Voters, especially working class voters, want the rich to pay more, and the Democrats will be in a great position next year to make that happen ... even, possibly, if Harris loses.
I think you are confusing capital gains tax rates with corporate tax rate. The 2017 tax law cut the corporate rate from 35% to 21%. The long term capital gains rate remained at 20%, where it had been set by the 1997 tax law, which cut it from 28%. Short-term gains (those held less than a year) are taxed as ordinary income. The 2003 tax law cut the long term capital gains rate from 20% to 15%, which went back to 20% under Obama, where it is today. More serious is that the 2003 law made dividends subject to capital gains rate, instead of being taxed as ordinary income as it had always been before.
A program of tax increases and other policy that should be sellable during a financial crisis would be:
1. Repeal the 1997 and 2017 tax laws returning LT cap gains rate to 28% and corp rate to 35%, the levels Reagan set them at in 1986.
2. Return to taxing dividends as ordinary income, as it had been under Reagan.
4. A ban on Fed QE and government assistance to trouble financial firms or investors. Let them go bankrupt. We can deal with the short-term decline in employment due to panic caused by mass bankruptcy of financial firms as we did to mass unemployment during the pandemic. Once business not involved in speculation (which is most of them) see that their customers haven't gone away and business is still good, the fear of depression with fade and there won't be a depression.
Injection of cash will stop a collapse dead in its tracks. Last time the injection of cash (ca $5T) was into financial markets. I propose we inject zero into financial markets (no QE) and spend the $5T to inject cash into the goods and services economy, as we did during the pandemic. However, let's NOT inject another $4T into financial markets as we also did during the pandemic (and you saw the effect of this on the stock market--it soared),
The problem with the capital gains issue is most people don't have capital gains , the average joe living paycheck to paycheck is not worried about the tax rate on his stock ,,sale ,, gains .and if your are really worried about that problem just buy one of those fancy beach condos and claim it as an annual non rental property and take it as a loss against your gains ,,,( sure it sits empty ? ) if you have problems working the numbers just ask any 3rd grader ,, he or she can work the numbers for you . And don't worry about an IRS audit,, their budget has been cut to zero and besides you are small fish and they are looking for bigger fish to fry .
I think you are confusing capital gains tax rates with corporate tax rate. The 2017 tax law cut the corporate rate from 35% to 21%. The long term capital gains rate remained at 20%, where it had been set by the 1997 tax law, which cut it from 28%. Short-term gains (those held less than a year) are taxed as ordinary income. The 2003 tax law cut the long term capital gains rate from 20% to 15%, which went back to 20% under Obama, where it is today. More serious is that the 2003 law made dividends subject to capital gains rate, instead of being taxed as ordinary income as it had always been before.
A program of tax increases and other policy that should be sellable during a financial crisis would be:
1. Repeal the 1997 and 2017 tax laws returning LT cap gains rate to 28% and corp rate to 35%, the levels Reagan set them at in 1986.
2. Return to taxing dividends as ordinary income, as it had been under Reagan.
3. Repeal SEC rule 10-18b permitting stock buybacks
4. A ban on Fed QE and government assistance to trouble financial firms or investors. Let them go bankrupt. We can deal with the short-term decline in employment due to panic caused by mass bankruptcy of financial firms as we did to mass unemployment during the pandemic. Once business not involved in speculation (which is most of them) see that their customers haven't gone away and business is still good, the fear of depression with fade and there won't be a depression.
Injection of cash will stop a collapse dead in its tracks. Last time the injection of cash (ca $5T) was into financial markets. I propose we inject zero into financial markets (no QE) and spend the $5T to inject cash into the goods and services economy, as we did during the pandemic. However, let's NOT inject another $4T into financial markets as we also did during the pandemic (and you saw the effect of this on the stock market--it soared),
https://mikealexander.substack.com/p/why-neoliberalism-should-be-replaced/comments
Agh, you're right. I'll fix.
PS These are all excellent ideas.
The problem with the capital gains issue is most people don't have capital gains , the average joe living paycheck to paycheck is not worried about the tax rate on his stock ,,sale ,, gains .and if your are really worried about that problem just buy one of those fancy beach condos and claim it as an annual non rental property and take it as a loss against your gains ,,,( sure it sits empty ? ) if you have problems working the numbers just ask any 3rd grader ,, he or she can work the numbers for you . And don't worry about an IRS audit,, their budget has been cut to zero and besides you are small fish and they are looking for bigger fish to fry .
Have a great day my friends.