Buffett: Tax the Rich

[Emperor_Gestahl]

But I still don't understand why that kind of regressive taxation is acceptable to so many.

Like I say the argument is always dragged out that investment will come to a halt and all the markets will crash if we look into capital gains. More likely the people who decide what candidates the corporate money goes to would prefer we didn't. And the people who pay the lobbyists. And the politicians who take the money, including Obama's generous contributions from the plutocrats at Goldman Sachs et al.

(edit)So yeah I agree with Buffett but I think the people pulling levers at the good ol multinational plutocorps won't stand for a hike in capital gains tax. They'll threaten you with the collapse of civilization (like last time something they hated almost happened) if you try it.

 

[jimtron]

Like I say the argument is always dragged out that investment will come to a halt and all the markets will crash if we look into capital gains. More likely the people who decide what candidates the corporate money goes to would prefer we didn't. And the people who pay the lobbyists. And the politicians who take the money, including Obama's generous contributions from the plutocrats at Goldman Sachs et al.

(edit)So yeah I agree with Buffett but I think the people pulling levers at the good ol multinational plutocorps won't stand for a hike in capital gains tax. They'll threaten you with the collapse of civilization (like last time something they hated almost happened) if you try it.

Cap gains tax was in the 20-something percent in the 90s, didn't seem to hurt investments or the market (Emperor, I know you're not making this argument).

What's the best argument against raising capital gains in this thread?

 

[L.Y.S.]

People need to pay their fair share of tax, which includes the rich. My father falls into the 35% tax bracket. Rich people need to start paying. I know I sound like a bloke but there is some truth to what I'm saying.

 

[Ziggurat]

People need to pay their fair share of tax, which includes the rich. My father falls into the 35% tax bracket. Rich people need to start paying. I know I sound like a bloke but there is some truth to what I'm saying.

Why are you referring to your father's tax bracket and not your own? Are you still living off your parents?

 

[daenku32]

Why are you referring to your father's tax bracket and not your own? Are you still living off your parents?

I assume his father is in the TOP tax bracket, even thought he makes LESS than people like Buffett, and other such CEOs who pay at smaller tax rates.

 

[Mister Agenda]

I assume the capital gains tax hike that is being proposed would be graduated such that it wouldn't apply to someone like his father, who currently is unlikely to be paying more than rich people on that income...his father might not be happy with his capital gains tax going up. Of course, you could raise the capital gains tax to 50%, only if your gains are over a million a year, and it wouldn't affect greatly how much Buffet is likely to pay in taxes.

 

[Emperor_Gestahl]

We do have convenient things like IRAs and whatnot that regular lower and middle class people can use so as not to worry about capital gains tax. If you want to trade and buy a yacht tomorrow with the proceeds I'm not sure I mind your taxes going up.

But again, I don't think we have much hope of closing our deficits with tax hikes regardless.. Not spending cuts either anymore..

 

[Cuddles]

Derail removed to AAH.

Replying to this modbox in thread will be off topic  Posted By: Cuddles

 

[not_so_new]

“In theory, some of those loopholes were understandable, but in practice they sometimes made it possible for millionaires to pay nothing, while a bus driver was paying ten percent of his salary, and that’s crazy. Do you think the millionaire ought to pay more in taxes than the bus driver or less?”

Anyone want to take a guess who said that?




http://www.youtube.com/watch?v=cgbJ-Fs1ikA&feature=player_embedded

 

[Emperor_Gestahl]

“In theory, some of those loopholes were understandable, but in practice they sometimes made it possible for millionaires to pay nothing, while a bus driver was paying ten percent of his salary, and that’s crazy. Do you think the millionaire ought to pay more in taxes than the bus driver or less?”

Here's a tip, cos they'll make a big deal of this every time, don't say the bus driver pays "more taxes" than the millionaire because technically even if it's a smaller percent a rich guy is paying "more" in taxes numerically than any bus driver (well I dunno what a CA bus driver makes nowadays). They have numbers about how the rich pay a larger total portion of raw taxes nowadays or some such that gets dragged in as a result, tho I suppose I've dragged it in myself by warning you.

(edit: I suppose I'm giving advice to Reagan's ghost..)

(edit 2) Personally I agree with Reagan/Obama on this one, prosperity is a relative thing and percentages are closer to reality IMO than raw numbers. Just warning of a nitpick minefield that's easy to walk into.

 

[Robrob]

We do have convenient things like IRAs and whatnot that regular lower and middle class people can use so as not to worry about capital gains tax. If you want to trade and buy a yacht tomorrow with the proceeds I'm not sure I mind your taxes going up.

But again, I don't think we have much hope of closing our deficits with tax hikes regardless.. Not spending cuts either anymore..

Although IRA's are limited to a few thousand dollars a year and are phased out if you make more than a certain amount in a year.

 

[mhaze]

Right, IRAs DO NOT eliminate the threat of the capital gains tax affecting the middle class. The primary way that the cap gains tax affects the little guy is when he sells a house, or say a rental property, or stocks owned longer than one year.

Also, IRAs and other retirement plans may soon lose favor with the public. The main attraction these have is the expectation of a lower tax later in life than currently.

Many people are starting to think that's not going to be the case.

 

[mhaze]

“In theory, some of those loopholes were understandable, but in practice they sometimes made it possible for millionaires to pay nothing, while a bus driver was paying ten percent of his salary, and that’s crazy. Do you think the millionaire ought to pay more in taxes than the bus driver or less?”

Anyone want to take a guess who said that?

http://www.youtube.com/watch?v=cgbJ-Fs1ikA&feature=player_embedded

Given the current regulations concerning AMT, in today's tax environment, arguments like this are patently false.

In other words, we've already fixed the problem (a couple of times).

 

[LTC8K6]

“In theory, some of those loopholes were understandable, but in practice they sometimes made it possible for millionaires to pay nothing, while a bus driver was paying ten percent of his salary, and that’s crazy. Do you think the millionaire ought to pay more in taxes than the bus driver or less?”

Anyone want to take a guess who said that?




http://www.youtube.com/watch?v=cgbJ-Fs1ikA&feature=player_embedded

Taken out of context. In 1986 Reagan was seeking to slash the top income tax rate.

http://www.powerlineblog.com/archives/2011/10/there-they-go-again-2.php