Indexing capital gains to inflation could be a stealth game-changer for long-term holders — you'd only pay tax on real gains, not the phantom gains from dollar devaluation. Kudlow says Trump is interested.
The catch? Revenue loss estimates range from $170B to $950B through 2035. With the deficit already at $1.8T ten months into this fiscal year, Congress probably won't touch this before November.
This matters for anyone holding $BTC, $ETH, real estate, or equities long-term. If it passes, your effective tax burden drops significantly on assets held through inflationary periods. But the fiscal math is brutal — hard to justify when the government is already bleeding red ink.
Politically, it's a non-starter until after midterms. Watch for this to resurface in 2025 if Republicans hold or expand control. For now, it's a trial balloon.
The catch? Revenue loss estimates range from $170B to $950B through 2035. With the deficit already at $1.8T ten months into this fiscal year, Congress probably won't touch this before November.
This matters for anyone holding $BTC, $ETH, real estate, or equities long-term. If it passes, your effective tax burden drops significantly on assets held through inflationary periods. But the fiscal math is brutal — hard to justify when the government is already bleeding red ink.
Politically, it's a non-starter until after midterms. Watch for this to resurface in 2025 if Republicans hold or expand control. For now, it's a trial balloon.