The fundamental problem: The distinction between income and capital gains is a dishonest, disingenuous fallacy to begin with. Income is income is income. If you're gonna tax it, tax it all under the same tax structure.
Agreed. When Grandma sells her house, make sure she pays the full freight of income tax and doesn't get off with a smaller bill on a loophole....
I said the same structure. Which of course makes your post a non-sequitur.
See if you can suss it out for yourself exactly why.
I'm unclear as to what you mean. Maybe you can explain it a little.
If I bought gold in 1990 at $300/oz and sell it at 1500/oz that is certainly a capital gain. Now, some of that will be due to inflation. In some cases all "gain" is really illusory because of inflation.
But are you going to argue that I should pay no tax whatsoever on that gain? Or maybe average it over the time held? What do suggest?