asset.
Instead of taxing the rich lets grind them up for chum.
Too bad the global 15% company tax made such a flop few years ago, it would have been a good start.
If only we could charge some type of tax on the property they hold.
Much smarter people will need to work out the details, but I think that closing the capital gains loophole would be a good start. Basically, if a person wants to leverage their stocks to take out a loan, then they get taxed on that amount. We can have a minimum amount before it kicks in such as a million dollars to allow small business loans and other things to still occur.
I understand we can't tax peoples unrealized assets, but it's bullshit that unrealized assets can then also be used to gain real monetary value.
"unrealized assets" absolutely can be taxed, i.e. we know how much a company share is worth even if you didn't sell it yet, because there's something called the stock market where other people agree on the current value of the shares. so we can use that as a reference value.
and these other people have a high incentive to get the estimate correct, because there's lots of money to be made from estimating a more accurate valuation.
Spot on. Some countries in Europe do this already, although it is controversial.
The creation of capital gains tax worldwide corresponds to national debt worldwide. To make up the shortfall, governments brought in VAT to tax the poorer classes. Meanwhile, we still allow a massive loophole of borrowing against equity and not declaring that money income or capital gains. Zero taxes paid. So this leverage makes billionaires.
Any new money coming to any person should be income, and taxed as such. If we did that, nominal income taxes could be reduced to 20% for all, and we don't need VATs.
Needless to say, this would massively improve the world economy.
They sure do tax my house every year even though I haven't realized those gains.
That's because tax loopholes aren't for you, you dirty poor. /jk
Why not just tax the hell out of any non-mortgage/education related private loans over $150k (the HELP lifetime limit) and any non-real estate related business loans over $5M (or a different value, I’m not sure what’s reasonable for a commercial loan).
Only problem I see is residentail property becomes that much more of a target. Maybe limit the mortage loans to only those held by an individual or family.
Yes. Stop having complicit lawmakers pass complicated laws that let the ultra rich pass through all the hurdles for free. BOOM!, done.
I mean, the alternative is taxing their heads off
Axe the rich?
I was in favour of taxing them when I was a teen, those days are long gone.
I support your alternative.