You buy a stock at $10. The stock appreciates to $100. As it stands now you only pay taxes on that when you sell it. In her plan you immediately owe taxes in the $90 increase in price - whether you have the money to pay or not. What will end up happening is that people will be forced to sell in order to pay the taxes. What happens when people are forced to sell? The price goes down. Multiply that by billions and billions of shares and you end up with an economic collapse.
You buy a stock at $10. The stock appreciates to $100. As it stands now you only pay taxes on that when you sell it. In her plan you immediately owe taxes in the $90 increase in price - whether you have the money to pay or not. What will end up happening is that people will be forced to sell in order to pay the taxes. What happens when people are forced to sell? The price goes down. Multiply that by billions and billions of shares and you end up with an economic collapse.
Great explanation. Glad I have pulled my Webull account and moved my 401k to low bonds and banks