Post #15143 by Dope1 on the US Policy board

Halls of Shrewd'm / US Policy

Unthreaded | Threaded | Whole Thread (90)

Post New | Post Reply | Report Post | Recommend It!

No. of Recommendations: 1

My point is unrealized gains are in the abstract and will remain so until accessed for some other purpose. That is when current tax code collects the taxes due and that seems fair to me. If there is any unfairness, it would be forcing Mr. Savvy to pay taxes now in real dollars today for abstract future gains that may or may not be realized. Until that boat is in his Driveway. Mr Savvy should not be taxed on the potential of him buying it.

It gets even better. Let's take Mr. Savvy and his other neighbor, Mr. Party.

Mr. Savvy, in addition to buying AAPL, NVIDIA, etc. also chose to buy his house. Over the course of his next 30 years Mr. Savvy made his mortgage payments on time and dutifully paid his property taxes.

Mr. Party went the other way, and rented his home the entire time. He paid no property taxes but did grumble when his rent was periodically increased so as to help his landlord cover the tax.

Is it "fair" that Mr. Savvy should be taxed on the appreciated value of his home? He is in fact paying more property taxes as the assessed value of his home rises.

Meanwhile Mr. Party votes in politicians that want to impose rent control.

Post New | Post Reply | Report Post | Recommend It!

Print the post

Unthreaded | Threaded | Whole Thread (90)

Prev | Next

Announcements

US Policy FAQ

Contact Shrewd'm
Contact the developer of these message boards.

A community forum supporting civilized, and highly helpful, self-educating investors that come together for Shrewdness and merry spirits. These message boards closely follow the look and feel of the old message boards at boards.fool.com prior to the boards redirected to discussion.fool.com. Shrewd'm is not affiliated with the comprehensive and excellent investment website, The Motley Fool (TMF), in any way. The Shrewd commmunity here has owed, and continues to owe, gratitude to The Motley Fool for nurturing a culture of jovial irreverence towards Wall St, and that tradition will continue here.