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The US tax system is regressive by taxing earned income differently than capital gains. It also gives the truly wealthy an opportunity to indefinitely defer or
by tcbawo 7y ago
The US tax system is regressive by taxing earned income differently than capital gains. It also gives the truly wealthy an opportunity to indefinitely defer or avoid realizing gains. The "progressive" US tax code only targets high income/upper middle class individuals.
- rayiner 7y agoTaxing capital gains differently than income is a regressive element, one the US tax code shares with nearly every other country in the OECD. Overall our capital gains tax rates are on the higher end: https://taxfoundation.org/us-taxpayers-face-6th-highest-top-marginal-capital-gains-tax-rate-oecd https://taxfoundation.org/us-taxpayers-face-6th-highest-top-.... But the overall tax system is progressive.
- maehwasu 7y agoThe parent comment made a relative statement (comparison of US to Europe). You responded with an absolute statement (US tax code is not progressive). That’s completely irrelevant to his/her point.