You know I sat here and was thinking about what a horrible idea this CAP gains Tax hike that Obama is proposing is. Several people I know are concerned that with an Obama administration the sale of a home will mean and additional 28% tax to the Obama social agenda. However after some research here is what I have discovered.
.Home Sales: The claim that Obama would impose a 28 percent tax on the profit from "all home sales" is false. Both Obama and McCain would continue to exempt the first $250,000 of gain from the sale of a primary residence ($500,000 for a married couple filing jointly) which results in zero tax on all but a very few home sales.
Capital Gains Rate: It's untrue that Obama is proposing a 28 percent capital gains tax rate. He said in an interview on CNBC that he favors raising the top rate on capital gains from its present 15 percent to 20 percent or more, but no higher than 28 percent. And as for a 28 percent rate, he added, "my guess would be it would be significantly lower than that." Furthermore, he has said only couples making $250,000 or more (or, his policy advisers tell us, singles making more than $200,000) would pay the higher capital gains rate. That means the large majority of persons who pay capital gains taxes would see no increase at all.
While this is decent news I suppose, I am still completely opposed to ANY tax hike to ANYONE during an economic downturn. It makes no sense whatsoever to raises taxes on job producers in an effort to "get back" at the mean and nasty rich people. All that will be accomplished in this is to bring more unemployment. If Obama was truley for change and really wanted to raise money for his social agenda then he would add a 1% national sales tax. Some of this money can go to reduce the deficit as well. However, I'm sure that people would scream that it's unfair in some way shape or form.
.Home Sales: The claim that Obama would impose a 28 percent tax on the profit from "all home sales" is false. Both Obama and McCain would continue to exempt the first $250,000 of gain from the sale of a primary residence ($500,000 for a married couple filing jointly) which results in zero tax on all but a very few home sales.
Capital Gains Rate: It's untrue that Obama is proposing a 28 percent capital gains tax rate. He said in an interview on CNBC that he favors raising the top rate on capital gains from its present 15 percent to 20 percent or more, but no higher than 28 percent. And as for a 28 percent rate, he added, "my guess would be it would be significantly lower than that." Furthermore, he has said only couples making $250,000 or more (or, his policy advisers tell us, singles making more than $200,000) would pay the higher capital gains rate. That means the large majority of persons who pay capital gains taxes would see no increase at all.
While this is decent news I suppose, I am still completely opposed to ANY tax hike to ANYONE during an economic downturn. It makes no sense whatsoever to raises taxes on job producers in an effort to "get back" at the mean and nasty rich people. All that will be accomplished in this is to bring more unemployment. If Obama was truley for change and really wanted to raise money for his social agenda then he would add a 1% national sales tax. Some of this money can go to reduce the deficit as well. However, I'm sure that people would scream that it's unfair in some way shape or form.
