Quote:
Originally Posted by chirorob
My counter point is, if I have already paid tax on the money I earn, then I invest it and have to pay tax on whatever I make that way, then die, and my estate pays tax on whatever I want to give to my children, am I not being triple taxed?
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No, you're not.
You are taxed when you work and earn income.
When you take that income, invest it, and recieve MORE than you invested, you are taxed on that new income. It has not been taxed before.
When you die, and leave money to family, that is income to your family members. It is taxed (for them) for the first time when they recieve it. You're dead, you cannot be taxed after you're dead.
I've yet to hear an argument as to why work should be taxed 35%, but non-work investment profit should be taxed at 15%. Investment already has provisions for losses (tax credits), so thats not it.
So why does osmeone who works 12 hours one day pay 35% of that to the State, and a person who slept all day but had money to invest should pay only 15% of his profit to the State?