Should we abolish the capital gains tax?

Discussion in 'Economy' started by Chris, Feb 20, 2009.

  1. Chris
    Offline

    Chris Gold Member

    Joined:
    May 30, 2008
    Messages:
    23,154
    Thanks Received:
    1,958
    Trophy Points:
    205
    Location:
    Virginia
    Ratings:
    +2,089
    Newt Gingrich thinks so.

    What do you think?
     
  2. xsited1
    Offline

    xsited1 Agent P

    Joined:
    Sep 15, 2008
    Messages:
    17,750
    Thanks Received:
    5,299
    Trophy Points:
    198
    Location:
    Little Rock, AR
    Ratings:
    +5,306
    Perhaps for a short period of time.

    Obama also thought this was a good idea when he was campaigning back in October:

     
  3. Sinatra
    Offline

    Sinatra Senior Member

    Joined:
    Feb 5, 2009
    Messages:
    8,013
    Thanks Received:
    1,005
    Trophy Points:
    48
    Ratings:
    +1,005
    YES.

    At least for a 12-month period, followed by a lesser rate of say, 5% for the following three years after that.

    This measure alone would be more stimulative than much of what is contained in the nearly trillion dollar stimulus bill.
     
  4. Chris
    Offline

    Chris Gold Member

    Joined:
    May 30, 2008
    Messages:
    23,154
    Thanks Received:
    1,958
    Trophy Points:
    205
    Location:
    Virginia
    Ratings:
    +2,089
    I think we should eliminate capital gains and create a single payer healthcare system.

    Those two things alone would make American business more competitive worldwide.
     
  5. editec
    Offline

    editec Mr. Forgot-it-All

    Joined:
    Jun 5, 2008
    Messages:
    41,427
    Thanks Received:
    5,598
    Trophy Points:
    48
    Location:
    Maine
    Ratings:
    +5,617
    I think that we should treat long term capital gains significantly more generously than short term capital gains.

    Long term gains should be taxes on a progressive system.

    The longer the investment was held the lower the rate it will be taxed.

    Why?

    Well much of the capital gain in many investments isn't really a capital gain at all.

    In fact much of it is nothing more than inflation that drive up the prices.

    The cash value of the stock (in terms of purchasing power if you sell it) is the same or even less than the value of the money you invested in the first place.

    There is no sane reason to tax people on inflation when in fact they might actually have LOST purchaing power in those investments.
     
  6. Chris
    Offline

    Chris Gold Member

    Joined:
    May 30, 2008
    Messages:
    23,154
    Thanks Received:
    1,958
    Trophy Points:
    205
    Location:
    Virginia
    Ratings:
    +2,089
    Singapore abolished capital gains, and they have had one of the fastest growing economies in the world over the last ten years.
     
  7. dilloduck
    Offline

    dilloduck Diamond Member

    Joined:
    May 8, 2004
    Messages:
    53,240
    Thanks Received:
    5,552
    Trophy Points:
    1,850
    Location:
    Austin, TX
    Ratings:
    +6,403
    and at the same time we could impose a weight gain tax and get rich ! :lol:
     
  8. Chris
    Offline

    Chris Gold Member

    Joined:
    May 30, 2008
    Messages:
    23,154
    Thanks Received:
    1,958
    Trophy Points:
    205
    Location:
    Virginia
    Ratings:
    +2,089
    If Americans get fat enough it could save Social Security.

    They would never live to collect it.
     
  9. editec
    Offline

    editec Mr. Forgot-it-All

    Joined:
    Jun 5, 2008
    Messages:
    41,427
    Thanks Received:
    5,598
    Trophy Points:
    48
    Location:
    Maine
    Ratings:
    +5,617
    Yes.

    Likewise cigarette addiction is also Social security's best friend, too.

    Instead of taxing ciggies, we ought to be encouraging people to smoke more just to save us a boatload on money in social security and Medicade.

    Cigarette smokers acually cost Medicade and medicare LESS on average than non smokers.

    Why?

    Because we die 7 years sooner than non smokers.

    While the rest of you people are getting your hips replaced and whining about every minor ache and pain of your golden year after golden year, we smokers are considerate enough to die swiftly and in our earlier years die of lung related diseases.

    You non-smoking folks ought to THANK us smokers for being so considerate.
     
    Last edited: Feb 21, 2009
  10. Sinatra
    Offline

    Sinatra Senior Member

    Joined:
    Feb 5, 2009
    Messages:
    8,013
    Thanks Received:
    1,005
    Trophy Points:
    48
    Ratings:
    +1,005
    Lower taxes incentivise investment both by America, and investment dollars outside America.

    Similar thing happened to Ireland when it reducted its corporate tax rates - large companies poured billions into the economy, created tens of thousands of new jobs (significant when you consider Ireland's relatively small population) and the Celtic Tiger boom era followed.

    Unfortunately Ireland's banking system (like much of Europe) is now in crisis much like our own, so they are dealing with that situation and will have a number of tougher years ahead.

    But the basic premise of lower tax rates to create economic growth and prosperity remains sound. Sadly our Democrat leaders appear unwilling to even consider such a possibilty, turning instead to ever larger government...
     
    • Thank You! Thank You! x 1

Share This Page

Search tags for this page

Why capital gains tax shold be abolished