6 ms·

I'm sorry, I lived in a socialist country behind iron curtain. You do not want to repeat same mistakes, if someone worked (few family generations worked for the

by ergo14 8y ago

I'm sorry, I lived in a socialist country behind iron curtain. You do not want to repeat same mistakes, if someone worked (few family generations worked for them, more likely) for those 10 apartments it should be theirs, period.

ska 8y ago
I take your point, (and I'm not supporting parents contention) but it's worth recalling that under Eisenhower the highest progressive marginal tax rate was something like 90% - hardly anyone's idea of a communist state. Unsurprising as the two concepts are quite separable.
- ryanwaggoner 8y ago
  Almost no one actually paid that though: Between 1950 and 1959, he notes, the highest earning 1 percent of Americans paid an effective tax rate of 42 percent. https://slate.com/business/2017/08/the-history-of-tax-rates-for-the-rich.html https://slate.com/business/2017/08/the-history-of-tax-rates-...
  - ska 8y ago
    Yes that's true (and expected, after all that's what the "progressive" part means). Not supporting the silly 10 apartments thing. I'm just pointing out that progressive taxation, even with very high top marginal rates, is not socialism - and we do ourselves a disservice when we pretend it is.
  - scotty79 8y ago
    If UK had progressive property tax that only Duke of Westminster paid, it still would be massive gain for real estate affordability.
- AdrianB1 8y ago
  So if you have on the flag more that one red star you are by definition excepted from communist or socialist measures? The world is more gray than black and white and USA has its share of socialism in it.
  - ska 8y ago
    Of course not, that's silly. So is the idea that progressive property tax (regardless of it's merit or lack thereof as an idea) is logically dismissed as a inevitable step towards eastern-block style communism.
AlexTWithBeard 8y ago
So did I, but still don't get it: your parents worked hard - all the kudos to them. What does it have to do with you and your wealth you've gotten from them for free without even lifting a finger?
- AdrianB1 8y ago
  So what does it have to do with you or anyone else that never lifted a finger, but have expectations? If it is not your family's properties, hands off and move on.
  - AlexTWithBeard 8y ago
    Me? Well, net I pay more taxes that I receive back in services. Just want to make sure those who got there money from the parents do participate as well.
    - ergo14 8y ago
      Their parents already paid the taxes for the money they gave to their children.
      - CharlesDodgson 8y ago
        They paid tax on the money they earned, they worked for it. This one time payment doesn't absolve their heirs from receiving the money in perpetuity without paying a single penny of tax on the same money in the future. People get high and might and see it as some sort of double tax, inheritance tax is the price heirs pay for receiving money they didn't earn through their own means. I'm not saying every penny should be taxed, sure have a threshold.However if you are 35 with no great skills and just waiting for a grand-parent to pass and inherit $/€/£3m. With the sole aim of buying 5-10 apartments and living off punitive rent you charge others who don't have rich grandparents, then you should be taxed to the hilt.
        ergo14 8y ago
scotty79 8y ago
I'm not saying anything should be taken away from anyone. Just taxed. Taxed enough to encourage you to do something with the property you sit on. Like ensuring you rent it at full capacity or sell it if it's not worth renting (because of tax). Tax is so low right now that you can sit on whole lot of properties for years and not even bother to rent them and still not loose much money. That seriously harms others and should be at least effectively discouraged.
- dantheman 8y ago
  > I'm not saying anything should be taken away from anyone. Just taxed. That's inconsistent.
  - scotty79 8y ago
    Only if you believe tax is taken from you. Many people pay taxes without feeling they are being wronged in any way. Many people actually take pleasure from paying taxes. Weird. I know.
    - ergo14 8y ago
      The income from renting is already taxed, yes? The income used to buy the housing is already taxed, yes? What more is there to tax?
      - speedplane 8y ago
        Income used to pay interest on a home is not taxed (up to a limit). Paying interest (not principal) on a home mortgage is pretty much money down the drain (no wealth accumulation, a fee for the right to hold the debt). In this way, interest payments for housing you own are somewhat comparable to rent payments for housing you don't own. The fact that income paid to interest is not taxed, yet income paid to rent is taxed can create a significant advantage to owning versus renting.
      - scotty79 8y ago
        Income tax is not the only tax. There's tax on fuel, on tobacco. You tax cheap harmful things to make them more expensive to discourage them. Hoarding property is harmful and should be discouraged. As a side note I think income tax should be 0. VAT as the main source of income seems way more just to me. Plus various taxes to make the environmental cost of activity known to the market (like CO2 tax, fuel tax) or tax on harmful things (like tobacco) to discourage them.

