(RoyalPatriot.com )- In a desperate attempt to find ways to fund the multi-trillion dollar “Build Back Better” monstrosity, Democrats are floating an insane and no doubt unconstitutional tax scheme.
The plan these maniacs have concocted is to place a tax on unrealized capital gains.
Yeah. Democrats plan to tax profits from stocks and real estate that haven’t actually been sold or cashed out yet. In other words, it is an unlawful seizure of personal property.
Now, President Biden has already warned Democrats that they won’t be getting the full $3.5 trillion in spending for the monstrosity. Thus far, they’ve lowered it to about two trillion. As if somehow two trillion dollars in spending is a “savings.” But the problem remains. How on earth do they pay for such a monstrosity?
Their first scheme failed. Arizona Senator Kyrsten Sinema rejected the plan to raise corporate and personal income tax rates at a time the economy is already floundering. And since they need every single Democrat to sign onto this monstrosity, they had to find a Plan B.
And taxing unrealized capital gains is their nutty Plan B.
Speaker Pelosi, and other Democrats are referring to this scheme as a “wealth tax.” But that is nonsense. This is a tax on innovation. Who will want to invest in a new company or venture if they will get taxed on the stock even before they sell it? Who would take that risk?
And while “progressives” like Elizabeth Warren refer to this as a “billionaires tax,” this tax, like virtually every federal tax, will end up hitting everybody from billionaires to millionaires to anyone who has investments in stock or real estate.
Biden’s Treasury Secretary Janet Yellen defended this scheme, arguing over the weekend that right now “the wealthiest” Americans are escaping taxation “until they’re realized.”
That’s not “escaping taxation,” for Pete’s sake. You can’t tax earnings that haven’t been earned yet.
President Biden, the man who flat-out opposed a “wealth tax” when he was campaigning against Wealth Tax Warren in the primaries, is one hundred percent on board with this idiotic scheme.
Renaming the unconstitutional “wealth tax” a tax on “unrealized capital gains” doesn’t make it any less unconstitutional. But the Democrats are running out of time. President Biden needs a Big Win to make up for his myriad of Big Losses, and this scheme is their Hail Mary play.