Eliminating The Capital Gains Tax

Part I of Essay
One of the major obstacles facing all entrepreneurs in the United States when starting a new business or expanding an existing one is raising capital. Here capital refers to money that people invest in a business. Investment and entrepreneurship are the heart and soul of ....

Part II of Essay
.... capital gains should be eliminated. Members of Congress once considered a reduction in the capital gains tax rate from 28% to 19.8%. Combined with indexation, which is , reducing the capital gains tax by any amount would be a vital pro-growth step taken by Congress. However, given the fickle and high risk nature of investments and entrepreneurships, and the importance of maintaining a competitive economy in a global environment, capital gains should be exempt from taxation altogether. A zero percent capital gains tax would attract entr ....