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The Trump Administration's Giant F**k You to Working People: Playing Games with Capital Gains Tax Rates


#1

The Trump Administration's Giant F**k You to Working People: Playing Games with Capital Gains Tax Rates

Dean Baker

Okay, I'm going to plead guilty to playing lawyer without a license. The NYT reports that the Trump administration is proposing to unilaterally (as in no congressional action) change the way that capital gains are calculated for tax purposes.


#2

Piketty’s Capital aside, do we know what we are calling wealth here?

Accumulation of worthless currency by being overlords over true labor?

Divest from the his madness, and the money printing to continue to line the coffers of the rich will not matter.

Can you?


#3

This insane “tax proposal” by Trump can only mean one thing.

Wealthy stock speculators are preparing to liquidate their stock portfolios, and crash the market.


#5

If this scheme ever implemented , watch as they create a second “Measure of Inflation” for Capital Gains.

When they measure inflation for increases in various Social benefits to the working class (COLA increases for Social Security as example) they will use the lower one and when they measure Inflation for Capital Gains they will have a second higher number.

They will then attack a name to the proposed bill such as the “Protecting American Prosperity Act”.


#6

From the article:

“(The top tax rate on capital gains is 20 percent, compared to 37.0 percent on wage income.)”

Conservative dogma holds that we should tax that of which we disapprove, and subsidize that of which we approve. Therefore, if I understand correctly, we approve of unearned income, such as speculation on margin and collecting rents, for example, while we disapprove of earned income such as wage labor.

Any conservatives care to explain?


#7

Dean, as I wrote on the “Times” to Paul Krugman on this topic:

BTW, Dean, did anything ever come from my suggestion to you of developing a GINI Coefficient Of Energy Inequality? Which, IMHO, would probably be pretty close to America’s high/bad GINI Coefficient of Income (or Wealth) Inequality — all of which sorta prove that the U.S. is really only the ‘nominal’ HQ of, and merely ‘posing’ as, our once promising and sometimes even progressing country — that is now what Professor Robinson so accurately diagnoses as:

“The U.S. state is a key point of condensation for pressures from
dominant groups around the world to resolve problems of global
capitalism and to secure the legitimacy of the system overall.
In this regard, “U.S.” imperialism refers to the use by transnational
elites of the U.S. state apparatus to continue to attempt to expand,
defend, and stabilize the global capitalist system. We are witness less
to a “U.S.” imperialism per se than to a global capitalist imperialism.
We face an EMPIRE OF GLOBAL CAPITAL, headquartered, for evident
historical reasons, in Washington.” [Caps added]

[Of course by “U.S. state apparatus” Robinson means the hard and soft (economic) POWER of EMPIRE]

Global Capitalism and the Crisis of Humanity, 2014 Robinson, William Cambridge University Press.

BTW, the only point I have to pick with Chris Hedges is again that he only uses the ineffectual and uselessly vague term “Plutocracy” to push up as the problem and “disease of (democratic) Republics” — which every one of the founding fathers (because they read and understood the classics and Roman history) was really EMPIRE.

Chris, too often confuses folks here and certainly low information average Americans that the alternate ‘boggymen’ are; oligarchy (same as plutocracy), authoritarianism, totalitarianism, “inverted totalitarianism” (which would seem to be the polar opposite.eh?), ‘deep-state’ (which Emperor Trump has very effectively turned ‘as a weapon’ against the principled left), corporate-state, fascism (which is just a modern 20th century form of an Empire tactic), etc. etc. etc. et al, ad nauseam.

But I think Chris will come back to reality and finally focus on EMPIRE (and Emperor Trump) as being the deadly meta-cause of all these hundreds of little ‘identity-issues’, more serious, but still subordinate “symptom problems” (like never ending and expanding wars, Wall Street looting, racism, domestic spying, separating babies from immigrant mothers (which in the vein of Marie Antoinette is like Emperor Trump saying, “let them breath ‘our’ air” — and then put them in detention centers), domestic gun slaughter, destruction of our environment, etc. etc., and our entire “ailing social order” [Zygmunt Bauman]


#8

The article cites an analysis showing that 97 percent of the savings would go to the top 10 percent of the population and more than two thirds would go to the richest 0.1 percent.

From this it follows, to pick a number and on average, for each $6,500 saved by each of the top 1/10th of 1%, the remainder of the top 10% would save $32.33 each, and the bottom 90% would save $0.33 each… These tax savings would need to be paid for by some variation of austerity to be imposed on the bottom 90%.

Is this really what the majority wants?


#9

Nothing on the Manafort trial------Its interesting that the Judge questioned why Manafort is being prosecuted? And there was some media discussion that the IRS doesn’t usually go after people like Manafort ; rich people or companies that hide all their wealth abroad (Apple). Its ok to go after the common people but not those in the ruling class. The media calls this Judge eccentric , but really he represents what the ruling class is all about-----A TWO TEIR SYSTEM OF “JUSTICE”. People like Manafort and Apple benefit the most from all the military spending yet they want to pay as little as possible???