@rpluim @codinghorror "oops, my income is all foreign and 'already taxed' " through the extremely common practices detailed in the Panama papers and subsequent scandals.
As long as countries allow foreign bank accounts to do whatever they want, nothing will change. The rich can borrow money against assets with unrealized gains at rates like the common person gets as a pitiful savings account interest. (Essentially zero)
The common person also has to pay taxes on unrealized gains (property tax)
@codinghorror also, they have always been a problem.
@codinghorror makes you wonder how they would benefit from it
@codinghorror
Let's get the word "becoming" deleted from that title, please!
@codinghorror fu**ing communists!!!
...wait! 🤔
@codinghorror Now don't make Gavin unhappy, Jeff. He doesn't want to hear it.
@codinghorror
I don't mind when people reduce their taxes.
However, most of these guys pay nothing.
@codinghorror You know the situation must be even worse than you think when the noted class warriors and anti-oligarch firebrands at the WSJ say it's a problem.
@codinghorror Hello friend Greetings 🌺
How are you doing today hope you’re feeling well and your family? You are having a direct text from Elon.
@codinghorror hey Jeff, can you buy this leftist outlet and run it into the ground please. 🙏
@codinghorror Yes, it's a problem, but the answer is not taxing their wealth, it's taxing their income, and making sure they pay inheritance tax at eye watering rates, eg 100% on anything over 10 million USD
@rpluim @codinghorror "oops, my income is all foreign and 'already taxed' " through the extremely common practices detailed in the Panama papers and subsequent scandals.
As long as countries allow foreign bank accounts to do whatever they want, nothing will change. The rich can borrow money against assets with unrealized gains at rates like the common person gets as a pitiful savings account interest. (Essentially zero)
The common person also has to pay taxes on unrealized gains (property tax)
@justenoughducks @rpluim so what do you both propose? How do we improve (not solve, I am not playing the “if it isn’t perfect then don’t even bother” game) on this? Is there no way to improve? Should we all give up now? Elaborate please.
@codinghorror @justenoughducks @rpluim From my surface-level understanding, one big part of it is the ineffectual capital gains tax. The tax is only applied when people sell assets; so instead, they dodge taxes by simply borrowing against their assets' worth. Those asset values keep ballooning while they avoid paying tax on it as long as possible.
I'm inclined to agree there should be an asset tax. People should be disincentivized from hoarding egregious amounts of wealth.
@codinghorror @justenoughducks One proposal that I'm a fan of is a minimum tax rate for corporations and people: "If you have >$x income, then we don't care what loopholes your smart tax lawyers and accountants have found, you must always pay at least 15% tax, even if it's actually earned in a tropical paradise with no taxes".
Although the inheritance tax change I proposed would massively reduce the number of billionaires over the next few decades, so mechanically reducing the problem anyway.
@codinghorror @rpluim I don't know, I am not a financial auditor like those who should propose rules.
If we tax invidual wealth, they will simply make shell companies, if we tax companies' wealth too, companies will die or move, if we make an inheritance tax: they will make family companies (e.g. Family LLCs are a common tax dodging method in the US).
Honestly maybe something like Pepol in the EU is needed for individuals, but that opens up huge areas of abuse also by abusive governments.
