Biden creates an economic crisis--Unemployment, Inflation, risk of STAGLFATION increasing

[Chef Jim]

52 minutes ago, Irv said:

Appraisers will be needed for everything:  cars, boats, homes, jewelry, art, land, uncut lumber, unharvested fruits and grains, precious metals, stock options, You name it. What a mess.  
 

 

 

And figuring out what the basis is on all that.  It's dumb and it's all done for show.  But why does no one ask him "Mr President.  Do you agree that it will be an annual accounting nightmare to figure out the market value as well as the basis of those assets?"  I was thinking you'd only need to compute basis once but you buy a home for $1,00,000 and you put $500k worth of work into it in any given year the new basis is $1,500,000.  There are not enough appraisers/CPA/Accounts in the world to figure this all out. I have to agree with you.....WAM!!  

[sherpa]

1 hour ago, Irv said:

Appraisers will be needed for everything:  cars, boats, homes, jewelry, art, land, uncut lumber, unharvested fruits and grains, precious metals, stock options, You name it. What a mess.  
 

 

 

Nope.

Just one.

Elizabeth Warren.

 

The concept is insane.

Jefferson warned us centuries ago about having lawyers run the country.

Now its proposed to be lawyers and accountants.

[Over 29 years of fanhood]

1 hour ago, Chef Jim said:

I would assume the unrealized losses would be used to offset the unrealized gains. 🤷🏻‍♂️ It would be a total accounting cluster *****.  The amount of accounting work that would be required on an annual basis to determine current market value vs basis for these wealthy people would be crazy.  And the amount of accounting shenanigans that will likely go on?  They don’t think before they throw this ***** out there.  
 

So instead of bitching I have ideas. First get rid of the step up in basis.  You inherit the basis. So if/when you sell the asset you pay gains from when the asset was originally purchased. No more inter-generational wealth being passed on via the step up. Second bring back the stretch IRA that the Trump administration did away with.  There are so many flaws in this.  I understand the reasoning was to collect tax dollars today instead of spreading it out over a lifetime.  But again, so many issues with this. Third incentivize Roth conversions.  This would alleviate the taxes lost by bringing back the stretch. Not sure how you incentivize them other than education.  But they are a great tool. 

I’m all for taxing the daylights out of inheritance. The very last reason anyone should become wealthy is because their daddy was. 

[Chef Jim]

1 minute ago, Over 29 years of fanhood said:

I’m all for taxing the daylights out of inheritance. The very last reason anyone should become wealthy is because their daddy was. 

 

Taxed upon inheritance?  

[sherpa]

2 minutes ago, Over 29 years of fanhood said:

I’m all for taxing the daylights out of inheritance. The very last reason anyone should become wealthy is because their daddy was. 

 

That gets very complicated when real estate is part of the calculus.

 

Bills fans are no stranger to appreciating assets and the tax problems they cause.

[Over 29 years of fanhood]

1 minute ago, Chef Jim said:

 

Taxed upon inheritance?  

Yes. And Sure there are caveats and challenges to be considered as with all proposed solutions, but generational wealth transfer is a fundamental problem, for lots of reasons.  Everyone should have to earn their own way to some degree, and it shouldn’t be that one wealthy billionaire can spawn hundreds of years of wealthy descendants. 

[SoCal Deek]

6 minutes ago, Over 29 years of fanhood said:

I’m all for taxing the daylights out of inheritance. The very last reason anyone should become wealthy is because their daddy was. 

I didn’t make the money I have so that YOU could take what’s left of it when I die….rich or not. 

[Chef Jim]

1 minute ago, Over 29 years of fanhood said:

Yes. And Sure there are caveats and challenges to be considered as with all proposed solutions, but generational wealth transfer is a fundamental problem, for lots of reasons.  Everyone should have to earn their own way to some degree, and it shouldn’t be that one wealthy billionaire can spawn hundreds of years of wealthy descendants. 

 

That's asinine!  

 

It would be a huge boon for the life insurance industry.  

[Over 29 years of fanhood]

4 minutes ago, SoCal Deek said:

I didn’t make the money I have so that YOU could take what’s left of it when I die….rich or not. 

I don’t want it- I’m a net payer by a whole lot. But why should Deek the third be wealthy just because you were? 
 

Todays Plutocracy is a thinly veiled monarchy of yesteryear. 

[sherpa]

8 minutes ago, Over 29 years of fanhood said:

 But why should Deek the third be wealthy just because you were? 
 

 

Because Deek the first took risk and invested capital to ensure it for his progeny, like we all try to do.

The government has never proposed a reasonable solution to this, and having a third party determine asset value is crazy.

[Over 29 years of fanhood]

19 minutes ago, Chef Jim said:

 

That's asinine!  

 

It would be a huge boon for the life insurance industry.  

 
Got it, you are for wealthy elites ruling the roost for generations then correct? 

2 minutes ago, sherpa said:

 

Because Deek the first took risk and invested capital to ensure it for his progeny, like we all try to do.

