Thread

1. Ancalagon · 1790286740 · focus · HN ↗

   [flagged]

   1. 999900000999 · 1790287624 · focus · HN ↗

      And it will never be repealed.

      Old voters like the house they brought 20 years ago for 100k being worth 1.5 million today. They also like not paying taxes on that 1.4m in wealth accumulation.

      1. gehsty · 1790287934 · focus · HN ↗

         Is it not that the gains are unrealized? If they sold the house they would pay capital gains tax?

         1. Guvante · 1790288059 · focus · HN ↗

            Property taxes are unrelated to income tax
         2. fhn · 1790289542 · focus · HN ↗

            I'm not a finance person but I think capital gains kicks in if you sell early. Otherwise, just regular taxes?

            1. Ancalagon · 1790290186 · focus · HN ↗

               opposite, income taxes take place first. after a waiting period, its just capital gains. capital gains taxes are typically lower than income taxes so this encourage long term holding
         3. binlog · 1790296466 · focus · HN ↗

            They aren't going to sell it, they'll pass it to their children and the cost basis will reset. Their children will then sell it and pay zero tax.

            1. gehsty · 1790326412 · focus · HN ↗

               Then it would be taxed under inheritance tax (at the full value of the property - not just the gains)

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