net worth tax?

bheld · 08-18-2006, 11:47 AM

why not?

Phantom · 08-18-2006, 11:52 AM

too hard to track

I think it's much easier to track transactions

Scrum · 08-18-2006, 11:53 AM

Originally Posted by Phantom

too hard to track

I think it's much easier to track transactions

Yeah people will hide assets. It's much easier to hide them than it is income.

bheld · 08-18-2006, 11:55 AM

you're telling me that with the shit the IRS does now it would be too hard to implement? not buying it.

bheld · 08-18-2006, 11:56 AM

Originally Posted by Scrumtralecent

Yeah people will hide assets. It's much easier to hide them than it is income.

you're crazy. you can hide drug money in your closet but you can't hide that shiny BMW in the driveway.

Phantom · 08-18-2006, 11:58 AM

Originally Posted by bheld

you're crazy. you can hide drug money in your closet but you can't hide that shiny BMW in the driveway.

individuals can lie easily, businesses cannot.

Since businesses report income, dividends etc to IRS, it's easier to track than having clowns look for BMWs in driveways and overseas bank accounts.

Scrum · 08-18-2006, 11:58 AM

Originally Posted by bheld

you're crazy. you can hide drug money in your closet but you can't hide that shiny BMW in the driveway.

You can hide assets offshore.

And yes you can't hide that BMW, but you also expose the money you spent to pay for it.

bheld · 08-18-2006, 12:31 PM

we can find and freeze terrorists' bank accounts worldwide, I don't think finding assets of US citizens in an audit is going to be a big problem.

Publius · 08-18-2006, 12:43 PM

Originally Posted by bheld

we can find and freeze terrorists' bank accounts worldwide, I don't think finding assets of US citizens in an audit is going to be a big problem.

No we don't, we freeze any assets they have in U.S. companies. Our authority only extends as far as our borders and the overseas businesses headquartered in the United States.

bheld · 08-18-2006, 12:57 PM

Originally Posted by Publius

No we don't, we freeze any assets they have in U.S. companies. Our authority only extends as far as our borders and the overseas businesses headquartered in the United States.

finding was the key word. we work in partnership with other countries that handle terrorist assets as well.

Publius · 08-18-2006, 01:00 PM

Originally Posted by bheld

finding was the key word. we work in partnership with other countries that handle terrorist assets as well.

Terrorists are a little bit different from regular people that have assets overseas, I think the fact that you're equating the two here, and implying that governments should treat both the same way with regards to said assets, is rather disturbing.

bheld · 08-18-2006, 01:05 PM

Originally Posted by Publius

Terrorists are a little bit different from regular people that have assets overseas, I think the fact that you're equating the two here, and implying that governments should treat both the same way with regards to said assets, is rather disturbing.

jesus christ, I'm just saying that it's not going to be a problem tracking tax evaders, no more than it is now anyway. chill out a bit and get back with the big picture.

7960 · 08-18-2006, 01:55 PM

Last year I had 400 acres of property valued at $2.8M. This year they found radioactive waste on it so it's now valued at $5.82........ What happens to me in a "net worth tax" situation? Do my taxes go from $900k to $1.90?

Stylerod · 08-18-2006, 02:54 PM

Originally Posted by 7960

Last year I had 400 acres of property valued at $2.8M. This year they found radioactive waste on it so it's now valued at $5.82........ What happens to me in a "net worth tax" situation? Do my taxes go from $900k to $1.90?

That would be nice!

I guess you could keep a VW on cinder blocks in the front yard to lower the value of your home as well!

bheld · 08-18-2006, 02:59 PM

Originally Posted by 7960

Last year I had 400 acres of property valued at $2.8M. This year they found radioactive waste on it so it's now valued at $5.82........ What happens to me in a "net worth tax" situation? Do my taxes go from $900k to $1.90?

if your net worth drops your tax drops

Phantom · 08-18-2006, 02:59 PM

Originally Posted by 7960

Last year I had 400 acres of property valued at $2.8M. This year they found radioactive waste on it so it's now valued at $5.82........ What happens to me in a "net worth tax" situation? Do my taxes go from $900k to $1.90?

this highlights another problem with net worth. What exactly is something worth?

The tax assessments and sale prices for real property in my area has been out of whack for a while now. For a few years the assessments were very low. Now houses are selling for well below assessment value.

How would one value a house?

Stylerod · 08-18-2006, 03:02 PM

Originally Posted by Phantom

this highlights another problem with net worth. What exactly is something worth?

The tax assessments and sale prices for real property in my area has been out of whack for a while now. For a few years the assessments were very low. Now houses are selling for well below assessment value.

How would one value a house?

Heard a story on NPR a while back about some state having what people were calling a "View" tax. Which means if your property has a view of the mountains or ocean, you should be taxed more. So here were people that had lots of acres not near anything that wasn't really worth much having their taxes go up 1000% because they had a nice "view".

bheld · 08-18-2006, 03:07 PM

Originally Posted by Phantom

this highlights another problem with net worth. What exactly is something worth?

The tax assessments and sale prices for real property in my area has been out of whack for a while now. For a few years the assessments were very low. Now houses are selling for well below assessment value.

How would one value a house?

property is probably the easiest thing to assess. Other valuables can be assessed from how much they are insured for. Common items can have standard values. It's not very complicated when you compare it to the system we have now. There's nothing that would be more equitable either.

bheld · 08-18-2006, 03:09 PM

Originally Posted by Stylerod

Heard a story on NPR a while back about some state having what people were calling a "View" tax. Which means if your property has a view of the mountains or ocean, you should be taxed more. So here were people that had lots of acres not near anything that wasn't really worth much having their taxes go up 1000% because they had a nice "view".

that's unrelated to the value of a piece of property. a "view" tax is just an add-on.

bheld · 08-18-2006, 03:20 PM

I'm surprised nobody has expressed any support for this yet. It's a supply-sider's wet dream. With a 5% net worth tax wealthy people are bound to actually invest their money into high-gain investments instead of letting their cash languish in bonds, blue chips, and other wealth-sustaining (rather than wealth-growing) investments.