by ergo14 8y ago

ska 8y ago

I take your point, (and I'm not supporting parents contention) but it's worth recalling that under Eisenhower the highest progressive marginal tax rate was something like 90% - hardly anyone's idea of a communist state. Unsurprising as the two concepts are quite separable.

ryanwaggoner 8y ago
Almost no one actually paid that though: Between 1950 and 1959, he notes, the highest earning 1 percent of Americans paid an effective tax rate of 42 percent. https://slate.com/business/2017/08/the-history-of-tax-rates-for-the-rich.html https://slate.com/business/2017/08/the-history-of-tax-rates-...
- ska 8y ago
  Yes that's true (and expected, after all that's what the "progressive" part means). Not supporting the silly 10 apartments thing. I'm just pointing out that progressive taxation, even with very high top marginal rates, is not socialism - and we do ourselves a disservice when we pretend it is.
- scotty79 8y ago
  If UK had progressive property tax that only Duke of Westminster paid, it still would be massive gain for real estate affordability.
AdrianB1 8y ago
So if you have on the flag more that one red star you are by definition excepted from communist or socialist measures? The world is more gray than black and white and USA has its share of socialism in it.
- ska 8y ago
  Of course not, that's silly. So is the idea that progressive property tax (regardless of it's merit or lack thereof as an idea) is logically dismissed as a inevitable step towards eastern-block style communism.

AlexTWithBeard 8y ago

So did I, but still don't get it: your parents worked hard - all the kudos to them. What does it have to do with you and your wealth you've gotten from them for free without even lifting a finger?

AdrianB1 8y ago
So what does it have to do with you or anyone else that never lifted a finger, but have expectations? If it is not your family's properties, hands off and move on.
- AlexTWithBeard 8y ago
  Me? Well, net I pay more taxes that I receive back in services. Just want to make sure those who got there money from the parents do participate as well.
  - ergo14 8y ago
    Their parents already paid the taxes for the money they gave to their children.
    - CharlesDodgson 8y ago
      They paid tax on the money they earned, they worked for it. This one time payment doesn't absolve their heirs from receiving the money in perpetuity without paying a single penny of tax on the same money in the future. People get high and might and see it as some sort of double tax, inheritance tax is the price heirs pay for receiving money they didn't earn through their own means. I'm not saying every penny should be taxed, sure have a threshold.However if you are 35 with no great skills and just waiting for a grand-parent to pass and inherit $/€/£3m. With the sole aim of buying 5-10 apartments and living off punitive rent you charge others who don't have rich grandparents, then you should be taxed to the hilt.
      - ergo14 8y ago

scotty79 8y ago

I'm not saying anything should be taken away from anyone. Just taxed. Taxed enough to encourage you to do something with the property you sit on. Like ensuring you rent it at full capacity or sell it if it's not worth renting (because of tax). Tax is so low right now that you can sit on whole lot of properties for years and not even bother to rent them and still not loose much money. That seriously harms others and should be at least effectively discouraged.

dantheman 8y ago
> I'm not saying anything should be taken away from anyone. Just taxed. That's inconsistent.
- scotty79 8y ago
  Only if you believe tax is taken from you. Many people pay taxes without feeling they are being wronged in any way. Many people actually take pleasure from paying taxes. Weird. I know.
  - ergo14 8y ago
    The income from renting is already taxed, yes? The income used to buy the housing is already taxed, yes? What more is there to tax?
    - speedplane 8y ago
      Income used to pay interest on a home is not taxed (up to a limit). Paying interest (not principal) on a home mortgage is pretty much money down the drain (no wealth accumulation, a fee for the right to hold the debt). In this way, interest payments for housing you own are somewhat comparable to rent payments for housing you don't own. The fact that income paid to interest is not taxed, yet income paid to rent is taxed can create a significant advantage to owning versus renting.
    - scotty79 8y ago
      Income tax is not the only tax. There's tax on fuel, on tobacco. You tax cheap harmful things to make them more expensive to discourage them. Hoarding property is harmful and should be discouraged. As a side note I think income tax should be 0. VAT as the main source of income seems way more just to me. Plus various taxes to make the environmental cost of activity known to the market (like CO2 tax, fuel tax) or tax on harmful things (like tobacco) to discourage them.