This change effects actually zero people who aren't millionaires many times over - this website is literally a conservative think tank.
Self directed IRAs under attack in proposed tax bill
91–100 of 306 posts
Re: Self directed IRAs under attack in proposed tax bill
#92Presumably meant to address high net worth individuals completely dodging taxation on huge gains by using their IRAs for investments like exercising early-stage stock options.[1] I kind of wish they'd go with just capping the gains, but would I still say that if I wasn't planning to use mine to "fund" high-return cryptocurrency arbitrages? 1) https://www.forbes.com/sites/sarahhansen/2021/06/24/peter-th...
What I like about Congress - is instead of saying "this provision can allow you to do well for retirement by investing in private companies self directed with an IRA and you might not need social security". Instead they act: "we're not rich, we're mad at the few who are - so instead of teaching you how to do this, we're going to make it illegal"
More like: “we’re paid very well to represent the interests of the elite. The elite don’t like upstarts trying to join them via wealth accumulation so we design a tax code that makes accumulating significant wealth via working and saving impossible.”
Re: Self directed IRAs under attack in proposed tax bill
#93I'd recommend reading the proposed provisions themselves directly from the Ways & Means Committee instead of the main article urging action: https://www.advantaira.com/wp-content/uploads/2021/09/WM-Tax... Highlights: 1. You can't add new contributions to tax-advantaged accounts if their total value exceeds $10 million and you make over $400K for single filers, amounts indexed to inflation. 2. There are required minim…
Honestly they should close the backdoor Roth and update the Roth income rules to stop requiring the backdoor Roth. It's annoying to use it as is. Getting rid of the mega backdoor seems like a no brainer since it's a clear loophole. Or if you want to keep something similar, change the Roth contribution limits for everyone.
Re: Self directed IRAs under attack in proposed tax bill
#94I'd recommend reading the proposed provisions themselves directly from the Ways & Means Committee instead of the main article urging action: https://www.advantaira.com/wp-content/uploads/2021/09/WM-Tax... Highlights: 1. You can't add new contributions to tax-advantaged accounts if their total value exceeds $10 million and you make over $400K for single filers, amounts indexed to inflation. 2. There are required minim…
This seems… fine? And a lot less FUD-y than the original article. I find that talk of the “freedoms” being taken away often is propaganda by the corporate interest youre paying to exercise the supposed freedom
Re: Self directed IRAs under attack in proposed tax bill
#95Earlier quoted context omitted.
This has no impact on the average person in the low to middle class income range. This is just a loophole allowing the rich to put a bunch of money into their IRAs and watch it grow in a tax advantaged way. The average person that's putting the max of $6k (or less) into their IRA is not impacted by this and it's business as usual for them. I believe this is in response to people like Peter Thiel https://www.propublic…
Does the fact that more rich do it mean it's wrong? Or that low and middle income should use it as a model and the practice should be encouraged? I mean, if private citizens can build themselves up without being beholden to social security and Wall Street - why is this bad? What if - instead of the government keeping us to the lowest common denominator (social security) they encourage, educate, and allow everyone to…
If it's being used to avoid taxes then yes, the loophole should be closed.
Re: Self directed IRAs under attack in proposed tax bill
#96The whole article is predicated on the lie that low and middle income earners are buying private placements and LLCs in their IRAs. They are not. Full stop.
What is "Full stop"? I'm seeing it used more and more in political internet discussions
Re: Self directed IRAs under attack in proposed tax bill
#97I really hope this doesn’t go away. My self directed IRA in Bitcoin has led me to prosperity. There was no other way to do it with my retirement funds really.
Why shouldn't you pay taxes on profits made speculating?
Is not all investment speculating? Very few investment classes provide 100% guaranteed returns.
Re: Self directed IRAs under attack in proposed tax bill
#98this change effects literally zero people who aren't millionaires many times over. The change effects high net worth individuals who are trying to game the system and not pay taxes. This is not even complicated.
Re: Self directed IRAs under attack in proposed tax bill
#99Earlier quoted context omitted.
... taxation is theft.
To be fair, taxation is useful for everyone and the common good. What can be considered.... wrong is EXTRA taxation. Meaning the governments job should be to operate as leanly as possible by being most efficient. To me that means, highly systems efficiently, low personnel overhead, large reduction in programs supported. Instead - the name is big and bloated. Expanding budget deficits mean expanded spending, which can…
Couldn't agree more, I would be happy to pay taxes if the government represented me. However under the republic we have, it has fallen extremely short in representing my interest. I vote in every election, write letters to my representatives and attend town halls.
Re: Self directed IRAs under attack in proposed tax bill
#100The income has already been taxed. The economics are identical to other qualified retirement plans. This is simply more about restricting freedoms and making excuses for targeting Peter Thiel personally.
> The income has already been taxed This is not true - traditional IRA contributions are made pre-tax.
Not in the US. IRA contributions are post tax. 401k contributions are pre-tax. Depending on where you live this may be semantics as they may be the same program with different names.