this post was submitted on 15 Mar 2024
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[–] [email protected] -4 points 8 months ago (4 children)

Taxing expected return sounds a bit absurd. What if the capital turns out to be lost, does the state give the tax back?

[–] [email protected] 3 points 8 months ago (1 children)

The NL system which has been working for a while works by saying:

We don't care about your capital gains, you'd just try to game the system, we'll pretend you invest everything into a relatively safe bond scheme, and tax your capital income based on that. Meaning we tax wealth as if it was guaranteed income at 4% interest per year. If you gamble and lose, tough break, you still owe the same taxes, as you are bearing the risk on investments, not us.

[–] [email protected] 1 points 8 months ago (1 children)

Most state bonds are quite a bit lower than 4%, and even business bonds (I take bonds in some football clubs as a reference, because they tend to do quite prominent ads on them) only do 5-6%.

[–] [email protected] 2 points 8 months ago

I just checked, the current assumed income on investments and assets in general is 6.17%. You pay a 35% tax on that income, so in effect a ~2% wealth tax per year.

[–] [email protected] 17 points 8 months ago

Greed should be punished, pro-social vocations rewarded.

Greed is a an antisocial force more effective in its destruction than even hatred.

[–] [email protected] 15 points 8 months ago

In practice it means that the rich pay very little tax. It’s been an ongoing debate for years, and changes are being worked on to tax actual gains.

[–] [email protected] 7 points 8 months ago (1 children)

Omg, like a tax refund? Gimme a break. Fuck the rich with a tire iron.

[–] [email protected] 4 points 8 months ago (2 children)

Dude, I have much of my savings for retirement invested in stocks (ETF’s, it’s a fairly safe investment) since the social security in my country kinda sucks. My return on investment is 5% a year. Having a 6% tax actually means I lose money

[–] [email protected] 3 points 8 months ago* (last edited 8 months ago)

It’s not 6% tax, the expected returns for investments are 6% and those are taxed at 36%. The first €57k (or €114k with partner) are tax free. So if you have €1M invested and have a partner, they expect you to make €60k and let you pay €20k.

You can invest in a retirement fund (managed by you, if you like) tax free from your gross salary (up to a limit). You’ll pay income taxes over your pay outs when you retire. The conditions are that you can only use it for your retirement.

[–] [email protected] 0 points 8 months ago (1 children)

The idea is that if such a tax existed the social security wouldn't suck

[–] [email protected] -2 points 8 months ago

That's a very delusional idea.