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re: How do you respond to this Yahoo comment regarding short/long-term capital gains tax rate?
Posted on 12/19/17 at 10:36 am to rickgrimes
Posted on 12/19/17 at 10:36 am to rickgrimes
Long term capital gains are the only way to handle inflation.
Example: you buy a share of stock in 1995 for $20. You sell it today for $40. That increase in dollars barely keeps up with the inflation of the dollar. Tax it at a regular rate, and you're fricked for having invested in a company that hired, made money, paid taxes...etc.
(Numbers are hypothetical, because inflation can be measured many, many ways.)
Example: you buy a share of stock in 1995 for $20. You sell it today for $40. That increase in dollars barely keeps up with the inflation of the dollar. Tax it at a regular rate, and you're fricked for having invested in a company that hired, made money, paid taxes...etc.
(Numbers are hypothetical, because inflation can be measured many, many ways.)
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