The actual appreciation of their investments would be higher if you eliminated corporate income tax. And you would still get to defer payment until you sell the actual investment.
The problem is "defer payment until you sell the actual investment." which is when I have no other income coming in. This isn't going to be a rich person's problem, it effects pretty much everyone under 50.
I take your meaning, but I am not looking for a interest group tax deduction. I am really wondering about what all of us need out of a tax system. It is more about when is it ok to tax and when is it just moving money around (SS and Unemployment are two I can think of off the top of my head).
I admit to being in the flat-rate tax camp with exclusions for one time capital gains (selling stock not dividends) and estate tax. I also wish they just gave a large basic deduction ($15K or $20K) and had everyone file as individuals.