alt Hacker News> facing an unrealized gains wealth tax bill many times higher than my net income…. I still don’t know how I was supposed to pay the tax
…Perhaps by realizing a portion of the gains and handing over the resulting wealth?
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And if there’s no easy way to realise said gain? Who wants to buy 1/100 of Sally’s flower shop or Joe’s neighbourhood butcher shop?
If any government wants a cut of people’s equity they should be bankrolling it in the first place.
Sell to who? The company is loss-making. Investors WANT the founder to have shares so that the founder is invested in being the force behind making the company NOT loss-making.
Oh yeah that’s easy! Why didn’t he think of that earlier? /s
For those who don’t know, just because you have a valuable asset, e.g. stock in a private company, that does not necessarily mean you can sell it for cash. I’ve experienced this the hard way throughout my career
>Perhaps by realizing a portion of the gains and handing over the resulting wealth?
That means the state forces you to sell your company if people start to believe in it. Why can't they instead tax you once you do realize the gains of your own free will?