Unformatted text preview: Millennial Speech & Debate
Capital Gains Tax Release – In Progress 1 Background.....................................................................................................................................5
Key Definitions........................................................................................................................6
Other Definitions....................................................................................................................9
Trump Tax Reform.................................................................................................................10
History of Capital Gains Taxes in US......................................................................................12
US Rate High.........................................................................................................................16
Pro................................................................................................................................................17
General Growth....................................................................................................................18
Slow Growth Impact.............................................................................................................20
Recession impact..................................................................................................................22
Economic leadership Key to globe........................................................................................25
Competitiveness.......................................................................................................................30
Capital Gains Taxes Undermine Competitiveness Shell.........................................................31
Competitiveness Impacts......................................................................................................34
Competitiveness Key to Hegemony......................................................................................40
Answers To: Competitiveness Theory Wrong........................................................................45
Answers to: Competitiveness Not Key to Hegemony............................................................49
Innovation/Investment.............................................................................................................51
Artificial Intelligence Good....................................................................................................52
Capital Gains Taxes Undermine Investment..........................................................................54
Investment Key to the Economy...........................................................................................58
Increased Investment Increases Jobs....................................................................................59
Jobs Key to Economy.............................................................................................................60
Innovation Key to the Economy............................................................................................61
Impact – Innovation Solves Disease......................................................................................62
Impact -- Innovation Key to Competitiveness.......................................................................66
Impact -- Nanotech...............................................................................................................67
Markets.....................................................................................................................................70 Millennial Speech & Debate
Capital Gains Tax Release – In Progress 2 Outsourcing..............................................................................................................................72
Overseas Job Shif.................................................................................................................73
Libertarianism...........................................................................................................................74
Double Taxation....................................................................................................................75
Social Justice.............................................................................................................................76
Minorities/Poor....................................................................................................................77
Progressive Welfare Spending Bad............................................................................................78
Doesn’t Work........................................................................................................................79
Undermines Marriage...........................................................................................................83
Increases Immigrant Poverty................................................................................................85
Answers to: Recipients Work................................................................................................90
Answers To: Welfare Cutbacks Increase Poverty...................................................................91
Oppression............................................................................................................................93
Privacy................................................................................................................................101
Health Care DA Answers.........................................................................................................106
No Right to Health Care......................................................................................................107
General Solvency Answers..................................................................................................109
Answers to Briefs....................................................................................................................112
Answers to: Need Federal Revenue/Deficit.........................................................................113
Answers to: But People Make Money.................................................................................115
Answers to: Other Taxes Have Decreased...........................................................................116
Answers to: Unfair to Tax Income and Not Capital Gains....................................................117
Answers To: Rich Benefit More From Growth.....................................................................118
Con.............................................................................................................................................123
Progressive Tax Structure........................................................................................................124
Inequality Constructive Shell..............................................................................................125
Capital Gains Important to a Progressive Tax Structure......................................................127
Answers to Other causes of Inequality...............................................................................132
Structural Violence impact..................................................................................................134 Millennial Speech & Debate
Capital Gains Tax Release – In Progress 3 Inequality destroys the environment..................................................................................140
Income Inequality...............................................................................................................150
Capital Gains Key................................................................................................................153
Turns Economy....................................................................................................................154
Answers to: Growth Tricks Down to the Poor.....................................................................155
Libertarianism Answers.......................................................................................................156
White Privilege/Racism Shell..................................................................................................158
White Privilege/Racism Shell..............................................................................................159
Innovation Bad........................................................................................................................160
AI Bad..................................................................................................................................161
Eliminating Capital Gains Boosts High Tech Investment......................................................163
Health Care DA.......................................................................................................................164
Medicaid Good DA..............................................................................................................165
Health Care Link Extensions................................................................................................169
Answers to: Health Care Doesn’t Improve Health...............................................................170
Bioterror Impact.................................................................................................................173
Poverty Impact....................................................................................................................176
Answers to: Market Better for Health Care.........................................................................181
Deficits DA..............................................................................................................................186
Constructive Shell...............................................................................................................187
Deficits Undermine US Hegemony......................................................................................190
Deficit Undermines Small Businesses.................................................................................202
Military Spending Good Impact..........................................................................................203
Power Projection Impacts...................................................................................................206
Debt Hurts the Economy.....................................................................................................210
Deficit Destroys US Leadership...........................................................................................212
“Civilization” DA......................................................................................................................218
Answers to Pro Contentions....................................................................................................219
Answers to: Repeal Increases Growth, Lowering the Deficit...............................................220 Millennial Speech & Debate
Capital Gains Tax Release – In Progress 4 Answers to: Repealing Capital Gains Boosts Jobs................................................................225
Answers to: Repeal Increases Growth.................................................................................226
Answers to: Boosts Investment...........................................................................................227
Answers to: Boosts Savings.................................................................................................228
Answers to: Innovation.......................................................................................................230
Answers to: Entrepreneurship............................................................................................232
Answers to: General Growth...............................................................................................233
Answers to: Economic Growth Reduces Inequality.............................................................235
Answers to: Stock Market...................................................................................................237
Answers to Jobs/Unemployment........................................................................................238
Answers to: Double Taxation Bad........................................................................................239
Answers to: Poor Have Investments....................................................................................240
Additional...................................................................................................................................241
Poverty Impacts......................................................................................................................243
Moral Obligation – General.................................................................................................244
Moral Obligation – Child Poverty........................................................................................247
Moral Obligation.................................................................................................................250
Dehumanization..................................................................................................................251
Racism.................................................................................................................................254
Structural Racism................................................................................................................256
Additional Bibliography...............................................................................................................262 Millennial Speech & Debate
Capital Gains Tax Release – In Progress Background 5 Millennial Speech & Debate
Capital Gains Tax Release – In Progress 6 Key Definitions
“”Capital gain” refers to the increased value of the asset between purchase and
sale
Daniel Miller, CATO, 2014, I’m a Senior Fellow at the Cato Institute, a libertarian think tank based
in Washington. I also serve as Chairman of the Board for the Center for Freedom and Prosperity,
an organization created to defend and promote tax competition. I previously served as a senior
fellow at the Heritage Foundation and also was an economist for Senator Bob Packwood and the
Senate Finance Committee. I received my Ph.D. in economics from George Mason University and
a B.A. and M.A. in economics from the University of Georgia, Forbes, The Overwhelming Case
Against Capital Gains Taxation,
Jason Clemens, Charles Lammam, and Matthew Lo have produced a thorough study for the
Fraser Institute about the economic impact of capital gains taxation. Their study focuses on
Canada, but the arguments apply in every nation. A capital gain (or loss) generally refers to the
price of an asset when it is sold compared to its original purchase price. A capital gain occurs if
the value of the asset at the time of sale is greater than the initial purchase price. As of 2017,
the United States taxes short-term capital gains at the same rate as it taxes ordinary income.
