Are Biden’s Historic Tax Hikes Really That Historic? | Talking Points Memo

President Biden’s tax proposal has made an impression.

The markets tanked on leaks on Thursday that the capital gains rate could go up, a policy move Axios described as “eye-popping.” Politico previewed the debate over the proposal earlier this week as a question of “class warfare.”


This is a companion discussion topic for the original entry at https://talkingpointsmemo.com/?p=1371178
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Clearly the GOP thinks that they can get everything for free!

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”The markets tanked on leaks on Thursday that the capital gains rate could go up…”

Seriously?!

Markets fell less than 1%.

They regained all of that today, and gained a percent more – on top of that.

They’re up 10% for the year, and trading close to record highs.

They should “tank” some more!

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I thought it was Dems who gave away free stuff… Haha

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I don’t know how you expect people who are making 100 million dollars a year to survive on 60% of that. It’s just not feasible.

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" A Congressional Research Service report found that the last time the maximum capital gains tax rate was in that range was in the mid-1970s."

And we all know what happened in the mid-1970s…

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What kills me is that Senators from states like AL, MS, WV aren’t all for this. The more revenue taken in means the more $ from blue donor states to subsidize them…

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That’s why I cancelled culture until Punk.

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I say let’s go back to income tax rates of the Eisenhower Administration

and then we get rid of Capital gains tax and tax gains as income.

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they are correct they do get everything for free

the middle 2 quintiles get the bills

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I’ll see your Slim Goodbody, and raise you a Doug Henning.

(And if I have to, I’ll play the “Hello, Larry” I’ve got up my sleeve!)

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Yup. Always is that way. Proportionately, they’ll be fucked the most by this move, like usual.

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Can somebody knowledgeable please explain this bit to me?

The current top long-term capital gains rate is 20 percent. Biden would reportedly hike it to a combined total of 43.4 percent — that’s a top capital gains tax of 39.6 percent for those making one million or more a year plus a proposal that would add a 3.8 percent investment tax on top of the capital gains rate.

Does this mean a long-term cap gains rate of 43.4% on everybody making over a million of ordinary income? In which case, the richies will just make sure their salaries stay safely below $1 million and they’ll keep up the long-running scam of making sure they receive stock instead of income?

Does it instead mean that you’ll get hit with the 43.4% rate if you cash out more than $1 million in capital gains in a year, setting aside whatever ordinary income you may have had? Does the higher rate only apply to cap gains over $1 million per year, with the lower rate still applicable to the first $1 mil?

The actual structure of this thing is not at all clear from the reporting so far.

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Ding ding ding!

Eliminate the corporate tax, the capital gains tax, and the estate tax. Tax it all at the level of the individual receiving the money/property, and tax it all as ordinary income.

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I think all of that is still in the drafting and negotiation stages, that’s why we’re only seeing a handful of data points of gross goals. Devil will definitely be in the details, the middle class will end up fucked, per normal procedure.

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The markets tanked on leaks on Thursday

The market went down by %0.9 that’s NOT “tanking”. The market moved more on Trumps tweets. Why the hell is TPM buying into this propaganda language the business press and Wall Street is pushing??? Is TPM gonna start calling it “class war” too?

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That remains to be seen, and I rather doubt that the White House has any such nonsense in mind.

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Doesn’t matter who is in charge, the middle class tends to get screwed. Note that the top rate is only slightly more for the millionaire, so the folks playing around with a few thousand here or there will end up raped to almost the same level, despite having vastly lower stakes.

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Hey c’mon, be fair - those rates in the 1950s were after years of racking up debt to pay for what seemed like a couple of decades of war. I mean really, it’s not like we sent troops overseas 20 years ago without paying for…

Errr, never mind, please proceed…

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Reporting on business is not a strength of the mainstream media.

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