Yes, but you earn interest on the deferred tax. Look at a tax rate of 35%, take your 8% gains take 35% off of that and you're left with 5.2% compound 5.2% again

Yes, but you earn interest on the deferred tax. Look at a tax rate of 35%, take your 8% gains take 35% off of that and you're left with 5.2% compound 5.2% against 8% for 40 years and look what you're left with. I'd much rather pay a higher tax rate later than now.