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Tuesday, January 24, 2012

Index Capital Gains

This is important to get on the table.
Right now it is often fair for gains to be taxed at a lower rate because they are not really gains
they are just phantom gains caused by the decline of value of the dollar from inflation
but there is a solution to this
index the gains to inflation
get rid of the preferential tax rate and instead index the gains

if you have held an asset for many years the phantom gain might be 60% or more!
that should not be taxed

only real gains should be taxed
only real gains should be taxed

INDEX GAINS
so that we are only taxed on real gains not the illusory gains caused by the loss of value of the dollar

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