4 ms·

Let's first change the law to not let them borrow against their unrealized assets tax free. In fact the tax to get a loan should be higher then if you sold your

Let's first change the law to not let them borrow against their unrealized assets tax free. In fact the tax to get a loan should be higher then if you sold your shares at a company to discourage this crap. Or limit the total amount or forbid it outright.

chatmasta 3y ago
But they eventually need to sell some assets to repay the loan, right? They'll pay tax when they sell them.
- HDThoreaun 3y ago
  If they have a 3% interest loan and their assets grow at 5% per year, then no, they never need to repay the loan.
  - chatmasta 3y ago
    What about when they die?
    - roflyear 3y ago
      Certain assets mature without tax implications. You can take out the loan on the equities, then as your bonds mature, pay down the loan.
      - voisin 3y ago
        > Certain assets mature without tax implications. There’s the problem.