You bought 100 shares of Zoom stock in Jan 2020 for $75 per share
Ends year at $350 per share but you didn’t sell giving you an unrealized gain $27.5k
Under Kamala’s plan you owe $6,875 in taxes (25% of $27.5k)
But you didn’t sell so you don’t have the cash. you pay taxes out of savings
You continue to hold until August 2024. Finally sell for $60 per share
You LOST $1,500 on the stock PLUS you paid the taxes on the $27.5k of “gains” you never actually received since they evaporated
The initial tax proposal is only targeting $100M+ but that’s just the start. It opens the gates to lower the threshold whenever they choose
Before you know it every person who owns a stock is paying this tax
People stop buying stocks. Companies have less capital to invest into new products and develop technology
Economy tanks. Jobs lost
What a joyful future
Long ago. The claim was millionaires didn't pay taxes. So they passed a law. The alternative minimum tax.
For some reason, I as an hourly employee, have had to calculate and pay this tax 4 times in the last 15 years. While I haven't had fear of starving, I am not rich. So whenever they go after millionaires, it is really you that is the target. Because millionaires have given more to politicians after these alleged increases. They will not punish those who flood their coffers.