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Capital Gains Taxes

coveyrise Wrote: Oct 03, 2012 6:47 PM
What is the advantage of increasing taxes or taxing the same dollar more than once? Capital Gains are dollars earned from investing dollars that have already been taxed when they were earned the first time. ' Inheritance Tax is a tax on money that was already taxed when the dead person earned it in the first place. Increasing Tax Rates takes capital out of the economy that would have either been saved, spent or invested. In any of these cases it generates a greater economy. Once it's taxed the dollars taken as a tax have a value is less than half of what it was if left in the Private Sector.
FlamingLiberalMultiCulturalist Wrote: Oct 03, 2012 7:39 PM
"What is the advantage of increasing taxes or taxing the same dollar more than once?"

If we did not, then we'd have to print more money in order to collect any more tax, right?

One of the many false talking points of the Obama administration is that a rich man like Warren Buffett should not be paying a lower tax rate than his secretary. But anyone whose earnings come from capital gains usually pays a lower tax rate.

How are capital gains different from ordinary income?

Ordinary income is usually guaranteed. If you work a certain amount of time, you are legally entitled to the pay that you were offered when you took the job. Capital gains involve risk. They are not guaranteed. You can invest your money and lose it all. Moreover, the year...