• Bytemeister@lemmy.world
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    6 months ago

    No, count unrealized asset value as income.

    You gained 2 billion in stock value, but didn’t sell? You get taxed on that stock gain.

    • breetai@lemmy.world
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      6 months ago

      I can’t support that. I myself once had 20 million in stock options but couldn’t sell it. By the time I could sell it, it was worth zero. Yet you in your system I would have paid taxes on it. Stock fluctuates in value to much. We just need way to force them sell the stock and then tax the stock as ordinary income.

        • breetai@lemmy.world
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          6 months ago

          Well if I had to pay unrealized gains I’d have zero but have to pay taxes on 20 million.

          It’s why we don’t do it. It would be overly complicated.

          • Bytemeister@lemmy.world
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            6 months ago

            No, you would pay taxes on the unrealized gains of your assets. So if your assets are worth 0, then you pay 0. If they are worth 20mil, then you pay taxes on 20mil.

            Just a quick reminder, one of the main principles of capitalism is risk vs reward.

            • breetai@lemmy.world
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              6 months ago

              That’s my point. They were worth 20 million. Due to legal restrictions I couldn’t sell. As such I would have to pay taxes on 20 million. When I could sell they were worth zero.

              So I would have ended up negative.

              • Bytemeister@lemmy.world
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                6 months ago

                Sounds like that stock wasn’t worth the risk then. That’s capitalism in a nutshell brahski, people lose money betting on the market every day.

                • breetai@lemmy.world
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                  6 months ago

                  It was part of my compensation. It didn’t cost me anything.

                  It’s naive to think we will ever tax unearned income. Not only is it against the law, it would destroy everyone.

      • Bytemeister@lemmy.world
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        6 months ago

        Pretty sure that is not what I said. Anyway, you are already taxed on the value of your home on a yearly basis, regardless if you sold it or not. Take your ball and go home.

        • breetai@lemmy.world
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          6 months ago

          What he is saying your home is an unrealized gain which is true.

          While we pay property taxes they are a small percentage and based on the tax value and not the fair market.

          While not a fan of property tax they at least directly impact you by providing value to your local area. Why I don’t bitch much about property taxes. I’d rather pay those than federal taxes.

        • Pogogunner@sopuli.xyz
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          6 months ago

          You’re not taxed on the full appreciation of your home at income tax rates. If the government did, the tax on the appreciation would price people out of their homes.

          • Bytemeister@lemmy.world
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            6 months ago

            Really? We should let the people in the low income areas of my city that just saw their valuations jump up know, because that is exactly what is happening to them. Property value went up 300%, so did the taxes.