Mark Cuban Says Kamala Harris Will Kill The U.S
Billionaire entrepreneur and Dallas Mavericks owner, Mark Cuban, has voiced his strong opposition to Vice President Kamala Harris’ proposal to tax unrealized capital gains.
In a recent interview, Cuban argued that such a tax could have devastating consequences for the stock market, stating that it would “kill the stock market.”
The proposed plan aims to introduce a 25% tax on unrealized capital gains for individuals with a net worth exceeding $100 million.
Essentially, wealthy investors would be taxed on the increase in value of their assets, even if they haven’t sold them yet. Cuban’s concerns reflect broader fears that this could stifle investment and disrupt the financial markets.
Mark believes this idea is a disaster waiting to happen. He argues that it would create chaos in the market by forcing investors to sell off assets just to pay their taxes.
According to Mark, taxing wealthy individuals on gains they haven’t actually realized would push them to sell investments, particularly during market downturns, just to cover their tax bills.
“Companies will avoid going public,” he predicted, suggesting that this type of tax would be a huge advantage for private equity firms. Businesses might stay private to avoid the unpredictable tax landscape and its potential consequences.
He also pointed out the risk posed by market volatility. Mark highlighted how investors could be taxed on gains, only to see the market crash later, leaving them in financial trouble.
In such a scenario, he believes investors would be much more hesitant to fund startups or growth companies, especially during times of economic uncertainty.
Taxing assets that haven’t been sold yet, especially those that don’t trade publicly, presents a significant challenge. How do you accurately value something that isn’t easily tradable?
There’s also a concern about wealthy individuals borrowing against their portfolios to avoid selling off assets. This could create a cycle of debt that might destabilize the financial system.
Kamala Harris’s tax proposal has faced criticism from both Republicans and Democrats. However, not all feedback has been negative. Mark, a business leader, has been in touch with her campaign and noted that Harris is open to listening to feedback from the financial community.
He’s emphasized that she’s not rigid in her stance and might be willing to adjust her tax plan based on these discussions. Interestingly, he mentioned that she is supportive of cryptocurrency, although she hasn’t publicly expressed this view.
Earlier today, a Coinbase executive mistakenly stated that the Harris campaign was accepting crypto donations. However, it was later clarified that it’s actually the Future Forward super PAC, not her campaign, that is accepting crypto contributions.
On the other hand, Harris’s Republican opponent, Donald Trump, has openly courted crypto donors and promised favorable policies for the industry if elected.