If I understand “step up in basis” this is where Jeff Bezos never sells his shares, dies and leaves his shares to his son for example. The (US) tax law then “steps up” the value of shares - so instead of saying the shares were orignally worth 1 cent each and now with 100 dollars each, they are treated as being worth 100 dollars when the son gets them and so he has to pay no capital gains. I think I over simplify.
And you suggest eliminating that is a good idea.
I agree - but suggest we don’t have to wait till Jeff dies - there are other taxable “liquidity events” that are freely entered into and do not rely on third party valuations, and that achieve the goal of (the Modern Monetary Theory goal) of taxing and so eliminating money.
And yes the loan is a liability - but under current tax law (which is some version of buy, borrow, die) the wealth remains untaxed or under-taxed, kind of defeating the point of governments printing the money.
In short we want wealth to circulate not congregate.
And you suggest eliminating that is a good idea.
I agree - but suggest we don’t have to wait till Jeff dies - there are other taxable “liquidity events” that are freely entered into and do not rely on third party valuations, and that achieve the goal of (the Modern Monetary Theory goal) of taxing and so eliminating money.
And yes the loan is a liability - but under current tax law (which is some version of buy, borrow, die) the wealth remains untaxed or under-taxed, kind of defeating the point of governments printing the money.
In short we want wealth to circulate not congregate.