United States | News & Politics

7209 readers

377 users here now

founded 4 years ago

MODERATORS

pangyuehung@lemmy.ml

yogthos@lemmy.ml

161

Washington's capital gains tax collects $850 million, over three times the estimates (www.king5.com)

submitted 1 year ago by MrPhibb@reddthat.com to c/usa@lemmy.ml

7 comments fedilink hide all child comments

you are viewing a single comment's thread
view the rest of the comments

[–] Corkyskog@sh.itjust.works 6 points 1 year ago (1 children)

I would be fine if there was a mandatory 5 year holding period before you could get a light tax break. It is smart to incentivize investment activities.

[–] WetBeardHairs@lemmy.ml 7 points 1 year ago (1 children)

There is. Capital gains taxes are broken into two categories - short term and long term. But stocks transition to long term after only six months and the tax brackets are better than that for normal income.

[–] Corkyskog@sh.itjust.works 2 points 1 year ago (1 children)

6 months is nothing though, just two quarters. It still incentivizes CEOs to make short term decisions. 5 years is a decent time frame that I think would make CEOs rethink the quarterly mentality.

[–] WetBeardHairs@lemmy.ml 2 points 1 year ago

Yeah, I dislike the simplification that brings it down to just two sets of brackets. It really just needs to be an easily tuneable continuous function of profits and time. If you make a fuckton of profit, you'll pay a fuckton of tax. If you wait longer, you pay less tax. If the profit is small enough, guess what? No tax. So the middle class day traders wont lose their ass and they can have some fun. But the whales are going to have to fear Captain Tax Man Ahab, regardless of if they wait 6 months or not.

But I dont make the laws. Wallstreet does.