3 ms·
Just impose a tax when capital gains exceed some annual threshold averaged over a time period (say 5 years). Also, make everything after the first, say, $1m tax
by sfblah 5y ago
Just impose a tax when capital gains exceed some annual threshold averaged over a time period (say 5 years). Also, make everything after the first, say, $1m taxable on withdrawal at cap gains rates. It’s super easy to fix this.
- godelski 5y agoI mean I'd be perfectly okay with adding a third criteria to my list being something like "max holdings of $10m (tied to inflation) and returns higher than that are taxed as capital gains." That's enough to ensure a luxurious retirement. But I do think the other parts are helpful and would help reduce other avenues for abuse. The IRA was intended for lower and middle class people to build retirement investments. Also 1m seems low for the maximum. At least IMO.
- nrdvana 5y ago> The IRA was marketed as a way for lower and middle class people to build retirement investments. The pessimist in me FTFY
- sfblah 5y agoRight. It's actually pretty easy to craft tax laws that help the middle class and below without enabling someone to have a $5B tax-free slush fund. People that argue the current situation is reasonable are just being silly.