Hacker News new | ask | show | jobs
by throw0101a 946 days ago
> I personally think people's first property should be tax-free. their actual home.

This is how it works in Canada: principle residence has no capital gains on sale.

If you move to a new place, and don't sell the old one, then you have to change its status and the clock starts ticking on any price appreciation after the status change. Further if you rent out part of the structure (e.g., basement), then you have to pro-rate a status change of the property (generally proportional to surface area) and declare rental income.
2 comments
triceratops 946 days ago
I think GP was talking about property taxes. Even the US has tax free capital gains up to a limit.

No capital gains isn't necessarily a great system either. It leads to people treating their primary home as a retirement savings vehicle.

Taxing inflation-adjusted capital gains on home sales is a sensible compromise. And maybe also allowing the gain to be divided over years of ownership.

link
bryanlarsen 946 days ago
It's capital gains tax free, but it's far from tax-free. Myself, I pay about $7000 a year in property taxes on mine.

Eliminating those and increasing corporate/second property taxes instead would be insane. That means that renters would be responsible for most of the taxes required to maintain the streets in front of my house.

link
strangesmells06 946 days ago
What you seem to not understand is that the government has enough money to maintain the roads with out property tax entirely. It would force the government to be more efficient with their money and shrink the governement to just the essentials.

You think any for of US government operates on a shoestring budget? They are the most bloated entities on the earth. And its based off the backs of the poor and middle class.

link
bryanlarsen 946 days ago
City governments certainly do not have enough money.
link
strangesmells06 945 days ago
They absolutely do, but they spend it on other things.
link
bryanlarsen 945 days ago
Like what? The majority of the budget is roads, water & police.
link
strangesmells06 944 days ago
10, 000, 000 bucks to homeless pet needs?

This would be great but try and find out where a homeless person can go and get help for their pet...thats no where to be found. The money just went ...somewhere.

Government's have a way of disappearing money.

https://www.grants.ca.gov/grants/pet-assistance-and-support-....

link