DIYbanter - View Single Post - OT-2013 Taxpayer Surprise

David Billington

wrote:
On Jun 15, 7:26 am, "Ed Huntress" wrote:

When did we start taxing capital or savings in the US, Dan? Some states have
asset taxes on business property, but there are no federal taxes on either
capital or savings -- only on income. And if people object to the asset
taxes, they can move to another state. There's no need to move overseas to
avoid that.

--
Ed Huntress

We started a long time ago. If I bought some industrial property
thirty years ago for say $50,000 and now sell the same property for
say $400,000, I pay taxes on $350,000 dollars. But the gain is really
just because of smaller dollars because of inflation. ( I said same
property. ). So that is a tax on capital.

Dan

In the US are you not allowed to make a certain amount of capital gains
each year free of tax?. IIRC at the moment in the UK you're allowed
about £10k gains before tax is due on the gain. You mentioned industrial
property and that would be subject, in the UK ones personal residence is
exempt luckily.