Long-term capital gains are taxed at generally lower rates, shown in color in the table below:
The tax on collectibles and certain small business stock is capped at 28%. The tax on
unrecaptured Section 1250 gain — the portion of gains on depreciable real estate (structures
used for business purposes) that has been or could have been claimed as depreciation — is
capped at 25%. The tax on most other investments is at a preferential rate of 0%, 15%, or 20%,
depending on the tax rate that would be assessed on the same amount of ordinary income.
(Qualified dividends receive the same preference.) The dollar amounts ("tax brackets") are
adjusted each year based on inflation, and are afer deductions and exemptions, which means
that there is another bracket, of income below that shown as $0 in the table, on which no tax is
due.[2] For a single taxpayer electing the standard deduction in 2017, this amount is $10,400. Short-term and long-term capital gains taxes determined based on how long the
asset is held
Wikipedia, no date, Capital Gains Taxes in the US,
In the United States of America, individuals and corporations pay U.S. federal income tax on the
net total of all their capital gains. The tax rate depends on both the investor's tax bracket and the
amount of time the investment was held. Short-term capital gains are taxed at the investor's
ordinary income tax rate and are defined as investments held for a year or less before being
sold. Long-term capital gains, on dispositions of assets held for more than one year, are taxed
at a lower rate.[1] Millennial Speech & Debate
Capital Gains Tax Release – In Progress 7 Am explanation of capital gains and how they are taxed
Jane G. Gravelle, Senior Specialist in Economic Policy February 6, 2017, Capital Gains Taxes: An
Overview,
Capital gain arises when an asset is sold and consists of the difference between the basis
(normally the acquisition price) and the sales price. Corporate stock accounts for 20% to 80% of
taxable gains, depending on stock market performance. Real estate is the remaining major
source of capital gains, although gain also arises from other assets (e.g., timber sales and
collectibles). The appreciation in value can be real or reflect inflation. Corporate stock
appreciates both because the firm’s assets increase with reinvested earnings and because
general price levels are rising. Appreciation in the value of property may simply reflect inflation.
For depreciable assets, some of the gain may reflect the possibility that the property was
depreciated too quickly.
If the return to capital gains were to be effectively taxed at the statutory tax rate in the manner
of other income, real gains would have to be taxed in the year they accrue. Current practice
departs from this approach. Gains are not taxed until realized, benefitting from the deferral of
taxes. (Taxes on interest income are due as the interest is accrued.) Gains on an asset held until
death may be passed on to heirs with the tax forgiven; if the asset is then sold, the gain is sales
price less market value at the time of death, a treatment referred to as a “step-up in basis.”
Current taxes on capital gains are imposed at a 0% rate for those whose income places them in
the regular 15% bracket, and 15% for taxpayers in higher brackets, except for those in the 39.6%
bracket. In 2017, the 39.6% bracket begins with taxable income of $470,700 for joint returns and
$418,400 for single returns. Gain arising from prior depreciation deductions is taxed at ordinary
rates, but there is a 25% ceiling rate on the gain from attributable to prior straight-line
depreciation on real property. Gain from collectibles is taxed at 28%. There is also an exclusion of
$500,000 ($250,000 for single returns) for gains on home sales.
Health reform legislation in 2010 provided for a tax of 3.8% (the same level as the Medicare rate
of 3.8% on labor income) on high-income taxpayers on various forms of passive income,
including capital gains. The tax applies to passive income in excess of $250,000 for joint returns
and $200,000 for single returns.
In contrast to these provisions that benefit capital gains, capital gains are penalized because
many of the gains that are subject to tax arise from inflation and therefore do not reflect real
income. Capital gains taxes reduce wages
Jane G. Gravelle, Senior Specialist in Economic Policy February 6, 2017, Capital Gains Taxes: An
Overview, Millennial Speech & Debate
Capital Gains Tax Release – In Progress 8 Health reform legislation in 2010 provided for a tax of 3.8% (the same level as the Medicare ...
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