If the Supreme Court sides with the federal government on this, it would allow the federal government to essentially confiscate virtually all assets of the American people, including your stocks, your home, your land, your gold, everything, almost everything.
Now, importantly, if the Supreme Court rules that the federal government can tax unrealized gains, that is paper profits, on investments that American citizens hold, then that would be absolutely catastrophic for the American people for their savings, for their assets, for their retirement funds, everything.
If the supreme court rules in favor of the government and allows it to redefine the income to include any unrealized appreciation in any asset, that it will grant the federal government a new power to nationalize the entire asset stock of the nation.
Essentially, if you're holding house or land, or gold or stocks, and the paper value goes up, the government would force you to pay the gains on the paper value in dollars, even though you haven't sold those assets, and you have no cash flow to even pay the gains.
If the IRS can tax your unrealized gains, your paper gains on assets you hold, then they can force you to sell them.
The reason liberals are freaking out is because they want to impose wealth taxes on everybody and everything in order to fund their continued expansion of government welfare programs and government spending and war spending and everything else.
No comments:
Post a Comment