Thursday, May 08, 2008

Want to know more about the Capital Gains tax?

About a month ago, I had a guy from church telling me that the Democrats were stupid, because whenever you lower the capital gains tax, then there's more government revenue.

Not knowing anything about this, I went "Oh. I'll have to look that up. Doesn't sound logical that lowering taxes increases revenue, but maybe there's something there."

I looked it up. Turns out, yeah, revenue goes up for the first year while people take advantage of lower tax revenues and cash out their stocks - then tax revenue falls from there.

Well. Now I know.

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