[wpietri]

Sure. I don't like people using the infrastructures of the state and community plus community labor while privatizing their gains and socializing the costs.

Maybe we can compromise on you taking yourself to some remote spot cut off from a society and generating your wealth there? Then we can all be sure your gains are truly yours, and so nobody will mind you hoarding them.

[jikbd]

A rich person already pays taxes. Also, I’m not sure about what you mean with “community labour” - a rich person also pays his employees.

This is nothing but double taxation. Ie highway robbery.

[wpietri]

A rich person already pays taxes at a rate that is currently heavily influenced by rich people, so I'm not seeing that as much of a justification.

But yes, when a rich person gives their money to another person, that other person now has to pay tax. An estate, gift, or income tax.

Many rich people pay their employees, some don't; wage theft is very popular, as are other forms of labor exploitation. But an educated, healthy, available labor force is a very expensive asset to create. We all invest in creating that through things like paying for schools, health care, and raising children. One of the ways we pay for creating that asset is taxes. Rich people, as the ones most benefiting from society, and also as the ones with the most spare money, should pay their fair share for that.

[cdjk]

The recipient of a gift does not pay gift taxes. The payer does if they have not used up their lifetime exemption or unless it is belo the annual limit.

[tasty_freeze]

I believe in the US the current annual limit before a gift is taxed is $15,000.

EDIT: the point of raising it is in the context of this discussion, we are talking about the very wealthy. A $15,000 gift to their children isn't very much of a transfer as a percentage. To hand off large amounts of wealth to the next generation, for sure the annual gift exclusion isn't nearly enough to avoid inheritance taxes.

[coryrc]

No, that's the point at which it must be reported. The exemption is a few million in a lifetime.

[wpietri]

Ah, good point. Thanks for the correction.

[nindalf]

Come back with your real account and maybe you’ll be taken more seriously. A three day old account sharing edgy thoughts like this is easy to dismiss.

[throwaway6734]

Income tax coupled with sales tax is double taxation as well. Which one do you want to cut?

[refenestrator]

All taxation is double taxation. I pay income taxes, and then when I spend my money someone else pays income taxes on their profit.

Similarly, the rich person paid taxes and then their rich kids pay taxes on their inheritance.

[Ekaros]

I have wondered, wouldn't it be simple just to make inheritance and gifts income. And thus person receiving it responsible to pay income tax on it.

No more double taxation, and everyone gets to do whatever they want with their post-tax income!

[0x0nyandesu]

It's quite amazing isn't it? One minute you have the ability to direct wealth towards enriching your children's lives and then you're dead and the state says no we get to take 97% of all of it. It's no wonder wealthy people hoard wealth in none cash forms.

[wpietri]

If you think death only takes away the ability to spend money, I have some bad news for you.

In any case, in the US the estate tax and the gift tax are basically the same thing, so rich people can give the same millions to their kids either before or after they die and pay basically the same taxes: https://www.cbo.gov/publication/57272

[refenestrator]

Cite for that 97% figure?

I was under the impression there's a large exemption for inheritances under a few million and then it's still a number lower than income tax on the rest.

Philosophically, you don't own anything after you're dead. Someone else, alive, is getting income in the form of an inheritance.

[suzzer99]

Of course 97% is nonsense. And $11.7M per family is completely untaxed, something the billionaires pushing for an end to inheritance tax do an amazing job of obfuscating.

[short12]

Let me know when you have enough collective belongings to even be considered an estate