2 ms·
Capital gains taxes are discounted to compensate for inflation. (10-20% vs 30-40%). It's not perfect but it's an estimate. Also, capital gains are unearned.
by lupire 3y ago
Capital gains taxes are discounted to compensate for inflation. (10-20% vs 30-40%). It's not perfect but it's an estimate.
Also, capital gains are unearned.
- npoc 3y agoCPI is a useless metric. It doesn't take into that goods and services are going down in value over time (at around 5% per year), and doesn't include hard assets that retain their value such as housing. It's a trick. > Also, capital gains are unearned. On average, capital gains aren't gains at all. They are simply the price of your asset going up, not its value. Housing is a perfect example - it increases in price at the same rate at which the dollar is devalued through supply increase.