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right but the money that was invested in the first place that Romney earned was taxed at a very high rate. If they're going to hit these guys again, with another 40% tax, then they'll likely just sit on it and not invest.
He was already rich before investing. But a low tax on investment returns gives them incentive to invest in little startups and other investments. If you've ever wanted to start up a business and need investors, trust me you don't want the taxes to go up on your investors. That will mean they'll be forced to take a bigger cut from you.
People need to realize, when the rich pay more, they charge more for their products and services. We actually end up paying their taxes.
If there is financial gain on investing and there is no financial gain by sitting on it, there will always be investment. I say tax unearned income annually at the very least at the same rate earned income is taxed at.