Obama’s Curious Capital Gains Tax Epiphany

"Flip-flopping"

If the real world were static and nothing ever changed, I would judge a candidates who changes his mind on a particular issue to be weak.

However, since the real world is always changing, a candidate should be able to change his stance on a particular issue, especially taxes.

Obama isn't the only person to change his stance on issues. McCain has changed his mind on quite a few things. The Bush tax cuts and domestic drilling, to name just two.

However, because McCain is changing his position to satisfy the Republican base, the "flip-flopper" label is not applied to him by the likes of Limbaugh, Hannity, and others from the right. If Obama is a flip-flopper, I guess you could call McCain a panderer. That is if you believe McCain's previous positions were true to his principles.

PA CPA of PA @ Aug 19, 2008 14:44:01 PM

Little Investment Experience

Obama owns little in stocks despite the huge incomes he and his wife make. How can someone so "rich" retain so little? They claimed even to have difficulty paying off their student loans and affording a piano tutor for their daughter. If he can't hold on to much of his income, how in the world can we "hope" he can improve the US economy???

RD of WA @ Aug 19, 2008 01:18:28 AM

I'm not sure how you can claim that Clinton inherited something from Reagan when there was an intervening 4-year Presidency. I remember that one of the first of Reagan's initiatives was to cut the capital gains tax, in that case from 28% to 20%. Somewhere along the line, it went back up to 28%, which might have occurred in either 1986 or 1990. Under Clinton it went down to the current 15%.

Personally, I wouldn't much care what it was as long as the gain wasn't taxed again as part of income. The same goes with dividends. I don't have anything of either to brag about, but it just seems more reasonable. Kind of like separation of powers.

If you want to make the point that capital gains and/or dividends are somehow obscene attributes of wealth, then by all means, try to impose a confiscatory tax on them. You might encounter some opposition.

Pink Pig of NY @ Aug 18, 2008 23:04:29 PM

The Hierarchy

Soros

Rich

Schmoos

Middle Class

Lower Middle Class

Upper Lower Class

Lower Class

Lower Lower Class

No Class

Bobby B of MN @ Aug 18, 2008 20:09:13 PM

Charlie Rangel will write the tax law and get any tax rate he specifies in an Obama Administration.

Frank Hulton of PA @ Aug 18, 2008 18:33:39 PM

obama

What I find hard to beleive is that anyone with any financial sense or a sense of the economy can take this guy as an actual leader of any place includng a local community. For anyone on wall street to say this guy could manage a 7-11 is an over estimation of his business accumen.Folks, if two wars, hurricanes, 9-11, sub prime crises ever came up with him in the big office, the Great Depression would seem like a mild recession. Our wall street movers and shakers owe the American people some leadership on this election. Be honest with we small investors and small business people and all of the workers who depend on us- tell the country that this guy does not know "come here from sic em'" and will bring about change that puts America as a second tier country. Be honest and forget not being invited to a NYT cocktail party.

D.J. Mc of MI @ Aug 18, 2008 17:04:17 PM

question is what we think he would do if he got elected

The problem with being a flip flopper is that people have to decide what they think the candidate will try to do once elected. If the 20% capital gains tax rate (and only 2-4% additional employment tax above $250 thousand of income) represents a genuine change of opinion, that is certainly a welcome improvement. If it represents what Obama is saying to get elected, but once elected will try to increase taxes to a greater degree, that is bad. Since I think Obama would raise taxes far more than he is proposing, if he could get away with it, than the flip flop troubles me not because of this change of opinion, but because I expect him to flip back as soon as he is able to.

of NY @ Aug 18, 2008 15:07:58 PM

Those kinds of flips are all good until he gets into office and flips again. Then they're kinda like Confederate money. Better to have a position that you can count on.

of WA @ Aug 18, 2008 15:00:09 PM