undefined | Better HN

0 pointsCPLX1y ago0 comments

> Unfortunately, history provides us with examples of societies that confiscated the wealth of the wealthy

Get out of here with this melodrama.

We’re in a society that had higher more progressive tax rates as recently as the 1960’s. This isn’t some science fiction dystopia people are advocating for, just a return to the slightly fairer system we had before organized PR campaigns of the elites brought us the increasingly unequal dystopia we’re actually currently experiencing.

0 comments

WalterBright1y ago

> We’re in a society that had higher more progressive tax rates as recently as the 1960’s.

That's only superficially true. There were a lot more deductible things in those days, like company cars and 3 martini lunches. Tax shelter investing was de rigueur then. (Tax shelter investing is an inefficient diversion of resources into unproductive investments.) Reagan traded away the tax shelters and tax deductions for lower tax rates, which turned out rather well.

Washington state has enormously higher tax rates today than in the 60s. Sales tax, property tax, estate tax, and now an income tax.

https://dor.wa.gov/about/statistics-reports/history-washingt...

CPLXOP1y ago

Sure, and we also didn't have the fucking insanity of step-up-basis and our current approach of literally not taxing the accumulation of wealth, ever, for those at the top of the pyramid. We also had unions.

We can trade examples all day but the fact is that the tax burden on the very wealthy has plummeted and income inequality has skyrocketed. Those are broad measurable facts.

Things suck more as a result. I'm not a young guy, I've watched the change.

WalterBright1y ago

The step-up basis happens when you die. But then you get hit with a 40% federal estate tax and a 20% Washington estate tax on that stepped up basis.

Since you're not young, if you'd invested a modest sum in AMZN in the 1990s you'd be a millionaire several times over today. Same for MSFT. And Apple.

How does other people having more than you take away from you?

CPLXOP1y ago

1. As I’m sure you well know the estate tax exemption is measured in 8 figures at this point, so no, you don’t “pay 40%” to the federal government. And that’s leaving aside the fact that the dead person can make billions in capital gains, spend it wildly (via loans) and never pay a fucking dime of taxes on it at all. Nobody ever does, that’s the basis issue. It’s a fucking travesty that it’s the current law.

2. I’m rich. Believe it or not some of us actually give a shit what kind of society we are building.

The real question you should be asking is how does other people having less than you within a deeply unfair system not take away from your happiness.

2 more replies

j / k navigate · click thread line to collapse

0 comments

WalterBright1y ago

> We’re in a society that had higher more progressive tax rates as recently as the 1960’s.

Washington state has enormously higher tax rates today than in the 60s. Sales tax, property tax, estate tax, and now an income tax.

https://dor.wa.gov/about/statistics-reports/history-washingt...

CPLXOP1y ago

We can trade examples all day but the fact is that the tax burden on the very wealthy has plummeted and income inequality has skyrocketed. Those are broad measurable facts.

Things suck more as a result. I'm not a young guy, I've watched the change.

WalterBright1y ago

The step-up basis happens when you die. But then you get hit with a 40% federal estate tax and a 20% Washington estate tax on that stepped up basis.

Since you're not young, if you'd invested a modest sum in AMZN in the 1990s you'd be a millionaire several times over today. Same for MSFT. And Apple.

How does other people having more than you take away from you?

CPLXOP1y ago

2. I’m rich. Believe it or not some of us actually give a shit what kind of society we are building.

The real question you should be asking is how does other people having less than you within a deeply unfair system not take away from your happiness.

2 more replies

j / k navigate · click thread line to collapse