|
|
|
|
|
|
by jandrewrogers
5166 days ago
|
|
|
That is factually incorrect. In US dollars, investments lose 2-3% of their value annually due to inflation, compounded for multi-year investments. In most cases, there are no adjustments for that in the US tax code. For long term investments this has a large, material impact on the expected return on investment. Any accountant worth a damn can figure this out for you and anyone investing takes it into consideration. This includes investors in startups. Investing in startups returns a couple points over investing in boring things like corporate debt and startups have higher risk. Unless you think more social good comes from investment in corporate debt than startups, it would be foolish to incentivize everyone to ignore startups because the risk adjusted returns are better elsewhere. I accept that some people think investing in startups is a waste of money but I would prefer that our tax code does not force that to be the case. |
|
|