Hey PACKER__One LAST Kick at the CAPITAL GAINS Can !!!
IMHO It IS Quite APPROPRIATE to Have LESS TAX on GAINS vs SALARY Income
At LEAST For TRUE Long Term BUY & HOLD Investors Such as MYSELF.
The REASON is That MUCH of the SO CALLED ""GAIN"" is ACTUALLY JUST
the RESULT of YEARS of INFLATIONARY Increase__WHICH Keeps CUTTING
the ""Real ADJUSTED for InFlation GAIN"" That SHOULD BE TAXED
NOTE That in the USA There IS Recognition FOR Short Term VS Long TERM
Capital Gains__With a LESSOR RATE for Long Term Holdings
What REALLY Bugs me the MOST with regard to Capital Gain Taxation is that there is NO
RELIEF/CREDIT Provided for BUY & HOLD True Investors__Compared to the Short Term
Traders.
As Example__I Have Held TELUS ever Since the IPO, Fall of 1990, when AGT was Privatized
by the Alberta Government__So this October I will Have Had TELUS as one of my MAIN 2
Holdings for 34 YEARS !!!!
Thus over that LONG Time period there HAS Accumulated a LARGE Capital Gain__Basically
Made UP For INFLATION and Time Value of $$$$$.
So I Strongly Believe that It is TOTALLY UNFAIR for My Estate to Have to PAY a HUGE TAX
on the GAINS over Say 55 YEARS by Then__Compared to Short Term Traders
There Has GOTTA BE Some Sort of TAX Relief/Credit on Capital Gains over Such a LONG
Period__As MUCH of that Gain is Simply INFLATION and NOT ACTUAL REAL Gains !!!!
How BAD/UNFAIR is the Capital Gains Taxation of Long Term BUY & HOLDers ??????
THIS is HOW BAD it Can BE__We Currently Would Pay 10 Times MORE Taxes OVER What the Actual REAL GAINs were in this Exanmple__The LONGER the HOLD PERIOD the WORST it Gets eh !!!!!
Understanding inflation’s impact would help investors see how closely their nominal returns are keeping pace with purchasing power, especially over an extended period when a modestly lower yield can produce a huge difference in principal. Since 1957 the Standard & Poor’s index has gained 10.26 per cent a year. After inflation, however, its return has been 6.37 per cent. That makes a huge difference. An initial investment of $10,000 in 1957 would have grown to an impressive $5,185,000 in nominal terms by 2023. But in real (i.e., inflation-adjusted) terms, it would be only $520,506 — not bad, but barely 10 per cent the inflation-swollen amount.