People that wealthy don't actually sell their assets so as to be subject to capital gains: they use them as collateral for low-interest rate equity lines of credit. Then when they die the cost basis for the assets gets reset, and the estate sells assets at the reset cost basis to settle the loan.
Not much different than getting a mortgage on a house than taking out a HELOC on the equity when the value goes up. It works until it doesn't, as 2008 showed us.
A lot of what's described in that video is just a supercharged version of what us mere mortals can do with our houses or an investment portfolio. Retirees take out reverse mortgages on their homes for a lifetime income stream without selling the home. Some people try to use margin loans on their investment portfolio and live off that without selling off the shares. You can make it work, but your interest rates aren't nearly as good as if you're a billionaire.
If they actually tax the shit out of Bezos and Bill Gates, I'm going to say yes to that.
I'm sick of this people.
People that wealthy don't actually sell their assets so as to be subject to capital gains: they use them as collateral for low-interest rate equity lines of credit. Then when they die the cost basis for the assets gets reset, and the estate sells assets at the reset cost basis to settle the loan.
This is a good video on the subject
Not much different than getting a mortgage on a house than taking out a HELOC on the equity when the value goes up. It works until it doesn't, as 2008 showed us.
A lot of what's described in that video is just a supercharged version of what us mere mortals can do with our houses or an investment portfolio. Retirees take out reverse mortgages on their homes for a lifetime income stream without selling the home. Some people try to use margin loans on their investment portfolio and live off that without selling off the shares. You can make it work, but your interest rates aren't nearly as good as if you're a billionaire.
I'd tax their oxygen intake if I could.
They are probably going to do that in the name of climate change