In my previous article on Democrat proposals for Virginia taxation, I focused on income taxes which most people equate to employment. How about investment taxes? Well, the democrats have plans for that too.
It turns out that stocks, bonds, bank accounts, real estate rentals and capital gains (think your current house) are all potentially taxable (passive) investments. The one example that sticks out to me is a person’s house, nominally their largest passive investment.
Let’s say you have an 80 year old couple. Health and aging is becoming a concern so they will have to move out of their house to some type of assisted living facility. In order to do this, they may very well have to sell their house, possibly some stocks to cover the change-over costs, and switch around their investment portfolio to support the new daily, weekly, monthly and annual living arrangements. For a reasonably well off couple, that could easily be $500,000 or more in various types of transactions.
Why is $500,000 significant? Well, that is the Democrat government proposal on the table to be the basis for taxing passive investments. Called the Net Investment Income Tax, Virginia models itself after the federal NIIT tax. The measure could push Virginia’s top tax rate on investment close to *9.6%. Good luck to those old folk who live off their investments because they can no longer work.
The hypocrisy in the Virginia tax proposals is obvious. Supposedly, the Number One executive order of the Spanberger Democrat run government is affordability. Raising both active income and passive investment taxes isn’t affordability it is usury. (But ,of course, in the land of the socialist democrat, tax the rich is an affordability measure because it forces the rich to pay their fair share. This is twisted logic as well as an abuse of the dictionary.)
You have to believe that Virginia is well on its way to creating a taxation system that models the California tax system– and that includes wealth taxation somewhere along the line.
*Note: To simplify this, let’s look at an example. This 80 year old couple has a house assessed at $1 million. This old couple can’t maintain their home so they sell it for the assessed value. Maybe they move into assisted living or even in with the kids. Guess what happens to the second $500K portion of the $1M dollars? Nearly 50K goes to the state of Virginia not to the kids or grandkids.
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“Republicans believe every day is the Fourth of July. The Democrats believe every day is April 15.”
President Ronald Regan
During the 2000 U.S. Presidential election campaign, Vice President Al Gore frequently stated his intention to “put Social Security in a lockbox” to protect the surplus funds from being used for other government spending.
Yes Virginia Republicans must articulate to the youth of Virginia that Virginia Democrats given the chance will spend their Social Security on pet projects and their never ending quest of globalization by immigration.
The fact that Virginia Democrats can’t control Social Security will move them towards taking unrealized gains in our youth’s retirement plans all while placing limits on their own contributions.
Virginia Democrats don’t recognize personal responsibility of our youth to save for retirement, home, family or even a rainy day.
Reason would have one believe that all our elected Representatives should respect personal responsibility being that they have not one ounce of responsibility themselves.
Governor Abigail Spandami is coming for your, savings, home and to eliminate your
Dreams Of Freedom.
66% of new revenue would come from taxes on millionaires. This is californicating Virginia.
What do we get from Denmark?
Butter and cheese.
And:
— 74% of all the insulin used in the US
— 100% of the Ozempic used in the US
— 15% of all shipping containers arriving in the US
Let’s just see how much we can piss them off, whadda you say???
I don’t know where this comment should go, but it isn’t relevant here.