The government has never proposed a reasonable solution to this, and having a third party determine asset value is crazy.

Deek the first was rewarded for his risk by generating vast wealth for himself. It certainly wasn’t a risk shared by Deek the third who received the hand down after Deek unfortunately and eventually passed on.  

Edited March 29, 2022 by Over 29 years of fanhood

[SoCal Deek]

12 minutes ago, Over 29 years of fanhood said:

I don’t want it- I’m a net payer by a whole lot. But why should Deek the third be wealthy just because you were? 
 

Todays Plutocracy is a thinly veiled monarchy of yesteryear. 

Because Deek the third is why and who I saved MY money for! What did you for me? Did I not donate enough of my money every April 15th? Will not Deek the Third continue to do so with any gains from it next April 15th? 

[Chef Jim]

1 minute ago, Over 29 years of fanhood said:

 
Got it, you are for wealthy elites ruling the roost for generations then correct? 

Huh?  This would affect everyone not just the wealthy. 🙄

 

As a matter of fact the middle class would likely get ***** in the ass harder. As usual. 

[Over 29 years of fanhood]

1 minute ago, Chef Jim said:

Huh?  This would affect everyone not just the wealthy. 🙄

 

As a matter of fact the middle class would likely get ***** in the ass harder. As usual. 

So set a floor and rapid escalating rate of taxation….  I mean a little exercise in constructive thinking maybe… 🙄 

So where should the tax money come from?  I personally fund a small neighborhood of households every year. But they tell me it’s not enough. 

[SoCal Deek]

2 minutes ago, Over 29 years of fanhood said:

So set a floor and rapid escalating rate of taxation….  I mean a little exercise in constructive thinking maybe… 🙄 

So where should the tax money come from?  I personally fund a small neighborhood of households every year. But they tell me it’s not enough. 

How about if we want everyone to reap the benefit from this ‘village’ then we have everyone pay the same percentage of their income into maintaining it?
 

And, how about we significantly lower the cost of maintaining the ‘village’? 

[Over 29 years of fanhood]

1 minute ago, SoCal Deek said:

How about if we want everyone to reap the benefit from this ‘village’ then we have everyone pay the same percentage of their income into maintaining it?
 

And, how about we significantly lower the cost of maintaining the ‘village’? 

All for the second one, to the first, your thinking is someone making 30k per year should pay rhe same portion of their income to taxes like someone who makes several million? 

[Chef Jim]

4 minutes ago, Over 29 years of fanhood said:

So set a floor and rapid escalating rate of taxation….  I mean a little exercise in constructive thinking maybe… 🙄 

So where should the tax money come from?  I personally fund a small neighborhood of households every year. But they tell me it’s not enough. 

Yes constructive thinking indeed. So your idea is to create something that has never been done before?  Tax unrealized gains?  Tax illiquid assets?  Where’s the liquidity going to come from?  Lots of family businesses well be sold and likely for pennies on the dollar.  Again….asinine. 
 

My idea of doing away with the basis step up makes a lot more sense. 

[SoCal Deek]

Just now, Over 29 years of fanhood said:

All for the second one, to the first, your thinking is someone making 30k per year should pay rhe same portion of their income to taxes like someone who makes several million? 

Yes…they should. You’ll be surprised how fast this will accomplish goal Number Two.

 

And before you think I’m totally nuts, I’ve long proposed a system of transition where this would be put into place. Nobody cares about their GROSS income. They only care about their NET income. It wouldn’t be hard to make the adjustment in everyone’s GROSS so that their 2023 NET would remain unchanged. 

[sherpa]

It would be enormously informative if some think tank would model a simulation to see what a taxation of unrealized gains would cause.

At what date would this determination of asset values be made?

Can you imagine the market distortions this would cause in the month prior to this date.

 

It is a horrible idea, but leads to the greater point, which is that the less government screws with the personal, financial choices of those who fund it, the better.

32 minutes ago, Over 29 years of fanhood said:

Deek the first was rewarded for his risk by generating vast wealth for himself. It certainly wasn’t a risk shared by Deek the third who received the hand down after Deek unfortunately and eventually passed on.  

 

The problem with that is Deek the first might not be willing to take that risk and create that wealth if he knew if was going to confiscated by the least efficient spending institution in history.

[Over 29 years of fanhood]

8 minutes ago, Chef Jim said:

Yes constructive thinking indeed. So your idea is to create something that has never been done before?  Tax unrealized gains?  Tax illiquid assets?  Where’s the liquidity going to come from?  Lots of family businesses well be sold and likely for pennies on the dollar.  Again….asinine. 
 

My idea of doing away with the basis step up makes a lot more sense. 

the thought is to put an end to the scenario where some billionaire like Rockefeller spawns hundreds of years of wealthy descendants. The mechanics of how to achieve that are a welcome Conversation 

 

That illiquid asset argument doesn’t do it for me.  Gramps keeled over so I now own his 5000 acre farm? Poor me.. it’s still an asset I didn’t earn myself. 
 

Why is everyone so afraid to stand on their own two feet?