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The Marxists are not satisfied with taxing realized income (earned income) they are now considering taxing 'unrealized capital gains' by taxing the increase in the value of one's assets annually. If one thinks defining 'taxable Income' for tax purposes is problematic, it becomes child's play, when compared to establishing taxable unrealized capital gains. The Democrats are now wanting to tax IMAGINARY INCOME GAINS.  They have never met a Tax that they did not like.  It is obvious that the Marxists Democrats BELIEVE that all wealth is theirs to do with as they like and that the wealthy will put up with it... However such lunacy has serious consequences.

Computing the tax on 'Unrealized Capital Gains' is very problematic... The taxable amount of 'Unrealized Capital Gain' can be a widely variable figure. Using current accounting practices, appraisals, depreciation formulas, and complex estimates for calculating current value... too, arrive at a taxable figure... is seriously flawed.  One must first agree on the ORIGINAL and CURRENT value of a wide range of assets. Rules for calculating gains and losses to asset values must be defined for a wide range of assets: real property, art, jewelry, stocks, bonds, derivatives, options, intellectual property, royalties, and on and on.

The process for determining the taxable amount for 'Unrealized Capital Gains' will be fraught with loopholes and legal challenges to the taxable gain or loss.  This process will become a real boondoggle for tax professionals: lawyers, accountants, appraisers, etc.  I see no way to create a fair system to tax the undefined and imaginary figure of unrealized capital gains.  The IRS will simply pick a figure out of the air and let the challenges and appeals begin.

Currently, these capital assets... real property, shares, unused options, derivatives, cryptocurrencies, artworks, debentures, and a wide range of financial instruments, contracts, and currency funds... aren’t taxable until they are sold or converted to cash. Only then do they become taxable, usually at capital gains tax rates. This is how wealth is grown without paying taxes. However, these currently untaxed assets are leveraged to supply the large sums of private capital needed to expand our nation's economy and enterprise.  Tax these assets and that capital will leave for nations with favorable tax laws.

The Marxists want to tax unrealized (not sold yet) capital assets... Taxing such assets will result in the wealthy moving those assets out of the USA, along with the jobs and financial resources that provide the liquidity needed to finance a consumer-based economy.  It will destroy our free enterprise system and the Marxist know it. Taxing 'unrealized capital gains' is a very dangerous and complex issue... if permitted it will prove to be the final blow that destroys our CAPITALIST SYSTEM.  To borrow from Ross Perot, "That sucking sound you hear is the sound of US jobs going"... South... leaving America.