Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News Editorials & Other Articles General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

Washington

elias7

(4,223 posts)

1. Does anyone have insight as to why long term cap gains are not adjusted for inflation?

Reply to Yo_Mama_Been_Loggin (Original post)

Tue Jul 23, 2024, 01:38 PM

Jul 2024

A $100,000 asset purchased in 2007 needs to have gained 47% to keep pace for inflation, meaning that if an asset gained 47% to $147,000, you have gained nothing, yet you pay a 7% (or in most places around 15%) cap gains tax. IOW, you come out behind unless you correct for inflation. I’m all for fairness on taxing investment gains, but where is the fairness in paying tax on a real loss?

Edit history

Please sign in to view edit histories.

Recommendations

0 members have recommended this reply (displayed in chronological order):

1 replies

= new reply since forum marked as read

Highlight:

Protecting the capital gains tax is good for our economy and tax equity [View all] Yo_Mama_Been_Loggin Jul 2024 OP

Does anyone have insight as to why long term cap gains are not adjusted for inflation? elias7 Jul 2024 #1