[USADino]

Selling is getting expensive

State Senate approves new tax on capital gains

Profits on the sale of stocks and bonds in excess of $250,000 would be subject to a new tax on capital gains under a bill narrowly approved Saturday by the Washington Senate.

www.kiro7.com

 

[Ray Smith]

Selling is getting expensive

State Senate approves new tax on capital gains

Profits on the sale of stocks and bonds in excess of $250,000 would be subject to a new tax on capital gains under a bill narrowly approved Saturday by the Washington Senate.

www.kiro7.com

A collector car is not a factor of production. The car collector market creates few if any jobs, unlike building a factory. Therefore, there should be an increase in taxes collected when a person profits from the sale of a collector car.

 

[Granucci]

Are there collector homes, shirts, or lamps? Yup. Do they experience these taxes for a similar reason? Nope.
Believe someone found a rich person's 'hobby' and decided it could be taxed.
What I believe more a problem in 15/20 years is a specialty tax for gasoline fueled vehicles. California already is passing no new combustion sales after a future date, something like 2035 iirc, and any remaining sales can be a problem. They want to phase them out. 15 miles from me is Petaluma, CA and they passed a law banning any changes, modifications to or new construction of gasoline stations to push alternative 'fuels'-- read hydrogen electric: first in the world.
I said this 10 years ago and now believe it's even sooner. Our cars will be relegated to shows, parades, and museums. AND I'll bet as well, Ferrari WILL start constructing electric vehicles ! Watch...it will happen.
F1? Look for E1

 

[USADino]

Next you'll probably claim Ferrari will be building an SUV - Ha!

 

[Ray Smith]

Are there collector homes, shirts, or lamps? Yup. Do they experience these taxes for a similar reason? Nope.

There should be. None of those are factors of production. You build a factory and manufacture products, that's a factor of production. A summer home in Big Bear and the yacht in Newport Harbor are not. Neither is a 250 GTO LM or a painting by Monet. If you can afford to buy it, you can afford to pay the taxes on it.

An all-electric Ferrari would be cool. Electric motors have instantaneous torque at all speeds, an internal combustion engine does not which is why they require a gearbox.

 

[Granucci]

There should be. None of those are factors of production. You build a factory and manufacture products, that's a factor of production. A summer home in Big Bear and the yacht in Newport Harbor are not. Neither is a 250 GTO LM or a painting by Monet. If you can afford to buy it, you can afford to pay the taxes on it.

An all-electric Ferrari would be cool. Electric motors have instantaneous torque at all speeds, an internal combustion engine does not which is why they require a gearbox.

There should be? So, no one should own objects unless a factor of utility/necessities? Art or feel good products are to be taxed? Not sure where you are going with that thought, but we are not toting these into space travel where objects must perform function and not aesthetics. Or did you mean something else?

 

[Ray Smith]

There should be? So, no one should own objects unless a factor of utility/necessities? Art or feel good products are to be taxed? Not sure where you are going with that thought, but we are not toting these into space travel where objects must perform function and not aesthetics. Or did you mean something else?

Yes, they should be taxed. You buy a 250 GTO for 2 million and sell it for 3 million, you pay the same tax rate on the 1 million profit as I pay. No capital gain deduction. It's not capital. It's a luxury item.

Ray

 

[Granucci]

Yes, they should be taxed. You buy a 250 GTO for 2 million and sell it for 3 million, you pay the same tax rate on the 1 million profit as I pay. No capital gain deduction. It's not capital. It's a luxury item.

Ray

Perhaps everyone misunderstood my premise: Capital gain/loss is a taxable event. What I understood the question to be was taxing luxury items [i.e. as stated Collector item] regardless. That means a 'luxury' tax for owning period, year-to-year.

If it's on profit/loss then yes, but to just own, no. Perhaps I misunderstood the question with the word stated many times "collector". What does it matter if rare, collector, ancient, or brand new. Profit/loss is a taxable event.

Guess that's why I'm not an attorney.
r

 

[USADino]

.......An all-electric Ferrari would be cool. Electric motors have instantaneous torque at all speeds, an internal combustion engine does not which is why they require a gearbox.

That is also why electric cars are boring and a gearbox is endearing

 

[USADino]

For 5 years King Countty waived all sales tax and registratiion excise tax for EVS. While targetted for commuters, each $100k Tesla dodged over $20k in taxes

Yes, they should be taxed. You buy a 250 GTO for 2 million and sell it for 3 million, you pay the same tax rate on the 1 million profit as I pay. No capital gain deduction. It's not capital. It's a luxury item.

Ray

 

[Ray Smith]

For 5 years King Countty waived all sales tax and registratiion excise tax for EVS. While targetted for commuters, each $100k Tesla dodged over $20k in taxes

We give subsidies to the oil and gas industry. We give them tax incentives. We subsidize corporate farms that do not need subsidies. But you complain about subsidizing the purchase of EVs?

And you straying from the point I was highlighting the problem with how capital gains are currently taxed. The current system allow you to buy anything and call it "capital" and hide the profits behind the capital gains tax loophole when it is clearly not a factor of production.

And the tax is not $20k. I paid $10k in taxes on my F430. I have no problem with that.

Ray

 

[piusclinton690]

Sold ?


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